Mercadolibre CEO Marcos Galperin
CNBC
The CEO of Argentina’s MercadoLibre – Often called the Amazon From Latin America: see a great opportunity for Latin America in the American-China commercial war.
“If Latin America plays its letters well, I think it could benefit from this volatility,” said the CEO and founder of Mercadolibre, Marcos Galperin, Robert Frank of CNB on the margin of the LATAM Tech Forum for Riverwood Capital Management in Miami.
Galperin is the richest person in Argentina with a fortune of $ 8.7 billion per Forbes estimate.
Mercadolibre shares, an electronic commerce firm and payments, have increased by almost 30% this year, while Amazon, which faces a massive exposure to the sweeping tariffs of President Donald Trump, has dropped 15%.
Galperin told CNBC that Latin American companies, especially in Mexico, can win from growing tensions between us and a one if their main commercial partners. He pointed out that many US companies have already transferred their manufacturing operations to Mexico from China and other Asian countries.
Mexico has a free trade agreement with the USA. Which means that some imports from the country are exempt from Trump rates of up to 25% in Mexican goods.
However, the president of the United States has affected China harder with a tariff rate of 145% in Chinese products.
Galperin said Friday that he believes that there will be a “permanent change” in commercial relations between the United States and China.
“I don’t know how it will end, but I think the situation in which everything was manufactured in China and consumed in the United States, and China bought t-bills and in a funded way that, I think that dynamic is over,” he said.
Argentina, the country of origin of Galperin, has a long history of protectionist policies that include high rates. The Argentine president, Javier Milei, who described Trump as an ally, has reduced tariffs and import restrictions since its inauguration at the end of 2023.
“I think what Milei is doing is great for Argentina,” Galperin said about free market reforms.
However, he warned that there will be growth pain.
“I hope it works,” he said. “The changes are painful, and I hope that people have the patience and time to give it to see that these changes in the medium and long term really create benefits for all.”
