Section 4 Latin America and the Caribbean

1 Overview

(1) Situations in Latin America and the Caribbean

As the free and open international order based on the rule of law faces serious challenges, and the presence of the developing and emerging countries known as the Global South grows, cooperation with countries in the Latin America and the Caribbean (hereafter referred to as “LAC”) region, many of which share values and principles such as freedom, democracy, the rule of law, and human rights, is gaining renewed importance. At the same time, the LAC region has great economic potential, with a population of approximately 660 million and gross regional product of approximately 6.5 trillion U.S. dollars. The region also has abundant mineral resources and energy, which are vital for decarbonization, food resources, and more. As such, the region is becoming increasingly important from the perspective of strengthening supply chain resilience and economic security of the international community, including Japan. While the region's GDP growth rate is projected to be 2.1% in 2024, continuing the positive growth trend since 2022, social challenges such as income inequality and security are still matters of utmost priority for many LAC countries.

In the LAC region, there are the Nikkei (Japanese immigrants and their descendants) communities numbering approximately 3.1 million, or about 60% of the world's Nikkei population.

These communities have fostered a traditional sense of affinity toward Japan in LAC countries through contributions to the local areas for more than a century.

On the other hand, generations have transitioned over 100 years since the Japanese migration began, and the challenge is how to deepen ties between Japan and the communities, including among the younger generation. In this regard, the Ministry of Foreign Affairs (MOFA) has implemented measures to strengthen collaboration with the Nikkei communities, including inviting young Nikkei people to Japan and supporting the holding of events by young Nikkei people in various countries to promote creation of networks. In January 2023, MOFA established the Division for Collaboration with Communities of Japanese Immigrants and Descendants (“Nikkei”) in Latin America. In addition, during Prime Minister Kishida's visit to Paraguay and Brazil in May, Prime Minister Ishiba's visit to Peru and Brazil in November, and Foreign Minister Iwaya's visit to Peru in November, meetings were held with Nikkei people, confirming that collaboration will be strengthened with the Nikkei communities.

(2) Japanese Diplomacy toward Latin America and the Caribbean Countries

Japan's diplomacy toward the LAC region has developed under the guiding principle of the three “Juntos!!” (meaning “together”) since 2014. In May, Prime Minister Kishida gave a policy speech on the LAC region in Brazil entitled “Paving a Pathway to ‘Human Dignity' with Latin America and the Caribbean,” updating Japan's guideline for the first time in a decade. In the speech, he outlined the following three key directions: (a) Ensuring the free and open international order based on the rule of law, (b) Overcoming common challenges that humanity faces such as the environment and climate change, and (c) Pursuing prosperity that can be shared by all people in the world and does not come at others' expense. Taking into account changes in the international community and the issues it faces, he indicated Japan's resolve to work together with LAC countries to open a new path through dialogue. In addition, in February in Panama, Foreign Minister Kamikawa announced the Diplomacy Initiative toward Latin America and the Caribbean. The initiative pursues new forms of cooperation with LAC countries by integrating themes of growing importance, such as the oceans and gender equality, as well as Japan's unique bond with the LAC region through the Nikkei community, into Japan's traditional diplomatic efforts. Under this new guideline for LAC diplomacy and the initiative to implement it, Japan's diplomacy toward the LAC region showed further deepening in 2024.

Following Prime Minister Kishida's visits to Paraguay and Brazil in May, Prime Minister Ishiba made an Official Visit to Peru in November on the occasion of the APEC Economic Leaders' Meeting. He also visited Brazil to attend the G20 Rio de Janeiro Summit, where he held a meeting with President Luiz Inácio Lula da Silva. Foreign Minister Kamikawa also visited Brazil in February during the G20 Foreign Ministers' Meeting, where she held meetings with the foreign ministers of Brazil, Bolivia, and Mexico. She then visited Panama and paid a courtesy call on President Laurentino Cortizo Cohen. In addition, Foreign Minister Iwaya visited Peru in November to attend the APEC Ministerial Meeting and held a meeting with Foreign Minister Elmer Schialer. Furthermore, State Minister for Foreign Affairs TSUGE Yoshifumi visited Mexico in April. Parliamentary Vice-Minister for Foreign Affairs HOSAKA Yasushi also visited Honduras and Guatemala in January; Antigua and Barbuda, Guyana, and El Salvador in June; and Brazil in July. Many ministers and others from MOFA and related ministries and agencies also visited countries in the LAC region. In Tokyo as well, Foreign Minister Kamikawa, State Minister for Foreign Affairs Tsuge, and Parliamentary Vice-Minister for Foreign Affairs Hosaka continued their dialogue with ambassadors from LAC countries stationed in Japan.

On the economic front, supply chain connections are being strengthened, including the continuing trend of increases in the number of Japanese companies operating in the LAC region, which reached 3,047 in 2023.

Japan is working on promoting free trade together with LAC countries including through the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), in which Mexico, Peru, and Chile participate. In November, the process began for Costa Rica's accession to the CPTPP.

In the field of development cooperation, for some areas of the LAC region that have achieved economic growth, South-South cooperation is being accelerated by countries that have already “graduated” or will “graduate” from the status of recipient countries on the Development Assistance Committee (DAC) List of ODA Recipients by the Organization for Economic Co-operation and Development (OECD). Japan is promoting triangular cooperation with these countries.