Latin America Against War but Needs the U.S.
Wed February 26, 2003 
By Gabriela Donoso

SANTIAGO, Chile (Reuters) - Latin American governments have spoken out against a U.S.-led war on Iraq but when it comes to the crunch, they are mindful of an old adage: "don't bite the hand that feeds you."

Strong trade, financial and military ties between the region and the superpower are hanging in the balance as governments choose sides in the U.S.-Iraq conflict.

U.N. Security Council members Mexico and Chile are both undecided swing votes the United States needs to obtain U.N. backing for a tough new resolution that would set the stage for an attack on Baghdad, which Washington accuses of hiding weapons of mass destruction.

Mexico and Chile, which are also the two most developed economies in the region, have urged more time for weapons inspections and vowed to be independent on foreign policy.

But Chilean officials say pressure from the United States to fall in line is intense.

"There is an incessant action by the United States with all the countries that are members of the Security Council," Chilean Deputy Foreign Minister Cristian Barros told Reuters.

"Every time the United States calls, it's to discuss the situation from their point of view. We couldn't pretend neutrality," he added.

Mexican President Vicente Fox earned the wrath of the White House by openly rejecting efforts to persuade him into the U.S. camp. But he softened his position on Tuesday, offering support for a modified version of the tough new U.N. resolution.

Chile has said it will declare its stance only after March 7, when Chief U.N. weapons inspector Hans Blix has presented a report to the Security Council.

Analysts expect Chilean President Ricardo Lagos to eventually side with President Bush to safeguard a new bilateral trade deal with the United States.

TRADE REPRISALS?

Both Chile and Mexico rely on the United States as the biggest market for their exports. Mexico belongs to the North American Free Trade Agreement while Chile is basking in the glow of a long-awaited trade deal with Washington reached last December but yet to be approved by the U.S. Congress.

Both governments shrug off suggestions they might suffer trade-related reprisals for defying the United States.

"Peace should continue to be our only currency," said Mexican Interior Minister Santiago Creel.

Brazil's newly elected leftist president, Luiz Inacio Lula da Silva, wants Latin America -- weakened by economic crisis and political strife -- to have a unified stance on Iraq. He has called a meeting of South American foreign ministers, but there seems to be little support for his pan-regional effort.

"Nobody is interested in going to that meeting. On the issue of the war there is an impasse imposed by the discussions in the United Nations," said one Latin American ambassador in Brazil on condition of anonymity.

Argentina, Uruguay and Peru, minnows in world diplomacy, have all called for disarming Iraq by peaceful means.

The White House's ties to the region are more than just economic. Washington pours huge amounts of money into Colombia, and to a lesser extent Ecuador, to combat the drug trade. Neither country has taken a strong stance on the conflict. (Additional reporting by Adriana Barrera in Mexico City, Guido Nejamkis in Brazil, Cesar Illiano in Buenos Aires)

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