FTA Agreement Between Hong Kong and Peru Enhances Bilateral Trade Opportunities in Latin America
Hong Kong-Peru FTA Agreement Overview
A new free-trade agreement (FTA) between Hong Kong and Peru will significantly enhance opportunities for local firms to enter Latin America. Business leaders have praised the deal, which was signed in Lima, as a chance to expand Hong Kong's business network in the region.
Key Areas Impacted by the FTA
- Innovation and Technology
- Finance and Investment
- Transport and Services
- Research and Development
The Hong Kong General Chamber of Commerce emphasized that the agreement covers trade in goods and more than 150 service sectors, including intellectual property and investment.
Benefits for SMEs and Market Access
- Tariff Elimination: Peru will eliminate tariffs on 98.3% of its tariff lines for goods from Hong Kong.
- Improved Market Access: Enhanced treatment for service sectors boosts opportunities for SMEs.
- Dispute Resolution: The agreement includes mechanisms for effective dispute settlement, fostering a fair competitive environment.
According to Jeffrey Lam Kin-fung, a lawmaker from the commerce sector, the FTA will position Hong Kong's technology-driven sectors to export effectively while allowing Peru to market its agricultural products.
Strong Bilateral Trade Relations
In 2022, Peru was Hong Kong’s fifth-largest trading partner in Latin America, with a bilateral merchandise trade value of HK$5.2 billion (US$668 million). As trade dynamics evolve, Hong Kong plays a critical role in facilitating the flow of goods between Peru and the mainland.
Industry experts believe this FTA represents a significant leap in the economic partnership, creating new pathways for growth and cooperation.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.