Tacna-Arica Dispute
Tacna-Arica Dispute, a boundary dispute between Chile and Peru. It resulted from the War of the Pacific (1879–83), in which Chile defeated Peru and Bolivia. One of the provisions of the Treaty of Ancón (1883), which ended the fighting between Chile and Peru, gave Chile temporary control of the Peruvian provinces Tacna and Arica, both rich in resources. At the end of 10 years the residents of each province were to vote on whether the province should be part of Chile or of Peru.
The plebiscite was not held on schedule because the treaty did not specify whether all residents or only those who were native born were to be allowed to vote. In 1922 the two nations submitted the dispute to the United States for arbitration, but rejected United States suggestions. An agreement was finally reached in 1929 by direct negotiations between the two nations under United States sponsorship. Most of Tacna was restored to Peru. Chile kept a small part of Tacna and all of Arica, and agreed to pay Peru $6,000,000.