The first European to sight Chilean territory was Portuguese explorer Ferdinand Magellan (in the service of Spain) in November 1520.

[3] In 1912, Portugal accredited an ambassador to Chile based in Buenos Aires, Argentina.

As a reciprocal measure, the Chilean government under Augusto Pinochet closed its embassy in Lisbon and established an honorary consulate.

Both nations consider themselves to be "like minded country" and work closely together in various international organizations to promote topics of mutual interests.

[1] With regard to outstanding honorific names, the Praça do Chile is a square located in the Arroios district in Lisbon; while in Santiago, Portugal Avenue is an important thoroughfare in the city center, which begins at the intersection with the Alameda Avenue.