In his 1933 inaugural address, U.S. President Franklin D. Roosevelt adopted a novel approach toward Central and South America, the “Good Neighbor” policy, aimed at substituting goodies for gunboats. It was ultimately derailed by U.S. economic woes, a global war, and an increasing focus in Washington on security.
    Ninety years later, the same story is still playing out. For decades, Washington has halfheartedly sought to reach out to Latin America, only to be distracted by terrorists, the Taliban, or trade wars. While every other major power takes pains to tend its own garden, the United States has for decades let what it still regards as its own backyard grow unkempt.
    “If the United States doesn’t show up with a meaningful economic agenda for the region, the region is going to turn to people who will,” Eric Farnsworth, the vice president of the Americas Society/Council of the Americas (AS/COA), told Foreign Policy. “And who’s the obvious choice? The one with the money: China.”
    The Biden administration is taking some steps—as previous administrations have—to put Latin America back on the agenda, especially in terms of economic engagement. The Americas Partnership for Economic Prosperity (APEP), which was unveiled at the Summit of the Americas in Los Angeles last June, is the Biden administration’s most significant effort to strengthen the U.S. position in the region. U.S. Trade Representative Katherine Tai described the initiative as a “new type of economic arrangement,” with cooperation in sectors such as clean energy and sustainable development. 
    “What we are trying to do is create a framework for regional cooperation with the objective of stimulating integrated economic growth, that will guarantee that our hemisphere remains among the most dynamic and prosperous economic regions in the world,” Jose Fernandez, the U.S. undersecretary of state for economic growth, energy, and the environment, told reporters.
    Congress is even getting in on the act, with a bill that would create a pathway to membership in the United States-Mexico-Canada Agreement (USMCA), which succeeded NAFTA, for democracies in the region. “We need to prioritize partnerships in the Western Hemisphere to improve trade, bring manufacturing back to our shores, and compete with China,” said Sen. Bill Cassidy, who introduced the legislation; Rep. Maria Salazar introduced companion legislation in the House.
    U.S. interest in Latin America is, as in so many places, spurred by the specter of Chinese incursion. Chinese economic activity in Latin America has grown exponentially since the turn of the century—and is still growing. China and Chinese banks are major investors in Latin America, particularly in mining and energy. Beijing is now South America’s largest trading partner, with Chinese trade with the region expected to double by 2035, reaching more than $700 billion.
    The U.S.-China Economic and Security Review Commission, in its most recent report to Congress last year, underscored the potential challenges posed by Chinese investments in critical minerals, infrastructure, and even vaccine diplomacy in Latin America. What for years was seen as benign Chinese investment has increasingly come to be seen in Washington as nefarious.
    “I think the United States has finally come around to recognizing that it’s not just about trading commodities,” said Farnsworth of AS/COA.