Peruvian Ambassador to Việt Nam Patricia Ráez Portocarrero. Photos courtesy of Peruvian embassy

As the Presidency of APEC in 2024, Peru will host the APEC Economic Leaders Week from November 10 to 16. Việt Nam's State President Lương Cường will pay an official visit to Peru and attend the 2024 APEC Economic Leaders’ Week in Lima from November 12 to 16. On this occasion, Peruvian Ambassador to Việt Nam Patricia Ráez Portocarrero wrote to Việt Nam News

For 35 years the Asia Pacific Economic Cooperation (APEC) forum, the main platform for economic cooperation in the Asia Pacific, has effectively promoted trade and investment integration in the most dynamic and fastest growing region on the planet.

Peru holds the Presidency of APEC in 2024, for the third time since we joined the forum. This year Vietnamese authorities have already visited Peru to participate in several high-level meetings and collaborate on various matters.

The APEC Economic Leaders Week is fast approaching, which takes place from November 10 to 16. Representatives from highest levels of the 21 member economies of the forum – Việt Nam among them – will meet in Lima to assess the challenges and opportunities the region faces. The topics they will discuss are related to trade and investment for inclusive and interconnected growth, innovation and digitalisation to promote a formal economy and sustainable growth for a resilient development for the benefit of their people.

Peru, as host of APEC this year is conscious of the great responsibility of organising such a big event, that will enhance the international image of the country. More than 7,000 delegates have already participated in APEC and more than 270 meetings have been held. Around 5,000 delegates will participate in the Summit of Economic Leaders, 1,200 businessmen at the Business Summit and 2,500 journalists, making this APEC possibly one of the busiest in the forum’s history.

Since Peru joined APEC in 1998, we have experienced a significant growth in our international trade exchange because we are interacting with many of the most relevant economies worldwide. Hundreds of Peruvian companies, particularly small and medium sized ones, have been joining to global value chains. This has been made possible thanks to the trade agreements we have with several of the APEC economies.

Peruvian exports have increased by 14.7 times and imports by 7.5 times. In 2023, trade with the economies of this block represented 66.7 per cent of the total of our international transactions and 68.5 per cent of Peruvian exports were directed to them, totaling US$44.252 billion. This dynamism has continued in 2024. In the first half of the year, Peruvian exports to APEC reached $21.869 billion, representing 66.2 per cent of our total exports.

One of the main achievements of the Peruvian Presidency of APEC 2024 has been the restoration of consensus in the forum, after two years in which it was not possible to achieve it, due to the complexity of the current international scenario. This has allowed to adopt deliverables unanimously, which include ten ministerial declarations and five other important documents on economic inclusion of people with disabilities; development of low-emission hydrogen in the Asia Pacific; principles to prevent and reduce food loss and waste; energy transition initiative; and the Sustainable Finance Initiative for voluntary information sharing and capacity building on sustainable finance issues.

We are almost at the final stretch of the APEC 2024 year and Peru awaits in November the adoption by consensus of the most important deliverable of this current exercise, the roadmap for the transition from informal to formal economy. Incorporating the topic of the informal economy into the APEC agenda will result in solid and comprehensive public policies that contribute to the reduction of Peru's high levels of informality in its economy that hinder its full takeoff.

Also, Peru expects to agree on a roadmap to a Free Trade Area in Asia Pacific in the future.

Peru hosts the Asia-Pacific Economic Cooperation (APEC) 2024 summit from November 10–16, 2024.

Peru has an extraordinary opportunity, as APEC Presidency, to boost its economic and social development and to project Peru as a modern, inclusive and resilient country, able to face the global challenges with innovative and sustainable solutions.

The President of Việt Nam, Lương Cường will participate in the APEC Economic Leaders Week, and also will travel for an official visit to Peru in a few days. This will be a milestone in our diplomatic relations as it is the first visit of a President of Việt Nam to Peru the same year where we are commemorating 30 years of diplomatic relations, on November 14.

During this occasion, President Lương Cường will have a meeting with the President of Peru, Dina Boluarte where they will discuss important topics of the bilateral relations. There will also be high level meetings with ministers, the Congress and Judiciary of Peru to enhance friendship and promote ties with their Vietnamese counterparts. These encounters will create opportunities for cooperation in diverse areas as well.

Việt Nam is Peru's main trade partner in Southeast Asia and Peru is Việt Nam's sixth trading partner in Latin America. The exchanges reached more than $700 million in 2023, and between January and August 2024, reached $509 million compared to $483 million in the same period of 2023. Given that both countries are members of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), there is a lot of potential to continue growing steadily in this area, considering that many products are exempt from tariffs. We are currently negotiating the access of products into the Vietnamese market, such as tangerines and we expect to finish negotiations soon.

Also, with the opening of the Chancay Megaport in Peru this coming November (only 75km from the capital, Lima), the maritime transport time between Peru and Việt Nam will fall from 40 to 25 days, which will increase capacity and efficiency to the exchange of goods and will also open opportunities in the sector of logistics services.

On the other hand, Việt Nam is the main Southeast Asian investor in Peru, having funded $1.3 billion in various projects, made possible by Viettel and Petrovietnam. We hope Vietnamese investments in Peru will continue expanding.

With regards to culture, the Embassy of Peru in Hà Nội has been organising various events this year to celebrate 30 years of bilateral relations with Việt Nam. From July 18 to 23 we held a photo exhibition about the Nature Preserves of Peru in an art gallery by Hoàn Kiếm Lake, so that the Vietnamese public can learn more about our country, its geography and landscapes. In October, a Quechua Pop (Q-Pop) concert took place at the Hanoi Opera House with Peruvian artist Lenin Tamayo and Vietnamese artists. As you may know, Quechua is the language of the Incas and is currently spoken by millions.

As can be seen, there is a very active exchange and dialogue in different fields and we are looking forward to even stronger relations in the coming years, that will step up our relations to the next level. — VNS

*Patricia Ráez Yolanda Portocarrero is Peruvian Ambassador to Việt Nam