China is building a port in South America that can lead to resource was with the US. According to the media reports, Beijing is forming a deep-water port in Peru’s Chancay which is likely to be inaugurated by Chinese President Xi Jinping later in 2024.
China’s Cosco Shipping is building the $3.5 billion port in the region that may boost trade between Asia and South America and open new markets for Chinese electric vehicles and other exports.
Notably, it will also be the first port on South America’s Pacific coast that will be able to get mega ships because of its nearly 60 feet of depth, according to the media reports.
However, the port has put a challenge for the US that seeks to stop China’s increase in Latin America. The US is tensed about the fact that China’s control over the port can allow Beijing to strengthen its control over South America’s resources.
‘This will make it easier for the Chinese to extract all of these resources from the region, so that should be concerning’, said Army Gen. Laura Richardson.
The relations between the US and China have been not so good for the past few decades with the two countries recently taking initiatives to reengage at high levels diplomatically.
Daniel Bustamante, who grows blueberries and avocados on Peru’s coast, said that he expects the port will open new Asian markets for his fruits, which he presently now mostly ships to Europe and the US.
He added, ‘This will be a window into Asia’.
The present shipping routes between Peru and China are about 35 days and takes too long for most foods to reach markets. The port in Chancay will help cut that time by a third and reduce business costs.
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