Report Calls China 'Future Threat To U.S. Influence' In Latin America
A new report by the Congressional Research Service states that China is moving into Latin America to gain access to resources, such as oil, copper and iron. .

Beijing also is seeking to isolate Taiwan by pressing the 12 Latin American and Caribbean nations that now have diplomatic relations with Taipei to break them and recognize China, the report said.

The report notes that some specialists believe "China's involvement in the region could pose a future threat to U.S. influence."

Other analysts claim the Chinese moves in the region are marginal and remain overshadowed by U.S. influence.

"Although many Latin American countries welcome the new Chinese investment, some view China as an economic threat and are concerned that both their domestic industries and their U.S. export markets will be overwhelmed by cheap Chinese imports," the report said.

Those concerned with Chinese activities in the hemisphere recently told Congress that China is using Latin America to "challenge" U.S. supremacy in the area and build "a Third World coalition" of anti-U.S. nations.

"According to this view, the assertive Chinese commercial interest demonstrated at the November 2004 Asia Pacific Economic Cooperation (APEC) forum meeting in Chile should serve as a wake-up call to U.S. policymakers to focus more attention on China's growing role in the region," the report said.

"China's regional presence, they say, ultimately could have significant strategic implications for the United States when China begins to take action to protect its interests in the region."

The report recommends forging closer security ties in the area to deflect the Chinese challenge.

Deputy Assistant Secretary of Defense for Western Hemisphere Affairs Rogelio Pardo-Maurer recently testified to Congress that there is no "evidence that Chinese military activities in the Western hemisphere, including arms sales, pose a direct conventional threat to the United States."

However, Pardo-Maurer maintained that the United States needs "to be alert to rapidly advancing Chinese capabilities, particularly in the field of intelligence, communications and cyber warfare, and their possible application in the region."

He stated that the United States "would encourage the nations in the hemisphere to take a close look at how such activities could possibly be used against them or the United States."