The governments of Brazil and China signed a cooperation agreement on Monday for a series of studies to assess the feasibility of a railway line connecting the Brazilian State of Bahia with the Peruvian Port of Chancay, official sources reported.
Brazil's Transportation Ministry explained in a communiqué that the participation of the Asian Giant will take place through the state-owned company China State Railway Group, which will contribute to the economic, social, and environmental feasibility studies for the initiative.
The project, still in its early stages, aims to build a railway line that would connect the Port of Ilheus, on the Atlantic coast of the State of Bahia, with the Peruvian Megaport of Chancay, on the Pacific Ocean.
Now in operation
The port terminal began operations last June.
It was
built with significant Chinese investment and is one of the projects Peru has agreed upon with China under the Belt and Road Initiative, of which Brazil is not a member.
According to the initial proposal to be studied by Brazil and China, the railway to Peru would start at the Port of Ilheus and reach Chancay by passing through the Brazilian States of Goias, Mato Grosso, Rondonia, and Acre.
"The corridor to be analyzed could become the backbone of a new bi-oceanic route, which would boost Brazil's presence in international trade and offer major advantages for exports bound for Asia," the
Ministry of Transportation said in the statement.