Updated May 17, 2021
Latin America and the Caribbean: U.S. Policy Overview
U.S. interests in Latin America and the Caribbean are
vaccination rates remain low for many countries in the
diverse and include economic, political, security, and
region. The International Monetary Fund estimates a
humanitarian concerns. Geographic proximity has ensured
regional economic decline of 7% in 2020, with almost
strong economic linkages between the United States and the
every country in recession. As a result, poverty and
region, with the United States a major trading partner and
inequality have increased throughout the region, and many
source of foreign investment for many countries. Free-trade
countries may struggle with protracted economic
agreements (FTAs) have augmented U.S. economic
recoveries. The economic setback associated with the
relations with 11 countries in the region. The region also is
pandemic contributed to increased protests in the region in
a large source of U.S. immigration, both authorized and
late 2020 and early 2021. Beginning in late April 2021,
unauthorized, with economic and security conditions being
mass protests in Colombia against a pandemic-related tax
major factors driving migration trends.
reform turned into broader anti-government protests.
Curbing the flow of illicit drugs from Latin America and
Trump Administration Policy
the Caribbean has been a key component of U.S. relations
Under the Trump Administration, U.S. relations with Latin
with the region for decades. The flow of illicit drugs —
America and the Caribbean generally moved toward a more
including heroin, methamphetamine, and fentanyl from
confrontational approach, especially regarding efforts to
Mexico and cocaine from Colombia—poses risks to U.S.
curb irregular immigration from the region, compared with
public health and safety. Since 2000, Colombia has
past Administrations’ emphasis on partnership. From
received support through Plan Colombia and its successor
FY2018 to FY2021, the Trump Administration’s proposed
programs. The United States also has sought to forge
foreign aid budget requests would have cut assistance to the
partnerships with other countries to combat drug trafficking
region considerably, but Congress generally rejected those
and related violence and to advance citizen security,
requests by providing significantly more assistance than
including through the Mérida Initiative, begun in 2007 to
requested. To deter increased unauthorized migration from
support Mexico; the Central America Regional Security
Central America, the Administration used a variety of
Initiative (CARSI), begun in 2008; and the Caribbean Basin
immigration policy tools, as well as aid cuts and threats of
Security Initiative (CBSI), begun in 2009.
increased U.S. tariffs and taxes on remittances. The
Administration also imposed broad economic sanctions on
Another long-standing component of U.S. policy has been
Venezuela, which generally were supported by Congress,
support for strengthened democratic governance and the
and significantly increased sanctions on Cuba. According to
rule of law, including initiatives to strengthen civil society
Gallup and Pew Research Center polls, negative views of
and promote human rights. Although many countries in the
U.S. leadership in the region increased markedly during the
region have made strides in democratic political
Trump Administration.
development, several face considerable challenges.
Biden Administration Policy
Increasing Chal enges in the Region
Thus far, much of the Biden Administration’s focus in the
Over the past several years, the quality of democracy has
region has been on immigration and Central America.
eroded in a number of countries, along with public
President Joe Biden has ended many of the previous
satisfaction with how democracy is working. In addition to
Administration’s restrictive immigration policies, while
Venezuela, Cuba, and Nicaragua—all ruled by authoritarian
contending with a large increase in the number of
governments repressing the political opposition—human
undocumented Central American and Mexican migrants
rights groups have expressed concerns about democratic
seeking to enter the United States. The Administration is
backsliding in several countries, including Brazil, El
preparing strategies to address the root causes of Central
Salvador, Guatemala, Haiti, and Peru. Many countries in
American migration and has indicated that it intends to
the region experienced social unrest in 2019 fueled by
request $4 billion in assistance to Central America over a
political factors, such as weak democratic institutions,
four-year period, including $861 million as part of the
politicized judicial systems, corruption scandals, and high
FY2022 foreign assistance budget request. In March 2021,
levels of crime and violence. Economic factors, such as
President Biden tasked Vice President Kamala Harris with
declining or stagnant growth rates and high levels of
overseeing efforts with Central America and Mexico.
income inequality and poverty, also increased social
pressure.
On Venezuela, the Administration continues to pressure the
government of Nicolás Maduro through sanctions but
Since 2020, the Coronavirus Disease 2019 (COVID-19)
maintains that the United States is committed to working
pandemic has had widespread public health, economic, and
multilaterally to bring about a return to democracy. In a
political effects in the region. As of May 16, 2021,
shift from the previous Administration, the Secretary of
according to Johns Hopkins University, the region reported
almost 982,000 deaths (29% of deaths worldwide), and
https://crsreports.congress.gov
Latin America and the Caribbean: U.S. Policy Overview
Homeland Security granted temporary protected status
approved H.R. 6, which would provide a pathway to
(TPS) to Venezuelans in the United States in March 2021.
citizenship for those brought to the United States as
children and those from countries with TPS designations
On Cuba, the Biden Administration is reviewing past policy
(currently including El Salvador, Haiti, Honduras,
decisions, including the previous Administration’s
Nicaragua, and Venezuela).
designation of Cuba as a state sponsor of terrorism, and
maintains that human rights is to be a core pillar of its
To date, the Senate has approved four resolutions on
policy.
various aspects of relations with the region. On April 15,
the Senate approved S.Res. 22, reaffirming the U.S.
The pandemic’s public health and economic effects are
partnership with Ecuador and supporting actions to
likely to further shape U.S. assistance efforts in the region,
strengthen relations, as well as S.Res. 37, expressing
including support for adequate vaccine supplies. In March
solidarity with the San Isidro Movement in Cuba (a civil
2021, the Administration announced that it would share 2.5
society group opposed to restrictions on artistic expression).
million AstraZeneca vaccine doses with Mexico, and in
On May 12, the Senate approved S.Res. 81, honoring Las
April 2021, White House officials announced that the
Damas de Blanco, a women-led nonviolent Cuban human
United States intends to make available up to 60 million
rights group, and calling for the release of all political
doses of the AstraZeneca vaccine to countries worldwide.
prisoners in Cuba, as well as S.Res. 120, recognizing the
forthcoming ninth Summit of the Americas and reaffirming
Cooperation on climate change is likely to become a
the U.S. commitment to a more prosperous, secure, and
priority for policy toward the region. In February 2021, the
democratic Western Hemisphere.
United States rejoined the Paris Agreement, reversing the
previous Administration’s withdrawal of the United States
In March 2021, the Senate Foreign Relations Committee
from the agreement. Seven leaders from Latin America and
reported S.Res. 44, which would denounce fraudulent
Caribbean countries participated in the Leaders’ Summit on
legislative elections in Venezuela; and the Senate
Climate hosted by President Biden in April.
Homeland Security and Governmental Affairs Committee
reported S. 688, which would prohibit contracting with
The next Summit of the Americas (to be hosted by the
persons that have business operations with Venezuela’s
United States later in 2021) could be an opportunity for the
Maduro government. Other introduced bills pertain to U.S.
Administration to set forth its policy agenda for the region
policy toward Nicaragua (S. 1064), Haiti (S. 1104), and
and strengthen engagement with hemispheric leaders.
Honduras (S. 388 and H.R. 1574). Another bill, S. 616,
would authorize $24 billion for a capital increase for the
Congressional Action in the 117th Congress
Inter-American Development Bank (IDB).
Congress traditionally has played an active role in policy
toward Latin America and the Caribbean through both
Two broad Senate bills touch on relations with the region.
legislation and oversight.
S. 1201, the United States Climate Leadership on
International Mitigation, Adaptation, and Technology
Since 2020, Congress has appropriated over $15 billion to
Enhancement Act of 2021, has provisions that would
respond to COVID-19 globally, which includes support for
require development of a strategy for trilateral climate
Latin American and Caribbean countries. In 2020, the 116th
cooperation between the United States, Mexico, and
Congress approved three appropriations measures (P.L.
Canada and a multiyear strategy for regional energy
116-123, P.L. 116-136, and P.L. 116-260) providing $5.8
cooperation with Caribbean countries. The measure also
billion to respond to the pandemic globally, including $4
would express the sense of Congress on conservation of the
billion for a contribution to Gavi, the Vaccine Alliance. In
Amazon River basin and U.S. engagement with Brazil.
March 2021, the 117th Congress approved $9.755 billion
(P.L. 117-2) for foreign assistance programs to respond to
S. 1169, the Strategic Competition Act of 2021, which
the pandemic through global health interventions,
addresses issues involving China worldwide, has provisions
humanitarian assistance, and contributions to multilateral
that would require a multiyear strategy for increasing U.S.
response efforts. Some Members of Congress have called
economic competitiveness and promoting good governance,
for the President to prioritize Latin American and
human rights, and the rule of law in Latin America and the
Caribbean countries in donating surplus vaccines.
Caribbean. The bill also would require a report assessing
the nature, intent, and impact to U.S. strategic interests of
Congress will soon be considering the Administration’s full
Chinese diplomatic activity influencing the decisions,
FY2022 budget proposal, including foreign assistance, after
procedures, and programs of multilateral organizations in
its May 27, 2021, release. When the Administration
Latin America and the Caribbean. Similar to S. 616, the bill
released a summary of its FY2022 budget request in April,
also would authorize an IDB capital increase. In the House,
it included $861 million to address the root causes of
H.R. 2479 would require a report on China’s efforts to
irregular migration from Central America. The U.S.
expand its presence and influence in the region.
Citizenship Act of 2021 (S. 348/H.R. 1177), a
comprehensive immigration bill introduced in Congress on
Also see CRS Report R46781, Latin America and the
behalf of the Administration, would authorize $4 billion
Caribbean: U.S. Policy and Key Issues in the 117th
over four years to address the root causes of migration from
Congress; and CRS In Focus IF11581, Latin America and
Central America and would provide a pathway to
the Caribbean: Impact of COVID-19.
citizenship for certain migrants. In March 2021, the House
https://crsreports.congress.gov
Latin America and the Caribbean: U.S. Policy Overview
IF10460
Mark P. Sullivan, Specialist in Latin American Affairs
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