Subscribe to our free, weekly email newsletter!


Latin America supply chains mature

By Patrick Burnson, Executive Editor
July 25, 2013

The 2013 A.T. Kearney Foreign Direct Investment Confidence Index, a regular measure of senior executive sentiment at the world’s largest companies, indicates that Latin America remains attractive to U.S. shippers and manufacturers.  Furthermore, key emerging economies in the Americas are making a strong showing in the investment landscape this year, with Chile, Argentina, and Mexico joining Brazil in the top 25.

“Rather than a temporary safe haven during economic upheaval, emerging markets—particularly in Latin America—are developing into a complement, instead of an alternative, to the developed world,” notes Erik Peterson, managing director of A.T. Kearney’s Global Business Policy Council.

Brazil maintained its third place position in the FDICI this year. In 2011, its FDI hit $66.7 billion, its highest level ever and a 37 percent increase since 2010. More inflows are likely on the way, with the 2014 World Cup and 2016 Olympics needing transportation and infrastructure investments of $200 billion. Manufacturing remains the recipient of nearly half of Brazil’s FDI, with European, Scandinavian and Chinese investors all adding billions to its economy.

But before entering this vibrant marketplace, trade experts advise supply chain managers to conduct a careful examination of the region’s transportation and regulatory infrastructure.

“Given sociopolitical and economic forces that seem only to be racking up new surprises each year,” Peterson says, “investors in developed economies and emerging countries alike will need to find nimble strategies to deal with this shifting landscape.”

About the Author

image
Patrick Burnson
Executive Editor

Patrick Burnson is executive editor for Logistics Management and Supply Chain Management Review magazines and web sites. Patrick is a widely-published writer and editor who has spent most of his career covering international trade, global logistics, and supply chain management. He lives and works in San Francisco, providing readers with a Pacific Rim perspective on industry trends and forecasts. You can reach him directly at .(JavaScript must be enabled to view this email address).


Subscribe to Logistics Management magazine

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your
entire logistics operation.
Start your FREE subscription today!

Recent Entries

When the United States House of Representatives last week voted extend current law and authorizes surface transportation programs through the end of July by a steep margin, it was widely expected that the United States Senate and follow their lead. That is exactly what happened on Friday, May 22, with the measures headed to President Obama to be signed into law.

For the month of April, Cass and Avondale found that truckload rates in April, which measures truckload linehaul rates paid during the month, were up 3.8 percent annually, while intermodal dropped 1.9 percent annually during the same period.

Following the Pacific Maritime Association (PMA) signing off on ratifying a new five-year contract with the International Longshore & Warehouse Union (ILWU) on May 20, the ILWU followed suite on May 22, saying that 82 percent of its longshore worker members voted to ratify the tentative contract agreement between the parties that was reached on February 22.

Straying from its typical seasonal trajectory, United States-bound waterborne shipments dipped from March to April, according to data recently issued by Panjiva, an online search engine with detailed information on global suppliers and manufacturers.

One theme tied together all of the presentations, regardless of the topic: The importance of data.

Article Topics

News · Global Logistics · All topics

Comments

Post a comment
Commenting is not available in this channel entry.


© Copyright 2015 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA