China, with its vast market and growing economic influence, has become a key player in global trade. Recognizing the immense potential for collaboration, several treaties and agreements have been established between China and various countries to promote international trade. In this article, we will focus on the international trade treaties and agreements between China and Peru, highlighting their significance and impact on bilateral trade relations.
Free Trade Agreement between Peru and China:
In 2009, Peru and China signed the “Free Trade Agreement between the Government of the Republic of Peru and the People’s Republic of China” in Beijing, China. This agreement, which entered into force on March 1, 2010, aims to strengthen the trade relations between both nations. With a Chinese population reaching approximately 1.4 billion in 2021, this agreement provides Peru access to the world’s largest consumer market. The trade agreement consists of seventeen chapters, covering various aspects such as market access, customs procedures, investment, intellectual property rights, and dispute settlement mechanisms.
In addition to the Free Trade Agreement, Peru and China negotiated a customs cooperation agreement. The “Agreement between the Government of the Republic of Peru and the People’s Republic of China on Cooperation and Mutual Administrative Assistance in Customs Matters” was signed in Lima, Peru, on November 19, 2008. This agreement facilitates cooperation and mutual assistance between the customs administrations of both countries, including the exchange of statistics, smooth flow of goods and passengers, prevention and investigation of customs offenses, and promote the understanding of each party’s customs laws and procedures.
Optimization of the China-Peru Free Trade Agreement:
Recognizing the need to strengthen their trade relationship, Peru and China initiated negotiations to optimize the current Free Trade Agreement. In November 2018, the “Memorandum of Understanding between the Ministry of Foreign Trade and Tourism of the Republic of Peru and the Ministry of Commerce of the People’s Republic of China on the Initiation of Negotiations for the Optimization of the China-Peru Free Trade Agreement” was signed. Several negotiations rounds were conducted, focusing on areas such as rules of origin, customs procedures, trade in services, investment, intellectual property, competition policy, and e-commerce.
The treaties and agreements between China and Peru have significantly contributed to expanding bilateral trade and strengthening economic cooperation. The Free Trade Agreement provides access to China’s vast consumer market, opening opportunities for Peruvian companies. The customs cooperation agreement enhances collaboration between the customs administrations of both countries, facilitating smoother trade flow and combating customs offenses. As negotiations to optimize the Free Trade Agreement continue, both nations seek to strengthen their trade ties and explore new areas of collaboration. These treaties and agreements promote international trade and foster mutually beneficial economic relations between China and its partner countries.