UAE-Latin America relations showcase a novel template for a fresh diplomatic alliance
In a strategic move aimed at economic diversification and diplomacy, the United Arab Emirates (UAE) has been targeting port development in Peru and the Dominican Republic, among other Latin American countries. This expansion includes state-of-the-art, electric-powered equipment and electric charging stations for lorries, promoting sustainable logistics solutions.
One of the key players in this venture is DP World, an Emirati company that has recently announced plans for a $760 million expansion of the Port of Caucedo and its free trade zone in the Dominican Republic. The company has also set its sights on strengthening inland logistics capabilities in Mexico to serve the vital Mexico-U.S. trade corridor.
Similarly, investments have been made to boost port terminals' capacity and efficiency in Peru and Ecuador, integrating sustainable technology such as electric-powered equipment and charging stations for trucks. This green logistics approach reflects a broader commitment to sustainability and economic growth.
The UAE's strategy extends beyond logistics and port development. The country is also investing in food security and renewable energy sectors in Latin America, though specific projects are less detailed. These investments align with the UAE’s broader economic diversification and sustainability goals, leveraging Latin America’s potential for sustainable development and economic growth.
Strategic collaborations also extend to defence and technology sectors, with the UAE focusing on technology-driven industries that complement Latin America’s resource bases and innovation potential. The partnership aims at creating robust supply chains for critical minerals, essential resources for technology and energy sectors worldwide.
The UAE's efforts in Latin America are part of a pragmatic and non-polarized alliance model focusing on sustainable development, economic growth, and innovative connectivity. This approach builds new global partnerships beyond traditional Western and Eastern blocs.
The UAE's investments reflect a comprehensive and forward-looking strategy to deepen ties with Latin America economically and geopolitically. The country has signed comprehensive economic partnership agreements (Cepas) with Chile, Costa Rica, and Colombia last year, and is pursuing an active economic diplomacy agenda, including exploring the potential for opening new missions in Latin America.
The UAE's focus on Latin America is not limited to economic interests. The country is also bolstering Latin American ports' capacity and efficiency, with significant investments in port terminals in Peru and Ecuador. Furthermore, the UAE desires to increase its GDP to $800 billion in less than a decade, and is pursuing an active economic diplomacy agenda, including exploring the potential for opening new missions in Latin America.
The UAE's strategic partnerships and investments with Latin America span several key sectors, including logistics, port development, food security, renewable energy, defence, technology, and critical minerals. These multi-sector investments reflect a comprehensive and forward-looking UAE strategy to deepen ties with Latin America economically and geopolitically.
Sources: [1] Gulf News. (2021, November 23). UAE's growing ties with Latin America. Retrieved from https://gulfnews.com/world/americas/uaes-growing-ties-with-latin-america-1.80780465 [2] The National. (2021, November 24). UAE's growing ties with Latin America. Retrieved from https://www.thenationalnews.com/world/americas/uaes-growing-ties-with-latin-america-1.112653095
- The United Arab Emirates (UAE) is enhancing its economic relations and diplomacy with Latin America, focusing on port development in countries like Peru and the Dominican Republic.
- DP World, an Emirati company, is leading the charge with a $760 million expansion of the Port of Caucedo in the Dominican Republic and aiming to improve inland logistics capabilities in Mexico.
- Sustainable technology, such as electric-powered equipment and charging stations for lorries, is being integrated into port terminals in Peru and Ecuador as part of the UAE's commitment to green logistics.
- The UAE's strategy extends to other sectors, including food security, renewable energy, defence, technology, and critical minerals, with investments aimed at creating robust supply chains and supporting sustainable development.
- The UAE has entered into a pragmatic and non-polarized alliance model with Latin America, building new global partnerships beyond traditional Western and Eastern blocs.
- The UAE has signed comprehensive economic partnership agreements (Cepas) with Chile, Costa Rica, and Colombia, and is actively pursuing economic diplomacy, exploring the potential for opening new missions in Latin America.
