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Trump Advisor Proposes 60% Tariffs on Goods Passing Through China-Linked Peruvian Port

Trump Advisor Proposes 60% Tariffs on Goods Passing Through China-Linked Peruvian Port
The Port of Chancay, which is 60% owned by the Chinese state-owned company Cosco Shipping Ports and 40% by the Peruvian company Volcan Compania Minera. Source: picture alliance/Getty Images
  • PublishedNovember 18, 2024

A veteran advisor to Donald Trump is advocating for a sweeping tariff policy that would target goods passing through a new Chinese-built port in Peru, Bloomberg reports.

Mauricio Claver-Carone, who served on the National Security Council during Trump’s first term, proposed Saturday that the 60% tariffs previously threatened against Chinese goods should also apply to any products transiting through the Chancay deep-water port, located 60 kilometers north of Lima.

Claver-Carone, currently an advisor to the Trump transition team, argues this measure is crucial to prevent transshipment – a practice where goods from one country, in this case China, are routed through another to circumvent tariffs and enter the US market at lower rates. He specifically highlighted the concern of goods originating from China or other South American nations passing through Chancay.

“Any product going through Chancay or any Chinese-owned or controlled port in the region should be subject to a 60% tariff, as if the product was from China,” Claver-Carone said.

He believes this approach would serve as a deterrent against future partnerships with China on maritime infrastructure projects. “It’s a shot across the bow” to countries considering such collaborations, including Mexico, he added.

The new Chancay port, inaugurated by Chinese President Xi Jinping on November 14th, is touted as a crucial link between Shanghai and South America, promising reduced shipping times and costs. However, the extent to which the port will facilitate US-bound shipments remains uncertain. While some believe it could boost China-US trade, others point to the port’s intended role in connecting South America with Asian markets.

This proposal comes amidst the APEC summit in Lima, where Xi Jinping reportedly expressed willingness to work with Trump to improve US-China relations.

Written By
Michelle Larsen