Mapping the presence and impacts of Transnational Corporations in Latin America and the Caribbean

This report by Friends of the Earth Latin America and the Caribbean (ATALC) analyzes the role of Transnational Corporations (TNCs) in the region, arguing that they drive a capitalist system based on exploitation and the violation of peoples' sovereignty. The document details how TNCs use 'corporate capture' to influence governments and the 'architecture of impunity'—specifically Investor-State Dispute Settlement (ISDS) mechanisms—to avoid accountability for human rights and environmental abuses. It examines specific impacts across agribusiness, forestry, mining, energy, and services, highlighting the disproportionate burden on women and the criminalization of land defenders.

• Transnational Corporations (TNCs) wield disproportionate global power, with a 2016 study indicating that "69 of top 100 economic entities are corporations not countries". These entities often possess annual incomes exceeding the GDP of many countries and dominate national markets through global oligopolies.
• The report identifies 'corporate capture' as a strategy where economic elites undermine human and environmental rights by exerting undue influence on national and international decision-makers. This includes 'revolving door' practices where TNC employees move into public positions, and the use of Corporate Social Responsibility (CSR) to manipulate communities.
• The Investor-State Dispute Settlement (ISDS) mechanism is described as a key part of an 'architecture of impunity' that allows TNCs to sue states for implementing public policies. Between 2009 and 2019, the number of claims against Latin American countries rose to 165, with investors winning 70% of cases and states ordered to pay US$ 20.6 billion.
• TNCs in the agribusiness sector have driven massive deforestation and land grabbing in the Southern Cone. For example, the soybean model resulted in the loss of 35 million hectares of native forest. In Brazil, soybean production grew from 3 million hectares in the late 1990s to 36 million in 2019.
• Industrial tree plantations, particularly monocultures of pine, eucalyptus, and oil palm, are expanding across Latin America and the Caribbean. This process replaces natural ecosystems, acidifies soils, and is linked to sexual exploitation and human trafficking in the areas where cellulose mills are located.
• In the mining sector, TNCs from the Global North, particularly Canada, engage in 'mega-mining' that consumes enormous amounts of freshwater and causes biodiversity loss. The report notes that mining's contribution to GDP in Mexico, Bolivia, or Colombia is below 10%.
• The energy sector is characterized by a heavy dependence on fossil fuels (74% of the regional matrix) and the expansion of hydroelectric dams and fracking. These projects often lead to the displacement of communities and the destruction of ecological systems.
• TNC activities have a severe impact on 'feminized lives' due to the sexual division of labor and the privatization of essential services. For instance, only four TNCs (Suez, Veolia, Thames Water, and Bouygues) dominate nearly the entire global market for drinking water storage and distribution.
• There is a high rate of violence against land and environmental defenders. In 2019, Global Witness recorded 212 killings of defenders worldwide, with more than two-thirds occurring in Latin America. The ATALC mapping specifically registered 29 killings where TNCs were directly implicated.
• Civil society and ATALC advocate for a UN Binding Treaty to regulate TNCs and end impunity, arguing that voluntary instruments like the UN Global Compact are ineffective. The report criticizes the second draft of the treaty (August 2020) as 'weak' for failing to impose joint and several liability on companies along the global value chain.

APA

Cordo, A. (2020). Mapping the presence and impacts of Transnational Corporations in Latin America and the Caribbean. Friends of the Earth International. https://www.foei.org/wp-content/uploads/2021/04/ATALC_transnational-corporations-peoples-rights-latin-america-and-the-caribbean_ENG.pdf

Chicago

Cordo, Azul. Mapping the presence and impacts of Transnational Corporations in Latin America and the Caribbean. Friends of the Earth International, 2020. https://www.foei.org/wp-content/uploads/2021/04/ATALC_transnational-corporations-peoples-rights-latin-america-and-the-caribbean_ENG.pdf.

Wikipedia

{{cite report |last1=Cordo |first1=Azul |title=Mapping the presence and impacts of Transnational Corporations in Latin America and the Caribbean |publisher=Friends of the Earth International |date=November 2020 |url=https://www.foei.org/wp-content/uploads/2021/04/ATALC_transnational-corporations-peoples-rights-latin-america-and-the-caribbean_ENG.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{cordo2020mapping, author = {Cordo, Azul}, title = {{Mapping the presence and impacts of Transnational Corporations in Latin America and the Caribbean}}, institution = {Friends of the Earth International}, year = {2020}, month = nov, url = {https://www.foei.org/wp-content/uploads/2021/04/ATALC_transnational-corporations-peoples-rights-latin-america-and-the-caribbean_ENG.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }