China to support bi-oceanic rail corridor

China's government is interested in supporting Brazil's Paraná state in its ambitious project of building a bi-oceanic freight rail corridor between the port of Paranaguá and the port of Antofagasta in northern Chile, passing through Paraguay and Argentina.

Paraná's governor and a strong backer of the corridor, Carlos Massa Junior, met with China's ambassador to Brazil, Yang Wanming, who conveyed Beijing's interest in the project.

"We want to make Paraná the logistics hub of South America," Massa Junior said.

According to the governor, the proposal includes Itaipu Binacional – which operates the giant Itaipu hydroelectric plant on the Brazil-Paraguay border – to draft an executive project to link the Atlantic and Pacific ports.

"Having the proposal of the project completed, the idea is to offer the concession of the bi-oceanic corridor for 50 years so that countries like China and others can participate and build the railway," said the governor. "According to our calculations, it would reduce by 40% the logistical cost of exports to Asia and reduce transport by many days."

Wanming said "I would like to work together to realize this dream."

In recent years, China increased investments in Latin America, mostly in infrastructure, due to its strong appetite for commodities and raw materials from the region.