Connecting futures: China and Latin America deepen collaboration in digital transformation

As the world moves into a new era of connectivity, Latin America is making strides in digital transformation, driven by an urgent need to bridge the digital divide and unlock economic potential. Across the region, partnerships with China are playing a pivotal role in this progress, combining advanced technology and shared ambitions for innovation.

From deploying 5G infrastructure to building smart industrial parks, China is helping Latin America enhance its digital landscape. This collaboration not only boosts connectivity but also fosters cultural exchange, innovation and sustainable growth.

Growing demand for digital infrastructure 

Latin America's network infrastructure remains relatively underdeveloped compared to other parts of the world. According to the United Nations Development Programme, only 67.3 percent of households in the region had internet access in 2022, compared to 91.1 percent in OECD countries. However, efforts to bridge this digital divide are gaining momentum, driven by rising demand for better connectivity and increasing investments in digital infrastructure.

For instance, optical networks have become the region's primary broadband technology, rapidly advancing alongside increasing investment in digital infrastructure. A study by the International Telecommunication Union suggests that a 10-percent increase in fixed broadband penetration in the Americas could boost GDP per capita by 1.9 percent – a compelling incentive for continued growth.

China has become an important partner in this digital transformation, leveraging its advanced technology and experience. Companies like Huawei have deployed over 8,000 kilometers of optical fiber in the Amazon rainforest since 2020, bringing internet access to 3.7 million people. Similarly, China Telecom has provided scalable solutions for domestic and international connectivity within Brazil.

Sunwave Communications in east China's Zhejiang Province is also making contributions to the region's digital evolution. "With new models, industries, and business opportunities, Latin America has immense growth potential," noted Gustavo Kretschmer, vice president of sales for Latin American at Sunwave. The company partners with operators in Brazil, Chile and other countries, providing 5G solutions for diverse sectors such as office buildings, rail transit, commercial complexes and mining stations, while improving connectivity in over 40 major venues across the region.

One example is Porto Alegre Airport in Brazil, one of the country's top 10 airports, which often faced unstable signals due to high passenger volumes and its complex structure. After implementing Sunwave's digital DAS solution, the airport achieved 100-percent wireless coverage, significantly boosting download speeds and improving the passenger experience.

Chinese President Xi Jinping emphasized the importance of such partnerships in a signed article published by Brazilian media on Sunday, calling for greater synergy between China's Belt and Road Initiative and Brazil's development strategies.

"At present, as the new sci-tech revolution and industrial transformation gather pace, our two countries must seize the opportunities offered by the times," he noted in the article.

5G and industrial development under Belt and Road Initiative

The collaboration extends beyond digital connectivity to large-scale industrial projects, as China and Latin American and Caribbean countries have worked together to drive innovation and sustainable development in the region.

This January, the Phoenix Industrial Park (Phoenix) in Trinidad and Tobago, built by China's Beijing Construction Engineering Group (BCEG), opened as the Caribbean's first comprehensive smart industrial park with full 5G network coverage, featuring advanced technologies such as artificial intelligence, facial recognition and sustainable systems like solar lighting and wastewater treatment.

The process of completing this project wasn't without its challenges. Daniel Duncan, vice president of Evolving Technologies and Enterprise Development Company Limited (e TecK), spoke of the initial cultural and technical differences in working with BCEG.

"We had many heated arguments, but as time went by, our cooperation matured," he told China Media Group. "Today, we can proudly say that this project was a success."

Ninety percent of the Phoenix workforce is locals. During the construction of the project, many Trinidadians developed a keen interest in Chinese culture, prompting BCEG to offer Chinese language classes over the weekends. "Many workers expressed a desire to visit China someday," said Wang Tao, project manager of the Phoenix. "It's an honor to share our culture abroad."

Duncan echoed similar sentiments. "Cultural exchange through training helps us understand each other better and improves the way Chinese companies operate in our construction sector. This collaboration will undoubtedly elevate our local industry with China's expertise."

Through enhanced cooperation in technology and digital infrastructure, China and Latin American countries are building bridges that promise long-term benefits for both regions. The growing partnership not only strengthens digital connectivity but also fosters cultural understanding and economic growth, thus laying a solid foundation for the future.