Updated May 24, 2021
Latin America and the Caribbean: U.S. Policy Overview
U.S. interests in Latin America and the Caribbean (LAC)
regional economic decline of 7% in 2020, with almost
are diverse and include economic, political, security, and
every country in recession. As a result, poverty and
humanitarian concerns. Geographic proximity has ensured
inequality have increased throughout the region, and many
strong economic linkages between the United States and
countries may struggle with protracted economic
LAC, with the United States a major trading partner and
recoveries. The economic setback associated with the
source of foreign investment for many regional countries.
pandemic contributed to increased protests in the region in
Free-trade agreements (FTAs) have augmented U.S.
late 2020 and early 2021. Beginning in late April 2021,
economic relations with 11 countries in the region. LAC
mass protests in Colombia against a pandemic-related tax
also is a large source of U.S. immigration, both authorized
reform turned into broader anti-government protests.
and unauthorized; economic and security conditions are
major factors driving migration trends.
Trump Administration Policy
Under the Trump Administration, U.S. relations with LAC
Curbing the flow of illicit drugs from LAC has been a key
generally moved toward a more confrontational approach,
component of U.S. relations with the region for decades.
especially regarding efforts to curb irregular immigration
The flow of illicit drugs—including heroin,
from the region, compared with past Administrations’
methamphetamine, and fentanyl from Mexico and cocaine
emphasis on partnership. From FY2018 to FY2021, the
from Colombia—poses risks to U.S. public health and
Trump Administration’s proposed foreign aid budget
safety. Since 2000, Colombia has received support through
requests would have cut assistance to the region
Plan Colombia and its successor programs. The United
considerably, but Congress generally rejected those
States also has sought to forge partnerships with other
requests by providing significantly more assistance than
countries to combat drug trafficking and related violence
requested. To deter increased unauthorized migration from
and to advance citizen security, including through the
Central America, the Administration used a variety of
Mérida Initiative, begun in 2007 to support Mexico; the
immigration policy tools, as well as aid cuts and threats of
Central America Regional Security Initiative (CARSI),
increased U.S. tariffs and taxes on remittances. The
begun in 2008; and the Caribbean Basin Security Initiative
Administration also imposed broad economic sanctions on
(CBSI), begun in 2009.
Venezuela, which Congress generally supported, and
significantly increased sanctions on Cuba. According to
Another long-standing component of U.S. policy has been
Gallup and Pew Research Center polls, negative views of
support for strengthened democratic governance and the
U.S. leadership in the region increased markedly during the
rule of law, including initiatives to support civil society and
Trump Administration.
promote human rights. Although many countries in the
region have made strides in democratic political
Biden Administration Policy
development, several face considerable challenges.
Thus far, much of the Biden Administration’s focus in LAC
has been on immigration and Central America. President
Increasing Chal enges in the Region
Joe Biden has ended many of the previous Administration’s
Over the past several years, the quality of democracy has
restrictive immigration policies , while contending with a
eroded in a number of countries in the region, along with
large increase in the number of undocumented Central
public satisfaction with how democracy is working. In
American and Mexican migrants seeking to enter the
addition to Venezuela, Cuba, and Nicaragua—all ruled by
United States. The Administration is preparing strategies to
authoritarian governments repressing the political
address the root causes of Central American migration and
opposition—human rights groups have expressed concerns
has indicated that it intends to request $4 billion in
about democratic backsliding in several countries, including
assistance to Central America over a four-year period,
Brazil, El Salvador, Guatemala, Haiti, and Peru. Many
including $861 million as part of the FY2022 foreign
countries in LAC experienced social unrest in 2019 fueled
assistance budget request. In March 2021, President Biden
by such political factors as weak democratic institutions,
tasked Vice President Kamala Harris with overseeing
politicized judicial systems, corruption scandals, and high
efforts with Central America and Mexico.
levels of crime and violence and by such economic factors
as declining or stagnant growth rates and high levels of
On Venezuela, the Biden Administration continues to
income inequality and poverty.
pressure the government of Nicolás Maduro through
sanctions and maintains that the United States is committed
Since 2020, the Coronavirus Disease 2019 (COVID-19)
to working multilaterally to bring about a return to
pandemic has had widespread public health, economic, and
democracy. In a shift from the previous Administration, the
political effects in the region. On May 21, 2021, the region
Secretary of Homeland Security granted temporary
surpassed 1 million deaths (29% of deaths worldwide), and
protected status (TPS) to Venezuelans in the United States
vaccination rates remain low for many countries in the
in March 2021.
region. The International Monetary Fund estimated a
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Latin America and the Caribbean: U.S. Policy Overview
On Cuba, the Biden Administration is reviewing past policy
Ecuador and supporting actions to strengthen relations, and
decisions, including the previous Administration’s
S.Res. 37, expressing solidarity with the San Isidro
designation of Cuba as a state sponsor of terrorism, and
Movement in Cuba (a civil society group opposed to
maintains that human rights is to be a core policy pillar.
restrictions on artistic expression). On May 12, the Senate
approved S.Res. 81, honoring Las Damas de Blanco, a
The pandemic’s public health and economic effects likely
women-led nonviolent Cuban human rights group, and
will shape U.S. assistance efforts in the region, including
calling for the release of all political prisoners in Cuba, and
support for adequate vaccine supplies. In March 2021, the
S.Res. 120, recognizing the forthcoming Summit of the
Administration announced it would share 2.5 million
Americas and reaffirming the U.S. commitment to a more
AstraZeneca vaccine doses with Mexico. In April and May
prosperous, secure, and democratic Western Hemisphere.
2021, White House officials announced that the United
States would make available at least 80 million COVID-19
On May 10, the Senate Foreign Relations Committee
vaccine doses to countries worldwide.
reported S. 1169, the Strategic Competition Act of 2021,
which would address issues involving China worldwide,
Cooperation on climate change likely will become a priority
The bill’s provisions on LAC include Section 219J, to
for policy toward the region. In February 2021, the United
establish a strategy for public and private investment, trade,
States rejoined the Paris Agreement, reversing the previous
and development in Africa and LAC; Section 248, to
Administration’s U.S. withdrawal. Seven LAC leaders
strengthen economic competitiveness, governance human
participated in the April 2021 Leaders’ Summit on Climate
rights, and the rule of law in LAC; Section 249, to require a
hosted by President Biden.
report assessing China’s engagement in international
organizations and the defense sector in LAC; Section 250,
The next Summit of the Americas (to be hosted by the
to authorize a capital increase for the Inter-American
United States later in 2021) could be an opportunity for the
Development Bank (IDB); Section 251, to increase U.S.
Administration to set forth its policy agenda for LAC and
defense cooperation in LAC; and Section 252, to increase
strengthen engagement with hemispheric leaders.
engagement with civil society in LAC regarding
accountability, human rights, and the risks of pervasive
Congressional Action in the 117th Congress
surveillance technologies. Related introduced bills include
Congress traditionally has played an active role in policy
S. 616, to authorize an IDB capital increase, and H.R. 2479,
toward LAC through both legislation and oversight.
to require a report on China’s efforts to expand its presence
and influence in the region.
Since 2020, Congress has appropriated some $17 billion in
international affairs funding to respond to COVID-19
Among other initiatives, on May 19, the House Foreign
globally, including support for Latin American and
Affairs Committee reported H.Res. 408, which would urge
Caribbean countries. The funding vehicles include two
the government of El Salvador to respect the country’s
FY2020 supplemental appropriations measures (P.L. 116-
democratic institutions. In March, the Senate Foreign
123 and P.L. 116-136); the Consolidated Appropriations
Relations Committee reported S.Res. 44, which would
Act, 2021 (P.L. 116-260); and the American Rescue Plan
denounce fraudulent legislative elections in Venezuela, and
Act of 2021 (P.L. 117-2). P.L. 116-260 included $4 billion
the Senate Homeland Security and Governmental Affairs
to be made available as a contribution to Gavi, the Vaccine
Committee reported S. 688, which would prohibit
Alliance. Some Members of Congress have called for the
contracting with persons who have business operations with
President to prioritize Latin American and Caribbean
Venezuela’s Maduro government. Other introduced bills
countries in donating surplus vaccines.
pertain to U.S. policy toward Nicaragua (S. 1064), Haiti (S.
1104), and Honduras (S. 388 and H.R. 1574).
Congress will consider the Administration’s full FY2022
budget proposal, including foreign assistance, after its May
Another broad Senate bill touches on relations with the
27, 2021, release. When the Administration released a
region: S. 1201, the United States Climate Leadership on
summary of its FY2022 budget request in April, it included
International Mitigation, Adaptation, and Technology
$861 million to address the root causes of irregular
Enhancement Act of 2021, has provisions that would
migration from Central America. The U.S. Citizenship Act
require development of a strategy for trilateral climate
of 2021 (S. 348/H.R. 1177), a comprehensive immigration
cooperation between the United States, Mexico, and
bill introduced in Congress on behalf of the Administration,
Canada and a multiyear strategy for regional energy
would authorize $4 billion over four years to address the
cooperation with Caribbean countries. The measure also
root causes of migration from Central America and provide
would express the sense of Congress on conservation of the
a pathway to citizenship for certain migrants. In March
Amazon River Basin and U.S. engagement with Brazil.
2021, the House approved H.R. 6, which would provide a
pathway to citizenship for those brought to the United
Also see CRS In Focus IF11581, Latin America and the
States as children and those from countries with TPS
Caribbean: Impact of COVID-19; and CRS Report
designations (currently including El Salvador, Haiti,
R46781, Latin America and the Caribbean: U.S. Policy and
Honduras, Nicaragua, and Venezuela).
Key Issues in the 117th Congress.
Since April 2021, the Senate has approved four resolutions
Mark P. Sullivan, Specialist in Latin American Affairs
on U.S. relations with LAC. On April 15, the Senate
approved S.Res. 22, reaffirming the U.S. partnership with
IF10460
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Latin America and the Caribbean: U.S. Policy Overview


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https://crsreports.congress.gov | IF10460 · VERSION 22 · UPDATED

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