Yoshimar Yotun put Peru ahead on the stroke of halftime when he took Christian Cueva’s pass and lifted it over the advancing goalkeeper.
However, Colombia captain Juan Cuadrado curled a free-kick through the wall to draw Colombia level after 49 minutes and then Diaz got his third goal of the tournament 17 minutes later.
Gianluca Lapadula headed an equaliser for Peru eight minutes from time but Diaz’s sensational last-gasp goal gave Colombia their fifth third-place finish and first since 2016.
All attention now moves to Saturday's clash between defending Champions and Host, Brazil and Argentina to determine the winner of the 2020 Copa America.
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