APM Terminals is set to invest USD 550 mn to expand Peru’s Callao port, beginning next January, Reuters reported last week. This two-year project is designed to boost the terminal’s capacity to 24k containers, positioning the ports as a major logistics hub. APM Terminals operates one of the port’s two terminals — the multipurpose terminal in the northern leg of the port.

China-Peru trade on the rise: Peru’s Callao port, alongside Chancay port, is at the center of a new push to expand Peru-China shipping links amid a surge in bilateral trade between the two countries. The surge has raised the demand for China-Peru shipping, making direct services with shorter turnaround times more feasible economically, Bloomberg reported last week.

More direct links: This surge in trade, in turn, has sparked the launch of new direct Peru-China links, including the Ningbo-Callao service from shipping giant the Mediterranean Shipping Company (MSC). China’s Cosco — which had just wrapped a USD 1.3 bn development in Chancay Port — also launched a direct Chancay-Shanghai service last year.

REMEMBER- DP World has a foot in Callao: The Dubai-based logistics giant invested overUSD 3 bn in the port since 2010 after it took over the operations of the port’s main containers terminal in its southern leg. This significant investment has supported a nearly 3 mn TEUs increase in the port’s annual capacity.

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