In recent years, some social groups in Peru, in the name of protecting the environment, have strongly encouraged local unsuspecting residents to gather in the places where mining and oil projects are located to make trouble, so as to prevent mining and oil projects from being invested and developed according to the contract. On September 16, 2007, the first large-scale demonstration against mineral development took place in Piura province in northern Peru. Since then, similar protests and demonstrations have taken place in other provinces in Peru, and even the phenomenon of obstructing normal mineral mining activities has appeared. At present, residents in local mining areas do face the problem of mining pollution, but these pollution mainly comes from "black mines". Peru has many unlicensed "black mines". Mine owners always exploit to the maximum, discharge sewage at will, and never care about the environment. Although the Peruvian government has also intervened in these "black mines", most of them are concentrated in one place, and local people can only blame big companies for the pollution problem. In addition, some large mining companies do not give enough support to local social welfare and do not pay attention to good relations with local residents, which is also a major reason for demonstrations and protests. These activities are actually supported by local governments. In this case, many foreign companies are considering reducing their investment in Peru's mining industry, and even some mining companies are considering withdrawing from Peru. China enterprises, such as China Zijin, which bought the Peruvian mining area from the British, are also facing the above-mentioned problems and difficulties that need to be solved urgently.
2. Paying voluntary contributions will increase the burden on enterprises.
In July 2006, Peruvian President Garcia announced that enterprises engaged in mining activities in Peru should voluntarily pay "membership fees" for social development. The specific amount is calculated according to the price changes of mineral products and corporate profits in the past 20 years. Ultimately, it depends on the negotiations between the government and mining enterprises. In August 2006, the Peruvian government signed an agreement with the mining industry, and the mining company will donate 775 million US dollars to develop social undertakings within five years. According to the terms of the agreement, these enterprises will use 3.75% of their after-tax net profit to support social undertakings. The agreement also stipulates that if the tax paid by enterprises has reached 3% of sales, then these enterprises can be exempted from paying a large amount of tax after donation. In addition, the agreement also stipulates the reference prices of various metals. If the metal price falls below the reference price, then these companies don't have to continue to donate.
Strikes often disturb the normal production of enterprises.
The labor force problem has always been a big problem faced by some mining enterprises, especially foreign-funded enterprises, and no effective solution has been found so far. China Shougang Secret Iron Company is a typical example. In recent years, the production of Shougang Secret Iron Company has been plagued by various strikes and demonstrations, and every time it tries to solve it, it faces the next wave of threats. From June 2005 to July 2006 alone, Shougang Secret Railway Company suffered three strikes by workers, which caused the company millions of dollars in economic losses.