Market of the Month: Peru
Peru is one of the most rapidly expanding markets for U.S. goods and services. The United States is Peru’s leading trade partner, accounting for approximately 20 percent of imports and exports. On February 1, 2009, U.S. firms gained greater access to Peru when the U.S.–Peru trade promotion agreement (TPA) entered into force.
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|Lima Cathedral, Peru (©iStockphoto.com/Afukuda)
Eighty percent of all U.S. consumer and industrial products are now eligible for duty-free access into Peru. The remaining tariffs will be phased out during the next 10 years. More than two-thirds of current U.S. agricultural exports to Peru also benefit from such treatment.
The TPA is designed to enhance the protection of intellectual property and to streamline customs clearance procedures. Provisions include the establishment of a 48-hour time frame for processing inbound shipments. The International Trade Commission estimates that the TPA will boost annual U.S. exports to Peru by $1.1 billion.
Propelled by economic growth that exceeded 9 percent in both 2007 and 2008, U.S. exports to Peru have doubled in the past two years. In 2008 alone, U.S. exports to Peru increased by 50 percent, reaching a level of $6.2 billion and making Peru the 35th-largest market for U.S. goods worldwide.
The best prospects for U.S. exports of non-agricultural products to Peru include the following sectors: mining equipment, oil and gas field machinery, industrial chemicals, and food processing and packaging equipment.
The Department of Commerce, to help U.S. firms take advantage of the increased market opportunities, is organizing a trade mission to Peru and Chile on June 1–5, 2009. To learn more about the mission, or to register to participate, visit Export.gov or contact Jessica Arnold of the USFCS, tel.: (202) 482-2026, e-mail: firstname.lastname@example.org; or John Simmons, senior commercial officer in Lima, Peru, tel.: +51 (1) 434-3040, e-mail: email@example.com.
This text has been adapted from “Market of the Month,” a regular feature of the U.S. government’s export portal, Export.gov. To read a longer version, with detailed information on Peru and links to other sources of information, visit Export.gov.