A leftist Latin American alliance formed around Ecuador and Venezuela on Thursday, isolating their U.S.-backed neighbor Colombia, which said the dispute over its bombing of rebels on Ecuadorean soil would not end in war.
Leaders crisscrossed the region putting diplomatic pressure on Colombian President Alvaro Uribe after his forces bombed rebels inside Ecuador during the weekend.
With governments worldwide, including the United States, calling for a negotiated solution, Colombia downplayed fears over what would be the first military conflict between Latin America nations in more than a decade.
Venezuelan President Hugo Chavez, who says socialism can unite South America against "U.S. imperialism," jumped into the dispute during the weekend after feuding for months with Colombia over his efforts at mediating the release rebel-held hostages.
Chavez has warned that war could break out and Ecuador and Venezuela both sent additional troops to their borders with Colombia. Other officials said they doubted the crisis would lead to military conflict involving the three states on the northwestern shoulder of South America.
"I don't think there is a risk of war. The Colombian government has been very clear it won't use force," Colombian Vice President Francisco Santos told Reuters during a visit to Brussels for talks with EU officials.
"It won't fall into the game of provocation."
In a show of unity, Chavez hosted his Ecuadorean counterpart. Argentina's leftist president, Cristina Fernandez, also went to Caracas to underscore her support for Chavez.
While President George W. Bush has vowed to stand by Uribe, no Latin American leader has visited the conservative, who receives billions of dollars in U.S. military aid to fight Marxist rebels and drug-traffickers.
NEGOTIATIONS
U.S. Secretary of State Condoleezza Rice, in Brussels, urged negotiations to end the dispute.
"The United States stands strongly for the diplomatic resolution of these recent set of circumstances ... I do hope there will be a diplomatic outcome to this," Rice said.
Uribe will attend a summit in the Dominican Republic this week, where he hopes to persuade his fellow Latin American leaders he had to act against the rebel FARC himself because Ecuador allows the guerrillas to take refuge there.
Ecuadorean President Rafael Correa will also attend the summit after first visiting another ally, Nicaraguan President Daniel Ortega -- a former guerrilla also blaming Uribe for the crisis.
The Pentagon said a military conflict is unlikely -- and international investors generally agree. Wall Street economists said they expect the crisis to blow over.
The Organization of American States, the Western Hemisphere's top diplomatic body, agreed on a resolution that said Colombia violated Ecuador's sovereignty. Correa, who cut diplomatic ties with Colombia over its raid, welcomed the accord but said it did not go far enough and vowed to press for a formal international condemnation.
Late on Wednesday, Chavez said the dispute will hurt the $6 billion in annual trade between Venezuela and Colombia. He also threatened to seize Colombian companies in Venezuela and said his government may sell off its investments in Colombia.
"We are not interested in Colombian investments," he said.
Colombia's attack, which killed more than 20 rebels, also hampered negotiations by France, Venezuela and Ecuador to swap dozens of hostages for guerrillas held in Colombian jails.
In Caracas, Fernandez met the mother of the rebels' most high-profile prisoner, French-Colombian politician Ingrid Betancourt, and called for the captives' release.
"A significant way to lower the tensions in the region would be to see if we can really make progress on a humanitarian exchange," she told reporters.