A lorry filled with Brazilian-made cars makes its way down the winding roads of Paso Internacional Los Libertadores into Chile, but the journey is not without challenges. The harsh weather conditions of snow, ice, and avalanches threaten to damage the road at every turn. The lorry comes to a stop four times for road repairs before finally reaching its destination. Border officials estimate that there is at least one crash a week at this busy trade crossing between Argentina and Chile.
Despite being the busiest trade route between the two countries, Paso Internacional Los Libertadores faces operational challenges in the winter months. Treacherous ice limits its operating hours to just 12 a day during winter and shuts down completely for about 40 days when covered in snow. Latin America’s international trade has steadily increased over the past two decades, but it still lags behind most emerging markets. Without Mexico’s strong manufacturing sector for export to the United States, the region’s trade performance is even weaker. In South America, trade in goods represents less than 30% of GDP, compared to around 50% in other emerging markets.
