Latin America has growing geopolitical role, says Germany leader

Latin America has an increasingly important geopolitical role to play amid the current crises and conflicts, German President Frank-Walter Steinmeier said on Thursday at a press conference with Mexican President Claudia Sheinbaum.

"Mexico, in particular, as a strong middle power in Latin America, is therefore an outstanding partner for us," Steinmeier said at the event in the resort city of Cancún, Mexico, at the end of his Latin American trip.

The two leaders both stand for the rule of law, democratic principles and human rights, and are committed to strengthening the rules-based multilateral order, he said.

"And we also believe in rules-based free trade," said Steinmeier. "A world without rules may seem tolerable to major powers, but for us it is not. Nor is it for the overwhelming majority of the international community."

Referring to the increasingly difficult global situation, Sheinbaum said, "In such situations, it is always good to have good friends and shared goals."

Sheinbaum also saw great opportunities for the German and Mexican economies arising from the modernized free trade agreement between her country and the EU, which has yet to be signed.

Steinmeier said problems faced by German companies in the region were not being ignored and they would find a favourable investment climate in Mexico. "This is not a short-term commitment, but a long-term commitment for the mutual benefit of both sides."

Mexico is a strategic partner for Germany in the region, with more than 2,000 German companies represented there. The Volkswagen Group, produced around 336,000 vehicles at its plant in Puebla, south-east of Mexico City, last year, the company said.

After the US, Mexico is the second-most important investment location and trading partner for the German economy in North and South America. Last year, trade volumes reached €25.1 billion ($29 billion) though this has recently been trending downwards, according to the German-Mexican Chamber of Industry and Commerce.

Steinmeier concluded a five-day tour of Latin America with his visit to Mexico, after stops in Panama and Guatemala.

Due to strikes and demonstrations in Mexico City, his meeting with Sheinbaum was moved to Cancún.

Steinmeier then flew back to Berlin.