Geopolitics, Host Country Policy, and Critical Mineral Investment in Latin America

We examine how multinational enterprise (MNE) strategies in Latin America’s critical mineral sector are shaped by the interplay of U.S.–China geopolitical rivalry and host-country regulations. China’s Belt and Road Initiative supports the expansion of Chinese investments but with limitations, while U.S. polices and the Minerals Security Partnership may discourage collaboration with Chinese firms and promote partnerships among U.S. and allied companies, especially those targeting the U.S. market. Latin American governments adopt varying approaches, from Bolivia and Chile’s resource nationalism to Argentina’s open-market model, but most engage both blocs strategically to advance national interests. We offer guidance for MNEs navigating the shifting geopolitical and regulatory landscape.