Xi Jinping inaugurates Perus Chancay port, emphasizes deeper cooperation between China and Latin America

Chinese President Xi Jinping began his week-long diplomatic visit to Latin America on Thursday with the virtual inauguration of the port of Chancay in Peru. The $1.3 billion project, funded by China, is expected to become a major trade hub between South America and Asia. Xi described the port as a key maritime center for trade between South America and Asia and said it would serve as the starting point of a new-age Inca Trail.

Located approximately 80 kilometers north of Lima, the port of Chancay is expected to reduce shipping times between South America and Asia from 40 days to 23 days, with an estimated economic impact of $4.5 billion per year. year and the creation of 8,000 jobs. Xi highlighted the regional importance of the port, saying: “This will help build a new-age Inca Trail with Chancay Port as the starting point, thereby boosting the region's development and overall integration.”

The inauguration took place as Xi attended the Asia-Pacific Economic Cooperation (APEC) summit in Lima, where he delivered a speech emphasizing multilateralism and globalization. We must ensure that economic globalization generates more positive results and moves into a new phase that is more dynamic, inclusive and sustainable, Xi said in his speech. He also highlighted the importance of collaboration, saying: “The Asia-Pacific miracle is based on openness and cooperation. We must continue to respect these principles.

The Chancay port is part of China's broader efforts to strengthen economic ties with Latin America under the Belt and Road Initiative (BRI). Xi highlighted the project's potential to strengthen trade ties, commenting: The Chancay-Shanghai road will foster deeper economic ties and create opportunities for mutual benefit. Peru is a key partner of China in the region, with the two countries strengthening their free trade agreement earlier this year. Peru also counts China as its main trading partner over the past decade.

China's economic footprint in Latin America has continued to grow, with bilateral trade reaching $485.7 billion in 2022, an increase of 7.7% from the previous year. Xi stressed the importance of this relationship, saying China and Latin America enjoy strong economic complementarities. Their development strategies are mutually aligned and they have natural advantages for strengthening cooperation.

As part of his visit, Xi will also attend the Group of 20 (G20) summit in Rio de Janeiro, where he is expected to discuss global economic governance. His remarks at APEC highlighted the need for innovation, saying: “Advancements in science and technology should benefit all humanity, and inclusive development, emphasizing: “The real development means the common development of all countries.

Cultural exchanges are also at the center of relations between China and Latin America. Xi has often emphasized their importance, saying: “Friendship between people is vital for healthy relations between states. Initiatives such as the China-Latin America Year of Cultural Exchange and the 180 sister city partnerships have played an important role in strengthening these ties. Xi's long-standing ties to the region date back to 1996, when he visited Brazil as a provincial official, laying the foundation for partnerships that continue to grow.

The port, which can accommodate up to 24,000 containers, is expected to serve as a distribution hub for South America and Asia, boosting trade in countries including Chile, Ecuador and Colombia. With the joint efforts of the two countries, the Chancay port will be a success, Xi said, adding that it represents a step forward toward common development and shared prosperity.

The visit comes amid increased geopolitical scrutiny of China's growing influence in Latin America. However, Xi has positioned Chinese investments as opportunities for mutual growth. China and Latin America are good friends and partners and move forward hand in hand, he said.

The Chancay port project and Xi's participation in APEC and the G20 underscore China's continued engagement with Latin America as a key region for economic and cultural collaboration.

As China's relations and collaboration with the Global South improve, the EU has adopted a US-subservient foreign relations and trade policy focused on confrontation and trade war, instead of collaboration with China.

At the end of October 2024, Finnish President Alexander Stubb paid a state visit to China, marking the 74th anniversary of diplomatic relations between the two countries. During his meeting with Chinese President Xi Jinping, discussions focused on strengthening bilateral trade, green energy cooperation and sustainable development. Stubb highlighted Finland's commitment to the one-China policy and expressed his desire to deepen practical cooperation in various sectors. The visit highlights the European Union's multifaceted approach to China, balancing economic collaboration with strategic considerations.

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