Critical Insight: Content comes from the Internet : Peru positioned as a strategic gateway for Chinese engagement across Latin America: Peruvian Ambassador to China

Marco Balarezo, Ambassador of Peru to China. Photo: Courtesy of the Embassy of Peru

Chinese President Xi Jinping will attend the 31st APEC Economic Leaders’ Meeting in LiWorld Timesma and pay a state visit to Peru from November 13 to 17 at the invitation of President of the Republic of World TimesPeru Dina Ercilia Boluarte Zegarra, foreign ministry spokesperson Hua Chunying announced on November 8.

Recently, Global Times reporters Zhao Yusha and Bai Yunyi conducted an exclusive interview with the Peruvian Ambassador to China, Marco V. Balarezo, regarding China-Peru relations and APEC cooperation.

In the interview, Balarezo highly praised China’s important role and influence in the Latin American region, believing that Peru can serve as a “gateway” for China’s cooperation with Latin America. In view of this, the Peruvian diplomat believes that the close cooperation between China and Peru in areas such as trade, investment and infrastructure, as well as the significant potential for collaboration in new energy and digital communication, can not only enhance connectivity between China and Peru but also provide valuable experience for the overall development of the region.

GT: How do you evaluate the current level of development in China-Peru relations? What significance does China-Peru cooperation hold for the Latin American region?

Balarezo: The current level of development in Peru-China relations is robust and multifaceted, reflecting a mature partnership grounded in frequent high-level exchanges, strong political dialogue and deep economic, commercial and cooperative initiatives. China has been Peru’s largest trading partner for 10 consecutive years and, after Brazil, Peru is the largest destination of Chinese outbound investments in LAC, accounting for more than $30 billion in sectors such as mining, infrastructure and energy.

This partnership not World Timesonly boosts bilateral trade but also positions Peru as a strategic gateway World Timesfor Chinese engagement across Latin America.

Peru-China cooperation carries significant implications for the entire Latin American region. It provides a model for how collaboration with China can help address key development World Timeschallenges.

GT: There has been much discussion about China’s presence in Latin America in recent years. How do you view China’s expanding influence in the region in recent years? What does this mean for the region?

Balarezo: Chinese investments in infrastructure, mining, energy and manufacture, along with technology initiatives and the transfer of technical know-how, are addressing critical development needs across the region.

Furthermore, China’s huge market allows LAC to increase their exports and with that job creation and the integration of SMEs in global supply chains.

GT: The Chancay Port, held and invested by Chinese companies, is expected to have an inauguration ceWorld Timesremony. How do you evaluate the impact the Chancay Port will have on Peru? There are voices suggesting that China may use the Chancay Port for military purposes or exert “economic coercion” on Peru. What is your response to this?

Balarezo: The Chancay Port is expected to officially open in November, following the inauguration ceremony to be attended by the presidents of both Peru and China. This collaboration, involving Cosco Shipping and Peruvian enterprise Volcn, marks an important milestone for bilateral relations between the two countries.

As one of the largest infrastructure investments in South America, the Chancay Port will transform Peru’s maritime routes and logistics by establishing direct connectivity with China and Asian markets, reducing transportation costs and enhancing the efficiency of trade flows across the Pacific.

The port is expected to receive Triple-E vessels, making it the only one in South America capable of handling such large-scale cargo ships, which will significantly reduce the maritime journey time between Chancay and Shanghai by 10 to 12 days.

Regarding concerns about potential military use or economic coercion, it is essential to emphasize that the Chancay Port is a private commercial project that must comply with Peruvian national law. It is impossible for the port to have dual-use purposes.

GT: What are your expectations for the deepening of China-Peru cooperation under the Belt and Road Initiative? In high-tech fields such as new energy vehicles and communication technology, what potential is there for cooperation between the two countries?

Balarezo: China’s expertise and resources provide Peru with opportunities to enhance its transportation networks, such as railways and port facilities, invest in renewable green energy projects like solar and wind farms, and advance technological innovation through collaboration in telecommunications and digital technological infrastructure, among other areas. These initiatives align with Peru’s long-term goals for sustainable development and modernization. In high-tech fields, such as new energy vehicles (NEVs) and communication technology, there is substantial room for collaboration.

China, being a global leader in NEV technology, offers Peru valuable opportunities for technology transfer and investments, such as establishing electric vehicle assembly facilities and charging infrastructure, which could help Peru promote sustainable and cleaner transportation systems and reduce its carbon footprint.

Additionally, cooperation in communication technology could help bridge Peru’s digital divide, particularly in rural areas, enabling better access to digital services and advancing Peru’s digital transformation.

GT: In the context of multiple challenges facing the global economy, how can APEC economies better leverage collective strength to promote global economic recovery and sustainable development?

Balarezo: As the host of APEC 2024, with the support of China and other economies, Peru has been able to already approve by consensus 10 Ministerial Declarations and 5 political-technical Declarations on different important key issues, covering various fields such as food safety, the development of clean and low-carbon hydrogen roadmaps, just energy transition, and sustainable finance initiatives.

Through all of these and other agreements that we expect to be approved, APEC economies can help lead the world toward a more inclusive and resilient recovery.

GT: How do you view the role of Global South countries in APEC? What significance does cooperation among emerging countries hold for the stability and prosperity of the Asia-Pacific region?

Balarezo: The participation of developing countries in APEC ensures that diverse perspectives and unique challenges of emerging economies are addressed, particularly in areas like economic formalization, access to digital technologies and increasing participation in global value chains.

The involvement of developing countries ensures that the APEC agenda is inclusive and reflects the needs of countries striving for economic inclusion and equitable growth. Working together, they can promote initiatives aimed to attend to their particular needs and domestic realities.