China’s investments in Peru’s infrastructure bolster bilateral relations by enhancing rail networks and logistical services. Key projects such as the Lima-Ica rail link promise economic benefits, creating jobs and improving regional trade. The partnership under China’s Belt and Road Initiative signifies an evolution in Peru’s economic landscape, particularly in exports beyond mineral resources.
China’s investments in Peru’s infrastructure are fostering closer ties between the two nations as Peru enhances its rail networks and logistical services. Analysts highlight the significant role of Chinese financial and construction support in modernizing Peru’s infrastructure, including the ambitious “Bullet Train Mega Project,” a 323-kilometer rail link from Lima to Ica.
Scheduled to commence in late 2025 and projected for completion within five years, this project will feature advanced engineering, including 47 kilometers of viaducts and 32 kilometers of tunnels, with electric trains operating at speeds of up to 200 kilometers per hour for passengers.
The Lima-Ica rail project is anticipated to yield substantial economic benefits for Peru, creating numerous jobs during construction and helping alleviate traffic congestion and pollution. Additionally, it aims to enhance regional tourism and trade between vital economic areas such as Villa El Salvador and Paracas.
Advisor Jhon Valdiglesias Oviedo notes that this project is part of a broader deepening of Sino-Peruvian economic relations under China’s Belt and Road Initiative. He emphasizes the advantages for Peru when agreements with China are expedited, leading to immediate economic growth and export boosts.
The planned integration of rail services will further connect the Andean region with the Port of Chancay via the “Bi-Oceanic Rail Corridor,” facilitating logistics between the Pacific and Atlantic oceans. The Chancay Tunnel, recently completed by the China Railway Group, has already improved logistical capabilities from the port to the mountains.
Moreover, the $3.5 billion Chancay port project has notably reduced shipping times to Shanghai, enhancing Peru’s position as a critical player in infrastructure development for future Chinese investments. Beyond mineral exports, which constituted the majority of trade with China in 2023, Peru is also looking to strengthen its agricultural and manufacturing sectors.
Researcher Omar Narrea highlights that Peru is well-prepared to penetrate China’s market for fruits and vegetables, where it holds a competitive advantage.
The ongoing infrastructure projects under China’s Belt and Road Initiative significantly enhance the cooperative relationship between China and Peru. The development of the Lima-Ica rail project and the Port of Chancay not only promise economic growth but also represent a strategic integration of Peru into global trade routes. As such developments unfold, they are likely to reshape Peru’s export dynamics, particularly in agriculture and manufacturing.
Original Source: global.chinadaily.com.cn
