MK sportpage: IC" />Chancay Port in Peru constructed by China’s COSCO Shipping Ports Ltd Photos on this page: IC
Chancay Port in Peru constructed by China’s COSCO Shipping Ports Ltd Photos on this page: IC
The inauguration of the Chancay Port in Peru, located near the capital Lima, in mid-November is of significant strategic importance in reshaping global trade.
Construction of the port began in 2019 when China's COSCO Shipping Ports Ltd acquired a 60 percent stake in the Chancay Terminal from Volcan Compania Minera. The investment allowed COSCO Shipping to develop the adjacent ocean area with exclusive rights as the terminal operator. Following the resolution of legal disputes regarding the surrounding port area, this infrastructure promises to cut travel time from China by more than 10 days, reducing it to 23 days. Departures from Shanghai, the world's largest port, will particularly benefit a lot. Products including mineral resources, fruits, soybeans, timber, and frozen fish from Peru will be exported to China through weekly connections.
Peru has long-standing ties with China, dating back to the 19th century when migration brought over 100,000 Chinese to the South American nation. Today, about 8 percent of Peru's population descended from those early immigrants. The cultural exchange is evident, with Chinese words integrated into Peruvian vocabulary, and in recent years, February 1 has been declared as Peru-China Fraternity Day.
These historical ties have paved the way for flourishing trade relations, especially since the signing of the comprehensive strategic partnership in 2013. Trade volume further surged from 2016 to 2023, growing at an average annual rate of 14.6 percent. In the first 10 months of this year, trade peaked at $35 billion, marking a 16.8 percent year-on-year increase. Notably, Peru boasts a GDP of about $270 billion and a per capita income of under $8,000 for around 33 million citizens. China's primary exports to Peru consist of consumer goods and machinery, while Peru exports agricultural products and raw materials such as copper.
