
The Return of Donald Trump to the Presidency of the United States: Implications for Latin America
Donald Trump’s return to the presidency of the United States marks a turning point in global politics, with significant implications for Latin America. This second term, centered on a more nationalist and protectionist rhetoric, brings both opportunities and challenges for the region, in a context already reshaped by leaders like Javier Milei in Argentina, Brazil’s adjustments under Lula da Silva, and the critical situation in Venezuela.
The Leading Role of Javier Milei
Javier Milei’s rise to the presidency of Argentina has caught Trump’s attention, as he sees the libertarian economist as an ideological ally. Milei has adopted clear stances that resonate with Trump’s approach: reducing the role of the state, a strong critique of socialism, and a focus on economic independence. This opens the door to a strategic alliance between the two nations, particularly in terms of bilateral trade, investments in energy (with Vaca Muerta as a central axis), and collaboration on security issues.
However, this alignment could also generate tensions with neighboring countries that take more progressive stances, such as Chile or Bolivia, impacting regional stability.
Brazil: Between Rhetoric and Reality
Lula’s Brazil faces a particular challenge with Trump’s return. The relationship between the two leaders has historically been distant, and Trump’s recent statements about the need to “review” trade agreements with the South American giant have raised concerns. However, Brazil remains a key partner for the United States on issues such as climate change and food security.
The bilateral relationship will likely oscillate between pragmatic cooperation and ideological confrontation. Brazilian companies operating in strategic sectors, such as agribusiness and mining, will need to closely monitor potential adjustments to U.S. tariff policies.
Venezuela: A Key Piece on the Geopolitical Chessboard
Trump’s return also revives interest in Venezuela, a country that has been a central focus of his foreign agenda. Trump has reaffirmed his intention to intensify sanctions against Nicolás Maduro’s regime, seeking to increase pressure for a leadership change. However, this policy could become more complicated in a context where actors like China and Russia have consolidated their influence in the Caribbean country.
From a legal perspective, companies with interests in Venezuela must carefully evaluate their strategies in light of stricter sanctions and the potential impact on their international operations.
Legal and Economic Perspectives for Latin America
Trump’s new term offers a mix of risks and opportunities for Latin America. While some countries like Argentina may benefit from closer ideological alignment, others, such as Brazil and Venezuela, will face greater challenges. Businesses and investors must prepare for a more volatile environment, where strategic decisions must quickly adapt to shifting political and economic dynamics.
Our law firm is ready to advise clients in the region on these new scenarios, helping them navigate the changing regulatory landscape and identify business opportunities in a context of profound transformations.
If you need more information on how these trends could affect your business, feel free to contact us. Our team is available to provide the support you need.
Author: Ramiro de Iturralde