Latin America to Face Post-COVID Economic Crisis, But It Will Be Over Quickly
Latin America to Face Post-COVID Economic Crisis, But It Will Be Over Quickly
"As companies are looking to make their supply chains more resilient, they’re going to look away from China," said AS/COA's Eric Farnsworth on Latin America's prospects for global trade post-COVID-19.
At first, the latest economic forecasts for Latin America make you cry: They predict the worst slump in nearly a century. But, they also contain some encouraging signs.
Let’s start with the raw data. In a new report, the International Monetary Fund (IMF) predicts that Latin American and Caribbean economies will fall by a whopping 5.2 percent this year, far more than the 3 percent global average...
“As companies are looking to make their supply chains more resilient, they’re going to look away from China,” says Eric Farnsworth, vice president of the Council of the Americas, a New York-based regional think tank. “That just gives a huge opportunity for Latin America and the Caribbean.”
The challenge for Latin American countries will be to become more competitive, because U.S. multinationals may move exclusively to Taiwan and other highly competitive Southeast Asian countries, Farnsworth said...
