Chinese President Xi Jinping inaugurated a massive deep-water port in Peru on Thursday, calling it the “maritime Silk Road of the 21st century.”

China’s $1.3 billion (€1.23 billion) Chancay megaport is transforming the sleepy fishing town on the Peruvian coast and underscoring China’s growing influence in Latin America. It is South America’s first port financed by China.

“Significant income and tremendous job opportunities will be created for Peru,” Xi said in a speech with Peruvian President Dina Boluarte in Lima. he said.

Xi said the Chancay project will generate $4.5 billion in annual revenue, create more than 8,000 jobs and reduce the logistics costs of the Peru-China route by 20 percent. El Peruano newspaper.

Boluarte welcomed the opportunity presented by the opening of the port and praised China “for playing an important role in the growth of our economy.”

moving towards South America

The port of Chancay, a major initiative by Chinese shipping giant Cosco, aims to facilitate trade between South America and Asia and marks an important step for China’s Belt and Road Initiative, with the first ship set to depart from the port next week.

The port will dock some of the world’s largest container ships by 2025.

The megaport will also provide access to China’s neighboring Brazil and access to exports such as soybeans and iron ore.

The port’s opening comes as Beijing looks to resource-rich Latin America amid trade tensions with Europe and concerns about future US tariffs on Chinese exports from the incoming Donald Trump administration.

Meanwhile, local fishermen and residents have expressed concerns about the environmental impact and loss of traditional fishing grounds due to the port.

“We no longer have fishing spots here. They destroyed them,” said 78-year-old fisherman Julius Caesar. “I don’t blame the Chinese for trying to mine here. I blame our government for not protecting us.”

Xi and Biden will meet for the last time

Earlier this month, former U.S. Southern Command chief Gen. Laura Richardson warned that the Chinese military’s navy could use Chancay to gather intelligence.

Separately, the top US diplomat for Latin America, Brian Nichols, warned in Lima that Latin American countries should be careful about Chinese investments.
U.S. concerns about Chancay reflect a broader shift as China expands its influence in South America to become a leading trading partner of countries such as Peru that Washington once considered to be within its sphere of influence.

“Chancay shows that China is seeking secure access to resources and markets and is fighting ever more successfully to corner global value added,” said Robert Evan Ellis, professor of Latin America research at the U.S. Army War College.

Thursday’s inauguration coincides with US President Biden and Xi, who will hold talks in Lima on the sidelines of the Asia-Pacific summit on Saturday.

China’s state-backed Global Times newspaper wrote in an editorial published Monday that the port “is a bridge for practical cooperation between China and Latin America and is in no way a tool for geopolitical rivalry” and called out U.S. accusations about the port’s potential military use. doodles”.

ss/lo (AP, AFP, Reuters)