US turns to Guyana’s bauxite in its latest push for Latin America’s resources
GEORGETOWN, Guyana — The United States announced Friday that it is turning its attention to Guyana’s abundant bauxite and other resources for business opportunities, at a time when the Trump administration is increasingly interested in Latin American energy and minerals.
US Undersecretary for Economic Affairs Jacob Helberg spoke this week with top Guyanese officials, including President Irfaan Ali, in the South American country facing an oil boom.
The country’s massive oil reserves discovered over the past decade have increased Guyana’s geopolitical importance, which has only been amplified during a global energy crisis sparked by the war in Iran. Its bauxite reserves are essential for aluminum production.
The Trump administration has focused more aggressively on Latin America’s resources, from increasing oil production in Venezuela after the U.S. military invasion in January to continuing cooperation with Brazil on critical minerals.
In a region where energy production appeared to be in decline, Latin America is now seeing a reversal of that trend, according to Benjamin Gedan, senior fellow and director of the Stimson Center’s Latin America program.
“In times of global energy shortage, there is much more focus on Latin America as an alternative and stable source of supply,” Gedan said. “And Guyana is the leader in this story.”
The visit comes amid concerns within the U.S. government that the Chinese government and megacorporations are profiting from multimillion-dollar government contracts at the expense of U.S. companies.
Guyanese officials have argued that U.S. companies are not as aggressive as Chinese ones, which often offer financing and meet labor needs for megaprojects.
Helberg told officials that bauxite reserves are already known and therefore the United States will be interested in this sector. Currently, Chinese operator Bosai Minerals is the dominant player in the local bauxite sector.
“Generally speaking, we both understand that Guyana is a country with many natural resources,” Helberg said of the bilateral negotiations.
He suggested that the United States could also help Guyana conduct high-tech studies to determine what other minerals lie beneath the surface that could be further exploited.
The United States is seeking to learn from its past mistakes by allowing China to gain a foothold in the region, according to Jason Marczak, vice president and senior director of the Adrienne Arsht Center for Latin America at the Atlantic Council.
Although Guyana is likely trying to diversify its trade relations, particularly with China, this visit shows that the country remains a strong partner of the United States in the region.
“President Ali in particular is very close to the United States and generally recognizes the importance of the United States as a key partner for Guyana,” Marczak said. “This is reflected in Helberg’s visit to Guyana.”
Guyana’s Foreign Minister Robert Persaud told The Associated Press on Friday that Guyana wants to attract American investors to the mineral, oil and gas-rich country in the coming months.
“The United States is our strategic partner and we have made it clear to them that we want value addition to bauxite and other products. We are interested in processing and improving energy production,” he said.
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Associated Press writer Anna-Catherine Brigida reported from Mexico City.
