LIMA, March 28 (Reuters) - Peru's Navy selected the

Korean shipyard Hyundai Heavy Industries as a shipbuilding

partner, as it seeks to strengthen the local naval industry.

Peru's Navy industrial services division chose Hyundai Heavy

Industries after evaluating the interest of shipyards from

Germany, the United States, the United Kingdom, France, Spain,

Italy and the Netherlands, a statement by the entity said late

on Wednesday.

The Navy is aiming to improve its infrastructure and

technology for its shipyard located next to the port of Callao,

the largest in the country on the central coast of South

America.

Peru plans to build 23 ships to modernize its fleet, and

also hopes to build a new dock to receive and repair large cargo

ships that would arrive from the Chancay megaport built by

China's Cosco Shipping, which is set to begin

operations at the end of the year.

The South American country's government hopes its new ports

help it to compete with the main ports in Latin America by being

the main route to Asia.