Peru and Hong Kong announce substantial closure of negotiations for a trade agreement

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

This important advance is the result of a meeting held by the head of Mincetur, Elizabeth Galdo, and the Secretary of Commerce and Economic Development of Hong Kong, Algernon Yau.

“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 be a modern and ambitious FTA, which will boost trade in goods, services and investments between Peru and Hong Kong," said the Minister Galdo.

On the other hand, the Hong Kong authority added that “this FTA will be very beneficial for both parties. I appreciate the work of our delegations to reach this substantial closure. Hong Kong offers many opportunities for Peruvian companies, and is a gateway to Asia.”

A substantial closing of the negotiation implies that both parties have reached a consensus on the most complex issues of the negotiation and only minor technical issues remain pending.

This trade agreement includes 14 chapters, with topics related to market access, rules of origin, sanitary and phytosanitary measures, trade in services, electronic commerce, investment, cooperation, trade facilitation, temporary entry of business persons, among others.

COMMERCIAL EXCHANGE WITH HONG KONG

In 2023, Hong Kong will become the 3rd destination for non-traditional exports from Peru to Asia.

Likewise, in the last 5 years, bilateral trade between Peru and Hong Kong has resulted in a positive trade balance for Peruvian exports. In 2023, Peruvian exports to Hong Kong reached US$266 million, an increase of almost 1.5% compared to 2022.

Among the main Peruvian products exported to Hong Kong are blueberries, grapes, avocados, fish meal, sea urchins, zinc, copper, and clothing. It should be noted that 92% of the products exported to Hong Kong, in 2023, were non-traditional products.

Regarding imports, an amount of US$ 26 million was reached, due to an increase in capital goods.

COMMUNICATIONS AND PROTOCOL OFFICE
MINISTRY OF FOREIGN TRADE AND TOURISM