The US State Department has cleared a potential $1.5 billion Foreign Military Sale to support the redesign and construction of facilities at Peru’s primary naval base in Callao, less than 80 km from a Chinese-owned port. The proposal includes relocating the naval base from its current location beside Peru’s busiest commercial port to improve operational safety, efficiency, and separation between civilian and military activities. The move would also enable expansion of commercial port operations. According to the Pentagon’s Defense Security Cooperation Agency, the sale will enhance Peru’s port infrastructure for current and future naval and logistical needs while advancing US foreign policy objectives by strengthening the security of a key regional partner. Contractors will be chosen through a competitive process, and up to 20 US personnel may be deployed to Peru for as long as 10 years for project oversight. The decision comes amid US concerns over China’s growing presence in Peru’s port sector, particularly the Chinese state-owned COSCO-operated Chancay port, which US officials have flagged for potential dual-use implications.
