Argentine maritime resources threatened by the Santa Cruz and Chubut agreements with China

The agreements between the Patagonian governments and the Chinese fishing company Hongdong Fisheries Co. Ltd, open the door to a company with a dark history, accused of predation, illegal fishing, labor abuse and forced labor.

2 de January de 2025 15:56

The Fu Yuan Yu 7881, one of the Hongdong Fisheries fishing vessels that annually fishes on the edge of the Argentine EEZ

Last November, the Argentine Environmental Policy Circle issued a severe warning about the implications that the agreements between the two Patagonian provinces and Hongdong Fisheries Co. Ltd. would entail.

The governments of the Patagonian provinces of Argentina, Santa Cruz and Chubut, led by Claudio Vidal and Ignacio Torres, respectively, are negotiating an agreement with the aforementioned Chinese fishing company, to install an industrial fishing plant and provide logistical assistance to foreign vessels in their ports.

The visit of the governor of Santa Cruz, Claudio Vidal, to the company, during his trip to China

The agreements come amid concerns about the illegal and predatory practices of the Chinese fishing fleet, which has been accused of illegal, unreported and unregulated (IUU) fishing in various areas of the world, including seas near Argentina.

Meeting between the governor of Chubut, Ignacio Torres, and the Chinese ambassador to Argentina.

 

Hongdong Fisheries: A fishing giant with a dark history

Hongdong Fisheries is China's second-largest fishing company, with a fleet that includes at least 161 vessels, some registered under different countries such as Mauritania and Guyana. The company is linked to Poly Group Corp , a state-owned conglomerate with direct connections to the Chinese military. Its global expansion has been marked by illegal fishing practices and human rights violations.

In 2018, Hongdong CEO Lan Ping Yong was appointed to China’s National People’s Congress, consolidating the company’s influence within the state apparatus. Despite criticism, Hongdong has secured permits to operate in countries with weak fisheries regulation, such as Mauritania and Guyana, where it exploits marine resources without considering sustainability or the needs of local communities.

 

Illegal and predatory fishing: The story of the Hongdong fleet

Hongdong vessels have been involved in a number of illegal activities, including fishing in jurisdictional waters without permits and using tactics to conceal their activities.

In Indonesia, for example, the fleet was detected fishing illegally in its exclusive economic zone (EEZ), using multiple flags of different countries to conceal their identity, which is a direct violation of the United Nations Convention on the Law of the Sea.

One of the most notorious cases occurred in 2017, when Hongdong ’s Fu Yuan Yu 831 vessel was seized in Indonesian waters after making 19 illegal incursions. During the arrest, protected shark remains were found on board, as well as undocumented crew members from various countries, including Indonesia, Myanmar, Vietnam and China. In another case, the same company was implicated in illegal fishing in South Africa’s EEZ in 2016, where three Chinese vessels were intercepted by South African authorities.

In Argentina, Hongdong has also been under suspicion. Between 2017 and 2019, its vessels were reported to have been disconnecting from the Automatic Identification System (AIS), a tactic used to hide their location and carry out illegal fishing activities in Argentine waters. The vessels Fu Yuan Yu 7880 and Fu Yuan Yu 7881 were detected near the Argentine EEZ, raising further concerns about the impact of its operations in the region.

 

Forced labor and labor abuses

In addition to its history of illegal fishing, Hongdong Fisheries has been accused of exploiting its workers under inhumane conditions. In June 2020, the vessel Fu Yuan Yu 7881 was accused of abandoning 24 Filipino crew members in a Chinese port, where they were forced to survive for three months without adequate food or clean water. The workers’ rescue was only possible after the intervention of the Philippine government, highlighting the dire working conditions on board Hongdong’s fishing vessels.

Reports of labour abuse and poor conditions in the Chinese fishing fleet are not isolated. In several countries in Africa and Latin America, such as Mauritania, workers in the Chinese fishing fleet have reported labour exploitation and poor living conditions.

 

Impact on local economies and sustainability

The impact of Hongdong ’s operations on local economies is significant. In Mauritania, where the company has a fishing base with facilities including ports and shipyards, local fishermen complain that the company is depleting marine resources for the benefit of the Chinese fishing industry. In Uruguay, there has been a 49% loss in the local fishing industry over the past decade, partly due to unfair competition from foreign fleets, including Hongdong’s.

In Peru, Hongdong has been accused of using local ports as bases for its illegal fishing vessels. According to reports from Oceana Peru, at least ten Chinese illegal fishing vessels have used Peruvian ports as a stopover for their operations. These vessels are involved not only in illegal fishing, but also in the exploitation of workers, many of whom have been victims of abuse and mistreatment.

 

A subsidized industry that destroys resources and jobs

The Chinese government generously subsidizes its fishing industry, allowing Chinese vessels to operate at artificially low prices. These subsidies range from ship construction to the provision of fuel and equipment. However, Chinese fishing fleets operating outside its jurisdiction fail to comply with environmental, health and safety regulations. This leads to unsustainable exploitation of marine resources and unfair competition with local fishing industries in the countries where they operate.

 

The risk for Argentina and the need for a firm stance

The possible collaboration between the governments of Santa Cruz and Chubut with Hongdong Fisheries is viewed with concern by various environmental and local fishing sector organisations. Argentina's ports must not become a base for fleets that practice illegal fishing and that have violated the human rights of their workers. The example of other countries such as Uruguay and Peru shows that providing logistical support to the Chinese fishing fleet not only has negative consequences for the environment, but also undermines the local economy and labour rights.

Hongdong Fleet operations in the South Atlantic and South Pacific.

The Hongdong Fisheries case is a stark reminder of the need for Argentina to take a firm stance against illegal fishing and the exploitation of its marine resources. If the national or provincial government opens ports for this fleet, it could open the door to further destruction of natural resources and a serious loss of food sovereignty, with devastating repercussions for local communities and the marine environment.

 

Conclusion

The agreement being negotiated between the governments of Santa Cruz and Chubut with Hongdong Fisheries poses serious risks to the sustainability of Argentina's marine resources, local employment and respect for human rights. The country must therefore reject any attempt to allow companies with a history of illegal fishing and labour exploitation to operate in its ports. International experience shows that collaboration with fishing fleets such as Hongdong 's only brings negative consequences for countries that provide logistical support for these illegal activities.

Fountain:

Environmental Policy Circle

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