29 Nov 2018
Peru and Mainland China Agree to Modernise FTA
Peru and mainland China recently signed a memorandum of understanding to update their bi-lateral free trade agreement in an effort to maximise its benefits. Among other things, the two sides intend to negotiate new disciplines in the areas of electronic commerce and competition and update existing disciplines related to trade facilitation, origin procedures, services and intellectual property. A first round of talks is expected to be held during the first half of next year.
The Peru-China FTA has had a visibly positive effect on Peruvian exports to the mainland, with goods exports growing by an average of 9.6 percent per year since the agreement entered into force in March 2010. Product categories with particularly robust growth during this period include non-metallic mining (up by 31.3 percent), skins and hides (up by 24.8 percent) and agricultural products (up by 23.0 percent). According to Peruvian Minister of Foreign Trade and Tourism Rogers Valencia, there is ample potential to enhance trade and investment flows between the two economies.