Leaders of chambers of commerce with strong participation in the tourism sector expressed their interest in learning about the investment and business opportunities in investing in tourism in El Salvador.

Within the framework of the first Business Summit of Leaders of Commerce, Services and Tourism, organized by the Confederation of National Chambers of Commerce, Services and Tourism of Mexico (CONCANACO SERVYTUR), more than ten state leaders of National Chambers of Commerce ( CANACO) expressed their interest in exploring possibilities of investing in tourism in El Salvador and deepening trade with the country.

In a press release, the Mexican Embassy in El Salvador highlighted that in the conversations that arose at the event, leaders of several states of the North American country with solid activity in the tourism sector stated that they would seek to learn about the investment and business opportunities that exist, in El Salvador.

The Bukele Administration has achieved greater security

To a considerable extent, these intentions came to light from the participation of the vice president of the republic, Félix Ulloa, who highlighted the achievements of the Nayib Bukele administration at the summit. Bukele has created a safe and conducive environment for entrepreneurship and investment, which is evident in the notable reduction of violence and the sustained growth of the economy.

“We are being reborn as one of the safest countries with the greatest tourist growth in the Western Hemisphere,” said Ulloa, alluding to more than five hundred days with zero murders and increased employment and new business opportunities.

“Mexico and El Salvador share much of our history, and now we can join forces to generate these exchanges and create these strong synergies that allow for a greater economic-commercial relationship resulting from Mexican investment in tourism in El Salvador,” he added.

This summit served as a meeting point to consolidate synergies between El Salvador and Mexico. Vice President Ulloa extended an invitation to continue this dialogue and thanked Mexico’s business leaders for their participation and support.

“The country is positioned as an outstanding development pole for those interested in investing in tourism in El Salvador, and we invite entrepreneurs to explore the country’s opportunities. The implementation of progressive legal frameworks, such as the Bitcoin Law and other cutting-edge technological legislation, reflect the Salvadoran commitment to innovation and adaptability to global markets,” he said.

For his part, the Mexican ambassador to El Salvador, Ricardo Cantú Garza, emphasized the strong relationship between the two nations.

“The improvement in the security climate has resonated greatly in the region,” Cantú commented, recognizing successful cooperation programs such as “Young People Building the Future” and “Sowing Life.”

Mexican investment in El Salvador

Recent data from the Central Reserve Bank of El Salvador (BCR) reveal that in the first half of this year, Mexico consolidated itself as the second largest investor in El Salvador, with a quarterly average of direct investment of $47.04 million, mainly in the sector of services, which represents 90.44% of Aztec Foreign Direct Investment (FDI).

According to Ángel Pérez Cortés, in charge of Economic and Commercial Affairs at the Mexican Embassy in El Salvador, more than 45 Mexican companies are currently operating in the country.

Pérez also highlighted that the embassy has received more than ten trade missions from Mexico in the last four years, the most significant number of visits for this purpose since the diplomatic headquarters was registered.

Opportunities for investing in tourism in El Salvador

El Salvador is a small but vibrant Central American nation. It presents compelling opportunities for investment from Mexican and other foreign investors in its burgeoning tourism sector. With its diverse natural landscapes, rich cultural heritage, and strategic geographical location, savvy investors can capitalize on the country’s untapped potential.

One significant opportunity for investing in tourism in El Salvador lies in developing ecotourism initiatives. El Salvador boasts a variety of ecosystems, including pristine beaches along its Pacific coastline, lush volcanic landscapes, and dense rainforests. Investing in sustainable, eco-friendly resorts, adventure tourism, and wildlife conservation projects can attract nature enthusiasts seeking authentic and environmentally conscious experiences.

Cultural tourism is another promising avenue for investment. El Salvador has a rich history dating back to pre-Columbian times, with ancient archaeological sites like Joya de Cerén, a UNESCO World Heritage site, offer glimpses into the country’s past. Investors can explore opportunities in heritage preservation, museum development, and cultural events to attract history buffs and curious travelers eager to explore the nation’s roots.

Infrastructure development is crucial for unlocking El Salvador’s tourism potential. Investing in modern transportation, including airports and roads, can facilitate smoother access to tourist destinations. Additionally, constructing high-quality hotels, resorts, and other accommodations will enhance the overall visitor experience, encouraging longer stays and increased spending.

Promoting El Salvador as a destination for adventure tourism is another area ripe for investing in Tourism in El Salvador. The country’s volcanic terrain provides opportunities for activities such as hiking, zip-lining, and hot springs exploration. Entrepreneurs can invest in adventure sports facilities, guided tours, and outdoor equipment rental services to cater to the growing demand for adrenaline-fueled experiences.

Government incentives, such as tax breaks and regulatory support for tourism-related ventures, further sweeten the investment landscape. El Salvador’s recent adoption of Bitcoin as legal tender could also attract tech-savvy investors interested in exploring innovative financial and technological solutions within the tourism sector.

In conclusion, investing in tourism in El Salvador presents a mosaic of investment opportunities for Mexican and other foreign entrepreneurs, ranging from eco-friendly ventures and cultural experiences to infrastructure development and adventure tourism. With the right strategic vision and commitment to sustainability, investors can contribute to the growth of this dynamic sector while reaping the rewards of a flourishing tourism market in Central America.

Latin America has emerged as a promising destination for foreign direct investment (FDI) in shared service centers (SSCs) in recent years. The region’s strategic location, diverse talent pool, and cost advantages have made it an attractive choice for companies seeking to optimize their operational efficiency. This blog post will delve into the foreign direct investment climate for shared service centers in Latin America, evaluating the appropriateness of the region’s workforce, highlighting individual countries as host candidates, examining the cost benefits, and identifying the key players shaping the shared services sector.

Workforce Appropriateness

Latin America boasts a diverse and multilingual workforce, making it particularly suitable for shared service centers requiring language proficiency and cultural understanding. With a strong emphasis on education, countries like Argentina, Brazil, Colombia, Costa Rica, Honduras, Mexico, and Uruguay have a robust talent pool equipped with technical skills, language proficiency, and a customer-centric mindset to perform in the shared services sector. English proficiency is widespread in the region, offering a significant advantage for companies catering to global markets.

Additionally, Latin American professionals are known for their adaptability and resilience, crucial traits for roles in shared services that often require quick adaptation to evolving business needs. This adaptability and a strong work ethic position the region’s workforce as a valuable asset for companies looking to establish shared service centers in Latin America.

Country Overview: Host Candidates for Shared Service Centers in Latin America

Argentina

Argentina boasts a highly educated workforce and a strong cultural affinity with Western business culture. Buenos Aires, the capital, has become a hub for shared services, particularly in finance and technology. The country’s government has implemented policies to encourage foreign investment, further enhancing its appeal for companies looking to establish SSCs.

Brazil

As the largest economy in the region, Brazil offers a vast market and a skilled workforce. São Paulo and Rio de Janeiro are prominent locations for shared service centers, particularly in the financial and IT sectors. Despite bureaucratic challenges, Brazil’s sizeable domestic market and strategic positioning make it a compelling choice for companies seeking a foothold in Latin America.

Colombia

Opening a shared service center in Colombia presents numerous advantages for businesses seeking cost-effective and efficient operations. The country offers a skilled and bilingual workforce with a strong emphasis on education and professional development. Colombia’s strategic location allows for convenient time zone alignment with North American and European markets, facilitating seamless communication and collaboration. The favorable business environment, government incentives, and improving infrastructure also contribute to a cost-efficient operational setup. The competitive labor costs in Colombia further enhance cost savings, making it an attractive destination for companies looking to streamline their support functions and improve overall organizational efficiency.

Costa Rica

Establishing a shared service center in Costa Rica offers numerous advantages, leveraging the country’s strategic location and skilled workforce. Costa Rica boasts a stable political environment and a business-friendly atmosphere, making it an ideal location for cost-effective operations. The country’s well-developed infrastructure and reliable telecommunications further facilitate seamless business processes. Additionally, Costa Rica’s workforce is known for its proficiency in English, a key asset for international business services. Outsourcing to Costa Rica allows companies to tap into a pool of highly educated professionals, reducing operational costs while maintaining high-quality service delivery. Establishing a shared service center in Costa Rica provides a strategic solution for organizations seeking efficiency, cost savings, and access to a skilled workforce.

Honduras

Establishing a shared service center in Honduras offers notable advantages for organizations seeking efficient and cost-effective operations. Honduras boasts a strategic location in Central America, providing proximity to North American markets. The country’s workforce is recognized for its competitiveness in customer service and business process outsourcing. With a lower cost of living, companies can benefit from cost savings while maintaining high-quality service delivery. Honduras has made strides in improving its business environment, including infrastructure development and economic reforms, making it an increasingly attractive destination for shared service centers in Latin America. Overall, leveraging Honduras as a location for a shared service center presents an opportunity for organizations to optimize operational efficiency and reduce costs.

Mexico

Establishing a shared service center in Mexico presents a compelling array of benefits for businesses. Mexico’s strategic geographic proximity to the United States ensures convenient communication and collaboration, making it an attractive location for outsourcing. The country’s increasingly skilled and bilingual workforce is a valuable asset, particularly in finance, IT, and customer service. Moreover, Mexico offers cost advantages compared to many other outsourcing destinations, making it an economically viable choice. With a stable political environment and a growing emphasis on technological infrastructure, companies can leverage Mexico’s favorable business climate to streamline operations, reduce costs, and enhance overall efficiency in a shared service center setup.

Uruguay

Establishing a shared service center in Uruguay offers compelling advantages for businesses seeking operational excellence. Positioned at the crossroads of South America, Uruguay provides a stable political and economic environment conducive to foreign investment. The country boasts a highly educated and bilingual workforce with a strong cultural affinity to Western markets, ensuring seamless communication and understanding. Uruguay’s strategic time zone alignment with North America and Europe facilitates real-time collaboration. Additionally, the government offers attractive incentives, including tax breaks and a business-friendly regulatory framework, enhancing the overall cost-effectiveness of operating a shared service center. With a focus on innovation and a commitment to education, Uruguay is an optimal choice for companies aiming to leverage a skilled workforce and strategic location for streamlined shared service operations.

Prominent Players in Latin America’s Shared Services Sector

Accenture

As a global leader in consulting and professional services, Accenture has established a significant presence in Latin America’s shared services sector. With operations in multiple countries, Accenture leverages the region’s diverse talent pool to deliver various services, including finance and accounting, HR, and IT support.

IBM

IBM is another major player capitalizing on Latin America’s potential for shared services. With a focus on technology-driven solutions, IBM has established SSCs in countries like Brazil and Mexico, offering IT outsourcing and business process optimization services.

Genpact

Genpact, a global professional services firm, has expanded its footprint in Latin America, leveraging its skilled workforce to deliver end-to-end business process services. The company has SSCs in countries like Mexico and Colombia, providing services across various industries, including finance, healthcare, and manufacturing.

The foreign direct investment climate for shared service centers in Latin America is thriving, driven by a skilled and diverse workforce, strategic geographical locations, and cost advantages. The region’s appeal will likely grow as companies seek to optimize their operations and enhance efficiency. With countries like Mexico, Brazil, and Argentina leading the way, Latin America is a crucial player in the global shared services sector, attracting major multinational corporations and contributing to the region’s economic development. As the business landscape evolves, keeping a pulse on the dynamic opportunities in Latin America will be crucial for companies looking to establish or expand their shared service centers.

Establishing a shared service center in Latin America presents a strategic and advantageous option for companies aiming to reduce costs and internationalize their business structure. The region offers a diverse and skilled workforce with proficiency in multiple languages, aligning well with the global business environment. Moreover, the lower labor costs in Latin America compared to North America and Europe contribute significantly to operational savings without compromising on the quality of services. Governments in many Latin American countries actively promote foreign investment through favorable tax incentives and business-friendly policies, further enhancing the cost-effectiveness of setting up shared service centers. The proximity to major markets and overlapping time zones facilitates seamless communication and real-time collaboration, fostering operational efficiency. In essence, establishing a shared service center in Latin America allows companies to optimize costs and positions them strategically in the international landscape, leveraging the region’s diverse talent pool and favorable economic conditions.

In recent years, Chile has emerged as a critical player in the global IT and software development landscape. With a workforce boasting high educational levels, proficiency in cutting-edge technologies, and competitive pricing, Chile has become an attractive destination for businesses seeking skilled software developers. In this blog post, we’ll delve into the factors that make Chile a hotspot for IT talent, including the educational prowess of the workforce, the programs developers are familiar with, and the cost-effectiveness of hiring IT and software development talent in Chile.

Educational Excellence

One of the primary reasons behind Chile’s growing reputation as a hub for IT talent lies in its robust education system. The country strongly emphasizes providing quality education, producing a workforce that is highly skilled and adaptable to the rapidly evolving tech landscape.

Chilean universities are known for their rigorous computer science and engineering programs, attracting students worldwide. The curriculum is designed to equip graduates with theoretical knowledge and practical skills, ensuring they are well-prepared for the demands of the modern tech industry. Moreover, the focus on problem-solving and critical thinking sets Chilean developers apart, making them valuable assets for businesses looking to innovate and stay ahead in the competitive global market.

Proficiency in Leading Technologies

Chile’s IT and software development talent is well-versed in various programming languages and frameworks, making them versatile contributors to diverse software projects. The curriculum in Chilean universities strongly emphasizes relevant technologies, ensuring that graduates are familiar with the tools and languages commonly used in the industry.

Java, Python, JavaScript, and C# are among the languages that Chilean developers are proficient in, allowing them to integrate seamlessly into international development teams. Additionally, their expertise extends to popular frameworks like React, Angular, and Django, enabling them to develop scalable and efficient solutions for various business needs. With a strong foundation in software engineering principles, It and software development talent in Chile is adept at creating robust, maintainable, and scalable code.

Moreover, the Chilean tech community is known for its eagerness to embrace emerging technologies. Developers actively participate in hackathons, attend conferences, and continuously learn, ensuring they stay updated with the latest advancements. This culture of innovation positions Chile as an ideal destination for businesses seeking talent that can drive technological progress within their organizations.

Cost-Effectiveness of IT and Software Development Talent in Chile

While Chile boasts a highly skilled and innovative workforce, it also offers a cost-effective solution for businesses looking to outsource software development. Compared to other countries with similar expertise, the cost of hiring IT professionals in Chile is relatively lower, making it an attractive option for companies aiming to optimize their budgets without compromising quality. As of 2023, the average cost to employ a software engineer in Chile is US 4,457.00 dollars.

The cost advantage is evident in the competitive salaries of Chilean developers and the overall affordability of doing business in the country. With a stable economy, favorable business regulations, and a low cost of living, Chile provides an environment conducive to cost-effective software development. This allows businesses to allocate resources strategically, investing in innovation and growth without incurring exorbitant expenses.

Collaborative Culture

Chile’s IT and software development talent is more than just technically proficient; it also brings a collaborative and communicative approach. English proficiency is widespread among the workforce, facilitating seamless communication with international clients and team members. This linguistic advantage eliminates potential barriers, ensuring smooth collaboration on projects involving teams from different corners of the globe.

The collaborative culture is further supported by the strong sense of community within the Chilean tech industry. Developers actively engage in knowledge-sharing events, meetups, and online forums, fostering an environment where ideas are exchanged freely. This collaborative spirit contributes to developing innovative solutions as developers draw inspiration from diverse perspectives and experiences.

Chile has firmly established itself as a prime destination for businesses seeking top-tier IT and software development talent. The country’s commitment to education, proficiency in leading technologies, cost-effectiveness, and collaborative culture make it an ideal choice for companies looking to build high-quality software solutions.

As the global demand for skilled developers continues to rise, Chile stands out as a reliable source of talent that can drive digital transformation and innovation. By tapping into the wealth of expertise offered by Chilean developers, businesses can position themselves for success in the dynamic and competitive landscape of the tech industry.

“We can’t put the future on hold,” the CEO of Ford recently commented when asked about the sudden growth of the electric vehicle (EV) industry. The era of transportation with electric motors is a reality and is experiencing significant advances and growing acceptance worldwide. Nations from Europe, Asia, and even the United States are implementing clean energy initiatives to reduce carbon emissions and the use of fossil fuels.

At this moment, Mexico finds itself in a position of opportunity since it is experiencing a change in which the country can play an essential role in the global trend of reducing the use of automobiles that use fossil fuel as an energy source. After all, Mexico is the seventh largest vehicle manufacturer in the world. In this blog post, we will review the current situation surrounding the electric vehicle industry in Mexico and the investment opportunities that will arise from the development of electric and hybrid vehicles.

The boom of the hybrid and electric vehicle industry in Mexico

In 2022, Mexico manufactured 3,068,812 vehicles with electric technology, of which 47,079 were sold within the country (the rest were exported), representing 4.1% of the total cars sold during that year.

The fact that only 4.1% of total sales of this type of car remained in the country may seem insignificant; However, it represented an increase of 61% compared to 2020. In addition, Mexico was also the largest consumer of electric vehicles in Latin America, followed by Brazil and Colombia.

The most popular electrified vehicles in Mexico are hybrid models (cars that combine the traditional combustion system with electric batteries). However, EVs (vehicles that run 100% on an electric motor) are gaining popularity. According to the AMIA (Mexican Association of the Automotive Industry), in 2020, only 1.8% of the total registered electric cars sold were 100% electric. In 2021, that amount rose to 2.4%; this last year, it jumped to 8.8%.

This trend continues to grow, and according to the INEGI (National Institute of Statistics and Geography), by 2030, Mexico will be selling 72,655 100% electric vehicles nationwide. This will represent 2,000% more than last year’s sales. This data shows Mexico is one of the main actors in the growth of electric vehicle consumption in Latin America.

As an automobile producer, the electric vehicle industry in Mexico is ready to receive more foreign direct investment to manufacture EVs. Historically, Mexico has proven profitable and safe for investors in the automotive industry due to its workforce quality, value chain position, strategic location, and international alliances.

A global shift towards combustion with green energy

Modern consumers are demanding radical change and concrete action to protect the environment, especially concerning the automobile industry. In 2022, a record of 36.6 billion tons of carbon emissions were reached due to the use of fossil fuels. Consequently, the UN has declared a goal of reducing carbon dioxide emissions by 45% by 2030 (considering 2010 as the base year) and achieving net zero emissions by 2050.

Nations are responding to the call and taking concrete action. It is a global movement already taking its first steps in Mexico. Meanwhile, the UK aims to ban the sale of combustion vehicles by 2030. Also, by the same year, Belgium will ban cars that run on diesel and, by 2035, vehicles that use gasoline. The United States, although less ambitious in its goals to eliminate combustion vehicles, will invest in constructing a national network of 500,000 electric charging stations, allocating about 1.2 billion dollars by 2030.

According to American consultant AlixPartners, the global automotive industry plans to spend $526 billion on electric vehicles by 2026. So, what could this mean for the electric vehicle industry in Mexico?

What opportunity does Mexico have in this green revolution?

Mexico is a manufacturer par excellence. This global automotive phenomenon means that demand for electrical parts will be at an all-time high. Currently, China is the worldwide leader in manufacturing these items, but circumstances show that Mexico could become one of the leaders in global EV manufacturing.

These are the reasons:

1. Record sales in auto parts

In 2019, according to INEGI data,  manufactured automobile parts were worth $97.8 billion. The following year, Mexican auto parts production fell to $78.4 billion due to production and consumption restrictions due to the pandemic, and 2021 was the year of recovery since a value of $94.7 billion was reached. On the other hand, in 2022, Mexico broke a record by exceeding $101 billion in auto parts. This evolution is expected to continue as the electric vehicle industry in Mexico continues to grow.

2. US EV Vision 2030

Simultaneously with the infrastructure development goals mentioned above, the President of the United States plans to provide financial support to any citizen who purchases an electric vehicle. This incentive is expected to cause a significant increase in demand, which EV and auto parts manufacturers must meet. Consequently, the effect of this incentive will promote the ‘electrification’ and growth of the electric vehicle industry in Mexico. In the final analysis, the country will see substantial opportunities in manufacturing electric vehicles, original equipment parts, aftermarket, and components in general.

3. Development has already started

In 2021, several multinational companies began upgrading and expanding their facilities to support growth in electric vehicle manufacturing. For example, Ford Mexico has begun producing the Mustang Mach-E at its factory in Cuautitlán, in the state of Mexico. General Motors invested in its Ramos Arizpe plant to manufacture batteries and began preparing its land to build facilities for the EV assembly process this year.

Likewise, Volkswagen has announced investments of more than 7 million dollars for the next five years, focused on producing zero-emission vehicles. They are expected to remodel or expand their manufacturing plants in Puebla and Silao to include EV components. And finally, there is BMW in Mexico, which will begin manufacturing its iX3 electric SUV at the San Luis Potosí plant.

What are the specific manufacturing requirements in the electric vehicle industry in Mexico?

A diversity of manufacturers will be included. There are many kinds of components that EV manufacturing requires to be successful.

These are the main three:

1. Battery manufacturing: The most critical component for electric vehicles. Manufacturers seek innovative and adaptable manufacturing spaces, requiring specific safety considerations to handle batteries and their components properly.
2. Flexibility: It is necessary to create facilities that allow the manufacturer to adapt the design of its plant to remain competitive quickly. The design must consider the safety and well-being of the workforce at all stages of manufacturing until reaching final assembly.
3. Sustainable assembly: One of the challenges for this type of facility is that investors look for sustainable manufacturing plants in Mexico’s electric vehicle industry. The facilities must be suitable to operate with renewable energy and reduce polluting emissions. Likewise, the facility construction process must follow these objectives, ensuring minimal waste and environmental disruption. In many cases, LEED® certification is adopted in projects.

The electric vehicle industry in Mexico must stay in the future. The new generations of citizens and their future governments are preparing for a solid transition towards cleaner energy with the massive use of EVs. Mexico must make the most of the situation and work in a focused manner to adopt this global trend. Given the automotive industry infrastructure that it already has in place, Mexico has the potential to become one of the leading manufacturers of electric vehicles and auto parts worldwide.

Within the framework of the recent Uruguayan official visit to China, 23 cooperation agreements between Uruguay and China were signed.

Leaders Luis Lacalle Pou and Xi Jinping met on November 22, 2023, in Beijing and signed twenty-four cooperation agreements on trade, livestock, culture, and science and technology, among others.

It also agreed to elevate relations to a comprehensive strategic partnership, which allows deepening commercial exchange and agreements between Uruguay and China in other areas.

23 agreements between Uruguay and China:

Mutual legal assistance in criminal matters

Uruguay and China “will provide each other with the broadest possible legal assistance in investigations, prosecutions and judicial procedures linked to criminal matters.”

The Silk Road

Uruguay and China agreed to advance the memorandum signed in 2018, during Tabaré Vázquez’s presidency, to construct an economic and maritime Silk Road.

“Among the areas addressed include cooperation in the digital economy, tax, high seas fishing ports, advances in energy, industrial, food cooperation, and promotion on topics such as watershed planning, efficient irrigation, and the development of mini-hydroelectric plants, as well as the construction of small dams and the creation of a joint laboratory,” details a document prepared by Uruguay’s Foreign Ministry.

Antarctic Cooperation

Based on the guidelines of the Antarctic Treaty, the two countries will carry out “exchange and research activities on Antarctic matters in the spirit of cooperation and mutual assistance.”

Exchange on economic development

An agreement between Uruguay and China  seeks to promote training through scholarships and exchange on various topics, such as “macroeconomics, the Belt and Road Initiative, investment, trade, sustainable development, clean energy, digital economy, and cultural exchanges.”

Education

The number of places for Uruguayans to study in China will increase from 20 to 25, and the teaching of Chinese in Uruguay will be promoted.

Joint Laboratory in Bio-Nano-Pharma

Pharma will be created, with an investment of $279,000 by the Chinese government and the facilitation of “access to infrastructure and human resources” by Uruguay. The objective is to serve as a “platform to jointly conduct high-level research, promote the exchange and training of researchers, and encourage technology transfer to strengthen scientific and technological capacity.”

Industry, information, and communications

A new memorandum was agreed upon that establishes exchange and cooperation in “regulations and policies for innovation, industry, information, digital transformation, and communication technologies, as well as capacity development in these areas.” On the other hand, it includes “industrial improvement in the manufacturing of equipment, raw materials, light industry, biopharmaceuticals and renewable energies, electricity storage, information technologies; and cooperation in the development of policies for free zones, industrial parks, high-tech parks, cooperation zones for small and medium-sized enterprises (SMEs), innovation campuses and industrial clusters of SMEs.

Geosciences and mineral resources

An agreement between the two nations seeks to promote scientific and technical research through student exchanges and joint projects.

Five-Year Strategic Plan for agricultural cooperation

The signing of a second five-year plan of this type between Uruguay and China is “focused on strengthening collaboration in agriculture, agroindustry, and fishing. Its objectives include exchanges on agricultural policies, efficient water use, animal husbandry, plant health, capacity development, agricultural trade, scientific and technological research, dairy, fisheries, and aquaculture.”

Trade

Uruguay and China will create a working group to analyze the evolution of the trade flow “to promote its expansion and create a direct channel of consultations that allows addressing possible trade barriers and their elimination.”

Digital Economy

The agreement in this area seeks to generate “synergies between the plans, policies, regulations, norms, and standards of both countries related to the development of the digital economy, as well as the strengthening of cooperation in financial payments, smart storage, online and offline visualization, Internet of Things, big data, cloud computing, blockchain, artificial intelligence, and other associated areas.”

Likewise, this includes the commitment to advance the “digital transformation in the manufacturing industry, services, transportation, and logistics, to promote the transformation and modernization of traditional industries and green and smart development.”

Investment in “green development”

Uruguay and China agreed to encourage “companies to cooperate on investment in green development, including clean energies such as photovoltaics, wind energy, green hydrogen and solid biomass and other forms of bioenergy, such as liquid fuels and gases of biological origin. The agreement looks at the vehicle industry based on new energies such as the electric battery, the production service of intelligent charging cells and second-life batteries, disposal and recycling, as well as green finance and the construction of “green infrastructures, energy efficiency and alternatives associated with cement production.”

Cultural cooperation

Based on the collaboration agreement in the cultural and educational area, signed in 1988, “a more fluid exchange between official delegations in the cultural field, artistic groups and cultural institutions of both countries” will be sought between 2024 and 2028.

Health

A “general framework to develop cooperation in the area of health between Uruguay and China” was agreed upon and “lists in a non-exhaustive manner the following priority areas of cooperation: public health (prevention and control of infectious diseases and health promotion); medicine in the context of emergencies and disasters; telemedicine; medical investigation; maternal and child health care, and health for the elderly.

Beef protocol

The beef protocol was updated, allowing the export of beef stomachs – including tripe -. According to the National Meat Institute of Uruguay, this could imply an increase of 40 million dollars annually for the export of tripe, which, added to what is already exported, would total about 59 million dollars.

The quarantine period for livestock in agricultural establishments before slaughter was reduced from 90 to 46 days.

Sheep and goat meat protocol

The sheep and goat meat protocols were also updated, and the quarantine period was reduced from 90 to 46 days.

Sports equine protocol

The quarantine and health requirements for exporting sport horses between Uruguay and China and the health responsibilities of both countries were agreed upon.

Export of lemons

The export of lemons is added to the citrus that Uruguay exports to China.

Live aquatics for consumption

Establishes quarantine and hygiene requirements for the export of edible aquatic animals to China.

Scientific and technological cooperation between the Technical Laboratory of Uruguay (LATU) and the China Market Regulatory Administration

This agreement between Uruguay and China seeks to be the starting point for collaboration and development of joint projects, scientific production, and exchange of researchers. “It will focus on specific areas such as scientific and industrial metrology, as well as other advanced areas of metrology.”

Media, news, and audiovisual sector

Work is also underway to finalize the signing of a cooperation agreement between the Uruguayan Film and Audiovisual Agency (ACAU) and the National Radio and Television Administration of China (NRTA) for an exchange in the creation of content, co-productions, technologies, and training.

Sustainable development and low carbon emissions

A memorandum was drawn up to promote cooperation on sustainable and low-carbon development. “It focuses on key areas such as combating the global environmental crisis, protecting the environment, saving energy and improving energy efficiency, the circular economy, and reducing food loss and waste.”

Digital Economy

The MIEM and the China National Data Administration will generate digital economy policy exchanges and cooperation.

In conclusion, the relationship between Uruguay and China is characterized by a multifaceted and mutually beneficial partnership that has strengthened over the years. Diplomatically, both countries maintain positive and cooperative ties, focusing on promoting economic collaboration and cultural exchange. One of the critical features of their relationship is the robust trade ties, as China has become a significant trading partner for Uruguay. The Chinese demand for Uruguayan agricultural products, such as beef, has driven economic growth in Uruguay. The two nations have also engaged in infrastructure projects and investments, contributing to Uruguay’s development. Furthermore, cultural exchanges, educational initiatives, and people-to-people connections have fostered a deeper understanding and appreciation between the citizens of both countries. Overall, the Uruguay-China relationship is characterized by a strategic alignment of interests and a commitment to mutual benefit.