6 October 2021

Key insights

Chile – The Chilean Government opened air borders to fully vaccinated foreign tourists from 1 October. Quarantine will decrease to 5 days (from 7 days currently) and mandatory quarantine hotels will be eliminated. 

Mexico – the country’s third COVID-19 wave death rate is on the decline. Although reported case numbers were 15% higher in August than January, mortality is far below the January peak. Day-to- day life during the third wave was mostly unimpacted. Restaurants and public facilities have been busy and the only precautions being taken are that most people wear masks and public places enforce use of hand gels. 

Latin America – Mining and energy investment in Latin America is continuing to grow strongly. There have been major announcements by Orica, BHP, Barack Gold Global and Ausenco. This is opening up significant new METS opportunities for Australian suppliers. The imposition of new safety measures in mining operations across Latin America may present Australian METS companies with fresh opportunities.

Market opportunities

Resources

Chile – The Chilean mining industry is highly receptive to new technology that increases productivity or enhances mine-worker safety. This creates opportunities for Australian METS and VET companies looking to diversity and expand. Austrade is working with several large mining groups to explore supply chain gaps that can be filled by Australian expertise.

Chile – There is also a growing trend in Chile towards using renewable energy solutions to support the mining sector, owing to increased power prices. The trend applies particularly to the copper sector, where ageing mines require more power to stay profitable. Usage of renewable energy in the copper industry is expected to grow from 10.5% to 49% over the next three years.

Chile – Thirteen major mining companies with operations in Chile have set carbon emissions-reduction goals for the next decade to contribute to Chile’s efforts to be carbon neutral by 2050. This will create opportunities for Australian companies that have renewable and energy-efficient technologies that can be applied to mining.

Mexico – Lithium is coming to be viewed as a strategic mineral given the forecast boom in demand from the electric vehicle (EV) market. Bacanora Lithium and JV partner Ganfeng Lithium hold the 10 concessions that form the Sonora project. This is by far the largest and most advanced lithium asset in Mexico, and one of the biggest globally, with measured and indicated resources of around 5Mt of lithium carbonate equivalent. This could provide opportunities for Australian METS companies, including those with critical minerals expertise.

Ed-tech

Latin America – There is strong demand for digital solutions in the education sector, including in blended learning solutions. A willingness to embrace online learning will open opportunities for Australian institutions looking at new ways to engage with students in Latin America. The recent success of Austrade's Masterclass series is an example of this work. For metrics on student response to the Masterclasses, please reach out to our Chile Office.

Contact:

Nick.Nichles@austrade.gov.au