Rising Chinese Influence or Debt Trap? U.S. Flags Sovereignty Concerns Over Peru Port

Washington: The administration of U.S. President Donald Trump has raised fresh concerns over China’s growing footprint in Latin America, warning that Peru’s sovereignty could be at risk amid Beijing’s expanding control over key infrastructure projects.

The warning follows a Peruvian court decision that reportedly limited the oversight powers of a local regulator over the Chinese-built deep-water port in Chancay, located north of the capital, Lima. The $1.3 billion Chancay Port has emerged as a symbol of China’s strategic presence in the region and a focal point of rising U.S.–China tensions.

In a statement posted on social media, the U.S. Department of State’s Bureau of Western Hemisphere Affairs expressed concern that Peru may be losing effective oversight of one of its largest ports, now under the jurisdiction of Chinese operators. The U.S. reiterated its support for Peru’s sovereign right to supervise critical infrastructure within its territory, cautioning that “cheap Chinese loans can come at the cost of sovereignty.”

The development comes as Washington seeks to reinforce its influence across the Western Hemisphere, while China continues to expand its presence through infrastructure financing and trade partnerships under its global outreach initiatives.

Responding to the U.S. remarks, China strongly rejected the allegations. Chinese Foreign Ministry spokesperson Lin Jian dismissed the claims during a regular press briefing, condemning what he described as “rumors and disinformation” spread by the United States regarding the Chancay Port project.

The episode underscores intensifying geopolitical competition in Latin America, with Peru increasingly caught at the center of the strategic tug-of-war between Washington and Beijing.

---------------------------------------------------------------------------------------------------

Related posts