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Economist Podcasts

Make ore break: Latin America’s commodities

Aug 17, 2023
Ana Lankes, The Economist's Latin America correspondent, delves into the region's lithium-rich landscape. She highlights how lithium, essential for batteries, signals a potential commodities boom, impacting global markets. The conversation touches on the challenges posed by local protests and regulation in key countries like Chile and Brazil. Additionally, the risks facing Germany's auto giants, particularly Volkswagen, amidst shifting demands are explored. Lankes also connects the booming interest in women's football in England to broader societal changes.
25:04

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Quick takeaways

  • Latin America is well positioned for a commodities boom with increased demand for metals and minerals, growing food reserves, and geopolitical tensions prompting investment.
  • Germany's car industry needs to adapt to transitions such as electrification and software integration, while a more diverse economy could be beneficial for the country.

Deep dives

Latin America's Potential Commodities Boom

Latin America is well positioned to benefit from a potential commodities boom due to three factors. First, the green transition is increasing demand for metals and minerals. Second, global population growth requires more foodstuff like grains and meat, in which Latin America has significant reserves. Third, geopolitical tensions between China and the US are prompting investors to look for neutral regions, with Latin American countries fitting the bill. The region's abundance of critical minerals, metals, and fertile farmland make it attractive for investment.

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