Arms transfers in South America increased by 150 percent

According to SIPRI "the arms transfers in South America for the period between 2005 - 2009 were 150 percent higher than for the period of 200 -2004, reflecting the significant upswing in both military spending and arms acquisitions [...]Chile was the largest importer of conventional weapons in South America and the 13th largest in the world.
Arms acquisitions by states in South America continued to be a source of tension, with several commentators again raising the spectre of a potential arms race in the region. IN 2009 the Peruvian president, Alan Garcia, called for a military non-aggression pact in South America and a commitment to decrease armament expenditures through mechanism of transparency and confidence building.
A number of states in South America are investing in tanks and armour vehicles, as well as 92 T-72MIM tanks. In 2009 Brazil began to take delivery of 220 second hand Leopard-1A5 tanks from Germany, while Chile completed the acquisition of 140 second-hand Leopard-2A4 tanks, also from Germany. In late 2009 Peru announced that it was planning to sign a deal for 80 MBT-2000 tanks from China.
While the majority of weapon systems are being sourced outside the region, South American companies are also benefiting from the increase in acquisitions. Chile and Ecuador have ordered Super Tucano trainer/combat aircraft from Embraer of Brazil. In 2008 the Colombian armed forces used Super Tucano trainer/combat aircraft - ordered from Brazil in 2006 - in an attack on a FARC camp in neighbouring Ecuador".

Full story at http://books.sipri.org/files/FS/SIPRIFS1003.pdf