Bolivia eyes diversified markets

As Bolivia deals with a complex geopolitical environment, the South American nation, as a new BRICS partner member, is increasingly turning to China for trade.

The deepening China-Bolivia relations help counter protectionist measures. "Unlike the protectionist policies that the United States is putting in place, what we propose is to have greater market opening, greater economic complementarity with China," said Omar Rilver Velasco Portillo, a professor of economics and political science at the Universidad Mayor de San Andres.

As global trade grapples with the challenges from declining raw material prices, Portillo said China offers a reliable outlet for Bolivian exports, offering more stable pricing compared to other markets.

The first group of chia shipments from Bolivia was launched in mid-April. At an official ceremony on April 17, Bolivian President Luis Arce said his administration would lift all caps on exports to China, positioning the country as a key market for Bolivian goods. Bolivia's Ambassador to China Hugo Jose Siles Nunez del Prado has highlighted his country's efforts to boost exports of chia, sesame, beef and quinoa to China.

Given the US imposition of a 10 percent tariff on chia and other Bolivian products, the Bolivian president said his government's new trade policy could help redirect exports and support Bolivia's economy.

Chinese Ambassador to Bolivia Wang Liang said closer coordination between the two countries in trade and development helps safeguard global fairness and the common interests of both peoples.

Strong presence

Financial, trade and investment ties between the two nations have grown fast in recent years, said Gabriel Loza Telleria, former president of the Central Bank of Bolivia from 2008 to 2010.

"Foreign direct investment flows also increased. At the trade level, China's presence has increased significantly."

According to the Bolivian Institute of Foreign Trade, China accounted for a substantial portion of Bolivia's international trade.

"The current trade deficit with China points to the need for Bolivia to improve access to the Chinese market for our exportable products," Telleria added. "We must focus on market opening initiatives and strengthen technical cooperation to meet the necessary requirements."

In January, Bolivia's total exports to China reached $118 million, far surpassing the long-term average of $22.9 million from January 1999 to January 2025, according to CEIC data.

In addition to traditional exports, Bolivia is diversifying its portfolio to include sorghum, meat by-products, leather and hides. Chicken and pork exports are also in development, while niche goods such as coffee, Singani (local brandy), chocolate and sparkling wine are finding their way into the Chinese market through e-commerce channels.

China's open market policies and growing import demand make it a strategic ally for Bolivia.

"Bolivia's objective is to continue exporting products to China to rebalance its merchandise trade," said Portillo.

For the past two years, Bolivia has been managing a currency swap arrangement with China to secure a line of commercial financing. Portillo said it "will undoubtedly help strengthen the country's international reserves". He said Bolivia becoming a partner member of the BRICS group shows its commitment to the emerging multipolar economic order.

The writer is a freelance journalist for China Daily.