Colombia has formally joined China's landmark Belt and Road Initiative despite strong opposition from the country's private sector, which warns the decision could severely damage domestic industries.

President Gustavo Petro announced the development on May 14 during his official visit to Beijing, calling it a strategic move that would transform historically excluded territories like San Andrés and Buenaventura into technology production hubs. "From now on, Colombia will interact with the entire world on a footing of equality and freedom," he said.

Chinese President Xi Jinping welcomed the country to the "Belt and Road Initiative family" and expressed readiness to import more Colombian products whilst supporting Chinese firms investing in the South American nation.

For his part, Petro urged both sides to leverage the BRI framework, expand cooperation in areas such as trade, infrastructure, clean energy and artificial intelligence, and improve people's lives.

He also expressed confidence that Colombia’s participation in the BRI would not affect its long-standing trade relations with the United States.

The initiative, launched by Xi in 2013 and a central pillar of Beijing's soft power strategy, has expanded to include more than 200 cooperation agreements with over 150 countries and 30 international organisations. It aims to enhance connectivity across continents through massive infrastructure projects ranging from railways to satellite networks.

"China is willing to work with Colombia and other LAC countries to continuously promote the building of a community with a shared future," Xi said, as quoted by state media.

However, Colombia's business community has reacted with alarm. Bruce Mac Master, president of the National Association of Industrialists (ANDI), described the move as a "massive error" that threatens local production, as reported by Bloomberg Linea. "When Colombia faces competitors of such size, with products developed using research subsidies, exchange rate advantages and energy subsidies, our industries will likely disappear," he warned.

The trade imbalance between the two nations is already substantial. In 2024, Colombia imported goods worth $14.8bn from China (up 15% from 2023), while exporting just $2.4bn (down 3.7%). This trade deficit exceeded $12.3bn last year. More worryingly, Colombian exports to China fell by 22.2% to $504.9mn in the first quarter of 2025.

According to EFE, foreign direct investment from China to Colombia totalled $813mn between 1994 and 2023, significantly lower than US or Spanish investment, with Chinese funds primarily directed toward infrastructure, mining, energy and transportation sectors.

Colombian Foreign Minister Laura Sarabia hailed the agreement as the country's "boldest step in decades," claiming it would create "endless opportunities in trade, investment, and tourism." China recently displaced the United States as Colombia's largest source of imports, though the US remains its top overall trading partner.

The decision comes as Latin America emerges as a battleground in US-China relations. During the China-CELAC Forum in Beijing, Xi pledged $9.2bn in development credits to Latin American nations and promised cooperation on infrastructure, clean energy, and fighting organised crime.

Brazil's President Luiz Inacio Lula da Silva, also attending the forum, stressed that the region doesn't "want to repeat history and start a new Cold War," whilst Chilean President Gabriel Boric met with Xi to discuss multilateralism and free trade.