Manuel Diaz, the General Director of the Latin American Petrochemical and Chemical Association (APLA), announced that disruptions in the Strait of Hormuz and other global crises could serve as an opportunity to introduce Latin America as a reliable and peaceful supplier in the energy and petrochemical sector. He emphasized the need to create regional supply chains during the annual meeting of this association in Buenos Aires.
New Opportunities for Latin America
Diaz stated that the current geopolitical problems could be a "huge opportunity" for Latin American countries. He emphasized that the Strait of Hormuz, as a key element in the reliable supply of raw materials, could work to the advantage of this region. He said, "Our competitors are on the other side, and we must seize this opportunity. It doesn't matter why the crisis in Hormuz has occurred; what matters is that there is a problem, and other problems will arise in the future."
Read more: Iran and Tajikistan Trade Aims to Increase Exchanges to One Billion Dollars
The Impact of Global Tensions on the Chemical Industry
Diaz continued that the problems that turn into opportunities are not solely dependent on the political situation in the United States but are related to the increase in conflicts and crises that have occurred over the past decade. He referred to the crises resulting from the pandemic, the Russia-Ukraine conflict, and the recent tensions in the Strait of Hormuz, stating: "This is a good opportunity, and I think one of the countries that will benefit from this situation is clearly Brazil."
The General Director of APLA also emphasized that Latin America, as a peaceful region, could be recognized as a reliable supplier in the global market.
Diaz also pointed out the social and economic challenges in Latin America, stating that severe inequalities hinder the growth of consumerism in these countries. He expressed confidence that the industry will move towards creating regional supply chains.
Differences in Economic Models in Brazil and Argentina
The General Director of APLA further pointed out the differences between the economic models of Brazil and Argentina, stating that Brazil's protective policies are seen as a natural response to the current global situation. He did not comment on the industrial policies of Javier Milei, the President of Argentina, which have posed challenges for the industrial sector.
Diaz also called attention to the fact that competition today is no longer just between companies but is a competition between the public policies of governments on a global scale. He stated: "If we talk about protectionism, the United States has also imposed tariffs, and I do not consider the United States a conservative country. This is the reality we are currently living in, and we must adapt to global changes."
Read more: Gas imbalance will reach 430 million cubic meters this winter · Presence of Khark Petrochemical and Fanavaran at the CIIE Exhibition in China
