Historically speaking, bilateral relations between the various countries of Latin America and the United States of America have been multifaceted and complex, at times defined by strong regional cooperation and at others filled with economic and political tension and rivalry. Although relations between the U.S. government and most of Latin America were limited prior to the late 1800s, for most of the past century, the United States has unofficially regarded parts of Latin America as within its sphere of influence, and for much of the Cold War (1947–1991), actively vied with the Soviet Union for influence in the Western Hemisphere.
Today, the ties between the United States and most of Latin America are generally cordial, but there remain areas of tension between the two sides. Latin America is the largest foreign supplier of oil to the United States and its fastest-growing trading partner, as well as the largest source of illegal drugs and immigration, both documented and otherwise, all of which underline the continually evolving relationship between the region and country.
Overview
Until the end of the 19th century, the US only had a especially close relationship primarily with nearby Mexico and Cuba (apart from Central America, Mexico and the Spanish colony of Cuba), which was largely economically tied to Britain. The United States had no involvement in the process by which Spanish colonies broke away and became independent around 1820. In cooperation with, and help from Britain, the United States issued the Monroe doctrine in 1823, warning against the establishment of any additional European colonies in Latin America.
Texas, which had been settled by colonies of Americans, fought a successful war for independence from Mexico in 1836. Mexico refused to recognize the independence and warned that annexation to the United States meant war. Annexation came in 1845 and the Mexican–American War began in 1846. The American military was easily triumphant. The result was the Mexican Cession of Santa Fe de Nuevo México and Alta California. About 60,000 Mexicans remained in the territories and became US citizens. France took advantage of the American Civil War (1861–65) to take over Mexico during the Second French Intervention. Due to defeats in Europe, France pulled out troops, leaving the Imperialists and Maximilian I of Mexico to face defeat from the Benito Juarez-led Republicans (backed by the US).
The Anglo-Venezuelan boundary dispute of Guayana Esequiba in 1895 asserted for the first time a more outward-looking American foreign policy, particularly in the Americas, marking the United States as a world power. This was the earliest example of modern interventionism under the Monroe doctrine. By the late nineteenth century the rapid economic growth of the United States increasingly troubled Latin America. A Pan-American Union was created under American aegis, but it had little impact as did its successor the Organization of American States.
As unrest in Cuba escalated in the 1890s, the United States demanded reforms that Spain was unable to accomplish. The result was the Spanish–American War of 1898, in which United States acquired Puerto Rico and set up a protectorate over Cuba under the Platt Amendment rule passed as part of the 1901 Army Appropriations Bill. The building of the Panama Canal absorbed American attention from 1903. The US facilitated a revolt that made Panama independent from Colombia and set up the Panama Canal Zone as an American owned and operated district that was finally returned to Panama in 1979. The Canal opened in 1914 and proved a major factor in world trade. The United States paid special attention to protection of the military approaches to the Panama Canal, including threats by Germany. Repeatedly it seized temporary control of the finances of several countries, especially Haiti and Nicaragua.