Historical Context: The UK’s relationship with Latin America stretches back centuries, intertwined with colonialism, the rise of commodity-driven economies, and periods of intense political intervention. Treaties like the Treaty of Utrecht (1783) established British dominance in the Caribbean, while subsequent interventions in countries like Chile (1883) and Argentina (1890) reflected imperial ambitions. Post-World War II, the region became a crucial market for British goods and a site for the establishment of British investment. However, the decline of the British Empire and shifting geopolitical priorities led to a period of diminished engagement, punctuated by occasional diplomatic tensions regarding human rights and democratic governance. The recent resurgence in trade reflects a growing recognition of LATAC’s economic diversification and increasing demand for British expertise, particularly in sectors like financial services and sustainable technologies.
Key Stakeholders and Motivations: The primary stakeholder is, of course, the United Kingdom, seeking to diversify its export markets and attract foreign investment. London and the City of London remain a global financial hub, and access to the burgeoning economies of Brazil, Mexico, Colombia, and Argentina represents a significant opportunity. However, the motivations of the Latin American nations are equally complex. Countries like Brazil and Mexico are seeking to strengthen their economies through foreign investment and access to advanced technologies. Colombia and Peru are actively pursuing diversification beyond traditional commodity exports, and the UK’s trade expertise could be particularly valuable. Furthermore, the European Union’s ongoing trade negotiations within the region, and the potential for a post-Brexit trade landscape, create an environment where the UK seeks to actively shape the terms of engagement. “The region’s strategic location and growing economic importance make it a natural focus for the UK’s trade and investment ambitions,” explains Dr. Ricardo Ramirez, Senior Fellow at the Latin American Institute for Strategic Studies. “This appointment demonstrates a long-term commitment to building a sustainable partnership.”
Recent Developments & Data: Over the past six months, the UK’s trade with Latin America has shown impressive growth. According to Office for National Statistics (ONS) data released in June 2025, exports to the region are up over 50% in current prices, rising from £68 billion in 2021 to £106 billion in the 12 months to June 2025. This increase is largely driven by rising demand for British goods and services, particularly in the technology and manufacturing sectors. Foreign Direct Investment (FDI) into the UK from Latin America has also accelerated, reaching over £126 billion at the end of 2023, according to ONS figures. “We’re seeing a real shift in attitudes,” states Oliver Ballhatchet, Acting HMTC. “Companies are recognizing the opportunities that Latin America offers – a stable political environment, a growing middle class, and a strategic location.” Furthermore, the Department for Business and Trade (DBT) has finalized trade deals with several LATAC nations, further streamlining market access for UK businesses.
The Role of the Trade Commissioner: The new Trade Commissioner’s responsibilities are multifaceted. They encompass actively encouraging UK exports, improving market access for UK companies by removing barriers, attracting inward investment, and influencing multilateral trade policy. Crucially, the Trade Commissioner is tasked with delivering on the commitments outlined in the UK Trade, Industrial, and Small Business Strategies, highlighting a strategic integration of trade policy with broader industrial development goals. “It’s not just about selling goods,” explains Jonathan Knott, the outgoing HMTC. “It’s about building relationships, sharing expertise, and fostering innovation.”
Short-Term & Long-Term Outlook: Over the next six months, we can anticipate continued growth in UK trade with Latin America, driven by pent-up demand and the ongoing implementation of trade agreements. However, significant challenges remain, including fluctuating commodity prices, geopolitical instability (particularly in Venezuela), and regulatory hurdles. Looking five to ten years ahead, the UK’s success in LATAC will hinge on its ability to foster deeper, more resilient partnerships. The shift towards sustainable and resilient economies, a key priority for the region, presents a significant opportunity for the UK to showcase its expertise in green technologies and sustainable investment. “The UK has a unique advantage in this area,” argues Maria Hernandez, Senior Economist at the Inter-American Development Bank. “Its commitment to climate action and its strong financial sector can play a crucial role in supporting LATAC’s transition to a low-carbon economy.”
Reflection & Debate: The appointment of Amy Barklam represents a calculated move by the UK government to reassert its influence in a strategically important region. The impressive trade figures demonstrate a degree of success, but the long-term sustainability of this strategy will depend on addressing fundamental challenges, including political instability and economic inequality. Does this new focus signal a genuine commitment to deep engagement, or simply a pragmatic response to economic realities? How will the UK navigate the complex political landscape of LATAC – one characterized by diverse interests and potentially conflicting agendas? The UK-Latin America trade relationship is a dynamic and evolving one, and continued scrutiny is essential to ensure that it benefits both sides.