Economic relations and the public image of China in Latin America: a cross-country time-series analysis

Abstract This article investigates the impact of Chinese economic activities in Latin America on the national image of China in the region. Using economic and public opinion data from 17 Latin American countries from 2001 to 2016, this work relates cross-national time-series variations regarding China’s image in Latin America to changes in the economic ties (such as trade, FDI, and contracts) between the perceiving countries and China. Controlling for the size of the economy and the level of its development, the statistical analysis indicates that trade surplus against China in Latin America has a positive effect on the public perceptions of China in the region, while Chinese FDI outflows to Latin America lead to a negative effect. The effects of Chinese contracts, imports, and exports tend not to be statistically significant. We also find less developed Latin American countries with low life expectancy and low educational attainment tend to have a more positive view of China than their richer counterparts in the region. Finally, we find that Latin American countries under presidents with left-wing ideology have a much more positive view of China than countries under presidents with other ideological preferences. Diplomatic relations with China and China’s soft power influence as indexed by the presence of Confucius Institutes do not exhibit a strong impact on China’s national image in Latin America, compared with the dominant political ideology in a Latin American country as reflected in the president’s ideology.