Atlantic Basin Initiative Center for Transatlantic Relations
Behind the Emerging Atlantic Basin… Trade / Investment ties remain strong between the U.S. and Europe but both parties need new avenues of growth. Latin America & Africa represent new, largely untapped markets for US/EU multinationals. The global premium on global resources has lead many multinationals to LA and Africa. Greater economic reform, political stability and improving finances have converged to make LA and Africa more Atlantic investment locations. The rising middle classes of LA and Africa represent a new source of global supply (workers) and demand (consumers).
Greater Global Engagement: Why Africa? Significant / Accessible source of global commodities. Improving physical infrastructure, facilitating more cross-border trade and FDI. Rising middle classes, triggering more demand for Western goods / services. Annual economic growth rates well ahead of developed nations. New source of demand / supply for stagnant Europe, struggling U.S. Reduced conflicts in many states, along with more political, economic and institutional reforms.
Source: UN Service Trade Statistics Database Note: % of World Share excluding intraEU27 trade Services Exports JHU SAIS Center for Transatlantic Relations
Source: UN Service Trade Statistics Database Note: % of World Share excluding intraEU27 trade Services Imports JHU SAIS Center for Transatlantic Relations
North America Portfolio Investment Money JHU SAIS Center for Transatlantic Relations
EU27 Portfolio Investment Money JHU SAIS Center for Transatlantic Relations
Africa Portfolio Investment Money JHU SAIS Center for Transatlantic Relations
Latin America Portfolio Investment Money JHU SAIS Center for Transatlantic Relations
Caribbean Portfolio Investment Money JHU SAIS Center for Transatlantic Relations
Source: UNODC World Drug Report(2010) Cocaine Flows in Atlantic Basin (tons) JHU SAIS Center for Transatlantic Relations