Peru and Hong Kong Announced Substantial Conclusion of Negotiations for Trade Agreement

By Espinosa Bellido Abogados

The Ministry of Foreign Trade and Tourism (Mincetur) announced that Peru and Hong Kong had reached the substantial conclusion of negotiations for a trade deal, which brings both countries closer to signing this free trade agreement (FTA).

"We are pleased to be able to announce this progress within the framework of the APEC Trade Ministers' Meetings. After 15 months of hard work by our teams, we can say that we have reached an agreement on the substantial elements of what will become a modern and ambitious FTA; it will boost trade in goods, services, and investments between Peru and Hong Kong," the Mincetur highlighted in a press release.

"The negotiations, which began in 2023, cover trade in goods, trade in services (including e-commerce), investment and other related areas. I am pleased to note that our shared objectives in achieving a high-quality and comprehensive bilateral FTA are met," said Hong Kong's Secretary for Commerce and Economic Development, Algernon Yau.

"Peru is Hong Kong's important trading partner in Latin America. The FTA will enhance the trade and investment ties between the two sides, provide Hong Kong products, enterprises and investors with legal certainty and better access to the Peruvian market, and bring mutual benefits to our two economies," he added.

The two sides aim to finish the few remaining issues and the respective internal procedures with a view to signing the FTA within this year. Details of the agreement will then be announced.

In 2023, Peru ranked fifth among Hong Kong's merchandise trading partners in Latin America. The total merchandise trade between Hong Kong and Peru amounted to USD 700 million in 2023 and grew at an average annual rate of four per cent from 2019 to 2023.