Hormuz, global shocks open door for Latin America as reliable supplier – APLA

Latin America should use the disruption in the Strait of Hormuz and other global shocks to present itself as a reliable, peaceful supplier of energy and petrochemicals and to build regional supply chains, the head of the region’s petrochemical and chemical association said.

Manuel Diaz, director general of the Latin American Petrochemical and Chemical Association (APLA), said that current geopolitical woes could be “an enormous opportunity” for Latin America.

“The competitor is on the other side. Hormuz gives us a key element of reliability, both as a producer and as a supplier of raw materials, and that is something we must seize in Latin America. Why the conflict in Hormuz happened is irrelevant. What matters is that there was a problem, and there will be others, because not everything can be resolved once and for all,” said Diaz.

“That is where the region’s great opportunity lies: in saying, ‘We are here.’ In fact, the first contract signed to export liquefied natural gas [from Argentina] was with Germany. They need a reliable supplier – not because they don’t have reliable partners, but because of what happened to them [too much dependence on Russian natural gas].” Diaz spoke to ICIS on the sidelines of the group’s annual meeting in Buenos Aires last week.

This story was originally published by Hellenic Shipping News. Read the full story at Hellenic Shipping News →