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The Growing Economic Presence of China in the Caribbean

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  • Richard L. Bernal

Abstract

China's economic presence in the Caribbean has grown significantly in the last decade. The growing economic presence of China in the Caribbean is evident in China's exports and development assistance to the region. Caribbean exports to China have not significantly increased; in fact, they declined during the period 2006–09. This is in contrast to the growth of exports from Latin America and the rest of the world and represents a missed opportunity for Caribbean exporters. The potential for further growth in economic relations between China and the Caribbean lies in trade including services, foreign investment and tourism. The pattern of trade, investment and development assistance in the Caribbean is very different from that in Latin America, and therefore it is misleading to conflate the two regions and draw an inference of similarity beyond very broad trends as is the case of the literature on the economic presence of China in Latin America. The contrast is vividly evident in the fact that China is now the largest trade partner of some Latin American countries but remains a small fraction of the Caribbean's trade.

Suggested Citation

  • Richard L. Bernal, 2015. "The Growing Economic Presence of China in the Caribbean," The World Economy, Wiley Blackwell, vol. 38(9), pages 1409-1437, September.
    • Handle: RePEc:bla:worlde:v:38:y:2015:i:9:p:1409-1437
    DOI: 10.1111/twec.12204
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    References listed on IDEAS

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    1. Arteaga, Julio César & Cardozo, Mónica Liseth & Diniz, Márcia Jucá T., 2020. "Exports to China and economic growth in Latin America, unequal effects within the region," International Economics, Elsevier, vol. 164(C), pages 1-17.
    2. Peter J Buckley & L Jeremy Clegg & Hinrich Voss & Adam R Cross & Xin Liu & Ping Zheng, 2018. "A retrospective and agenda for future research on Chinese outward foreign direct investment," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 49(1), pages 4-23, January.
    3. Munjal, Surender & Varma, Sumati & Bhatnagar, Ankur, 2022. "A comparative analysis of Indian and Chinese FDI into Africa: The role of governance and alliances," Journal of Business Research, Elsevier, vol. 149(C), pages 1018-1033.

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