Latino  is a term often used in the United States to refer to people with cultural ties to Latin America, in contrast to Hispanic which is a demonym that includes Spaniards and other speakers of the Spanish language.
"Latino" as a category used in the United States may be understood as a shorthand for the Spanish word latinoamericano (Latin American in English) or the Portuguese phrase latino americano, thus excluding speakers of Spanish or Portuguese from Europe. Both Hispanic and Latino are generally used to denote people living in the United States, so much so that "Outside the United States, we don't speak of Latinos; we speak of Mexicans, Colombians, Peruvians, and so forth." In Latin America, the term latino is not a common endonym and its usage in Spanish as a demonym is restricted to the Latin American-descended population of the United States.
The U.S. government's Office of Management and Budget has defined Hispanic or Latino people as being those who "trace their origin or descent to Mexico, Dominican Republic, Jamaica, Puerto Rico, Cuba, Central, and South America (other than Guyana, French Guiana, and Suriname), and other Spanish cultures". The United States Census uses the ethnonym Hispanic or Latino to refer to "a person of Dominican, Cuban, Mexican, Puerto Rican, South or Central American, or other Spanish culture or origin regardless of race". The Census Bureau also explains that "[o]rigin can be viewed as the heritage, nationality group, lineage, or country of birth of the person or the person's ancestors before their arrival in the United States. People who identify their origin as Hispanic, Latino, or Spanish may be of any race." Hence the U.S. Census and the OMB are using the terms differently. The U.S. Census and the OMB use the terms interchangeably, where both terms are synonyms. According to a study by the Pew Research Center, the majority (51%) of Hispanic and Latino Americans prefer to identify with their families' country of origin, while only 24% prefer the term Hispanic or Latino.
The AP Stylebooks recommended usage of Latino in Latin America includes not only persons of Spanish-speaking ancestry, but also more generally includes persons "from — or whose ancestors were from — . . . Latin America, including Brazilians". However, in the recent past, the term Latinos was also applied to people from the Caribbean region, but those from former Dutch and British colonies are excluded.
In a recent study 79% of the Brazilian Population identifies themselves as 'Brazilians' while 13% as 'Citizens of the World' and only 4% as 'Latino-Americanos'.
The term Latino was officially adopted in 1997 by the United States Government in the ethnonym Hispanic or Latino, which replaced the single term Hispanic: "Because regional usage of the terms differs - Hispanic is commonly used in the eastern portion of the United States, whereas Latino is commonly used in the western portion."
Neither "Hispanic" nor "Latino" refers to a race, as a person of Latino/Hispanic ethnicity can be of any race. Like non-Latinos, a Latino can be of any race or combination of races: White American / Caucasian, Black / African American, Asian American, Native American / Alaskan Native, Native Hawaiian/Other Pacific Islander American, or two or more ethnicities. While Brazilian Americans are not included with Hispanics and Latinos in the government's census population reports, any Brazilian American can report as being Hispanic or Latino since Hispanic or Latino origin is, like race or ethnicity, a matter of self-identification.
Other federal and local government agencies and non-profit organizations include Brazilians and Portuguese in their definition of Hispanic. The U.S. Department of Transportation defines Hispanic Americans as, "persons of Mexican, Puerto Rican, Cuban, Dominican, Central or South American, or other Spanish or Portuguese culture or origin, regardless of race". This definition has been adopted by the Small Business Administration as well as by many federal, state, and municipal agencies for the purposes of awarding government contracts to minority owned businesses. The Congressional Hispanic Caucus and the Congressional Hispanic Conference include representatives of Spanish and Portuguese descent. The Hispanic Society of America is dedicated to the study of the arts and cultures of Spain, Portugal, and Latin America. Each year since 1997 the International Latino Book Award is conferred to the best achievements in Spanish or Portuguese literature at BookExpo America, the largest publishing trade show in the United States. The Hispanic Association of Colleges and Universities, which proclaims itself the champion of Hispanic success in higher education, has member institutions in the U.S., Puerto Rico, Latin America, Spain, and Portugal.
Some authorities of American English maintain a distinction between the terms "Hispanic" and "Latino":
Though often used interchangeably in American English, Hispanic and Latino are not identical terms, and in certain contexts the choice between them can be significant. Hispanic, from the Latin word for "Spain," has the broader reference, potentially encompassing all Spanish-speaking peoples in both hemispheres and emphasizing the common denominator of language among communities that sometimes have little else in common. Latino--which in Spanish means "Latin" but which as an English word is probably a shortening of the Spanish word latinoamericano--refers more exclusively to persons or communities of Latin American origin. Of the two, only Hispanic can be used in referring to Spain and its history and culture; a native of Spain residing in the United States is a Hispanic, not a Latino, and one cannot substitute Latino in the phrase the Hispanic influence on native Mexican cultures without garbling the meaning. In practice, however, this distinction is of little significance when referring to residents of the United States, most of whom are of Latin American origin and can theoretically be called by either word.
The AP Stylebook also distinguishes between the terms Hispanic and Latino. The Stylebook limits the term "Hispanic" to persons "from - or whose ancestors were from - a Spanish-speaking land or culture". It provides a more expansive definition, however, of the term "Latino". The Stylebook definition of Latino includes not only persons of Spanish-speaking ancestry, but also more generally includes persons "from -- or whose ancestors were from -- . . . Latin America". The Stylebook specifically lists "Brazilian" as an example of a group which can be considered Latino.
There were 28 categories tabulated in the 2000 United States Census: Mexican, Puerto Rican, Cuban, Dominican Republic; Central American: Costa Rican, Guatemalan, Honduran, Nicaraguan, Panamanian, Salvadoran, Other Central American; South American: Argentinian, Bolivian, Chilean, Colombian, Ecuadorian, Paraguayan, Peruvian, Uruguayan, Venezuelan, Other South American; Other Hispanic or Latino: Spaniard, Spanish, Spanish American, All other Hispanic or Latino.
Attempts have been made to introduce gender neutral language into Spanish by changing the ending of Latino. Terms like Latinx, Latin@, and Latine are just a few examples of the various ways in which members of the Latino community have tried to be more inclusive of women and gender nonbinary individuals through language.
Latinx was first introduced in 2004 by members of the queer community online.
The use of the term Latino, despite its increasing popularity, is still highly debated among those who are called by the name. Since the adoption of the term by the U.S. Census Bureau and its subsequent widespread use, there have been several controversies and disagreements, especially in the United States and, to a lesser extent, in Mexico and other Spanish-speaking countries. Since it is an arbitrary generic term, many Latin American scholars, journalists, and indigenous rights organisations have objected to the mass media use of the word "Latino", pointing out that such ethnonyms are optional and should be used only to describe people involved in the practices, ideologies, and identity politics of their supporters. Journalist Rodolfo Acuña writes:
When and why the Latino identity came about is a more involved story. Essentially, politicians, the media, and marketers find it convenient to deal with the different U.S. Spanish-speaking people under one umbrella. However, many people with Spanish surnames contest the term Latino. They claim it is misleading because no Latino or Hispanic nationality exists since no Latino state exists, so generalizing the term Latino slights the various national identities included under the umbrella.
Being Latino is an American identity
The very term Latino has meaning only in reference to the U.S. experience. Outside the United States, we don't speak of Latinos; we speak of Mexicans, Cubans, Puerto Ricans, and so forth. Latinos are made in the USA.
Terminology for Hispanics.--OMB does not accept the recommendation to retain the single term "Hispanic". Instead, OMB has decided that the term should be "Hispanic or Latino". Because regional usage of the terms differs - Hispanic is commonly used in the eastern portion of the United States, whereas Latino is commonly used in the western portion - this change may contribute to improved response rates.(Boldface in the original.)
Race and Hispanic origin are two separate concepts in the federal statistical system. People who are Hispanic may be of any race. People in each race group may be either Hispanic or Not Hispanic. Each person has two attributes, their race (or races) and whether or not they are Hispanic.