Post learns major infrastructure projects on table during week-long tour across country as Beijing eyes boost in trade ties
A Chinese delegation eyeing a boost in Asian trade ties is visiting Brazil to discuss major infrastructure projects, the Post has learned, including a railway project linking the South American country to a megaport in Chancay, Peru.
Joao Villaverde, Brazil's secretary for institutional coordination at the Ministry of Planning, told the Post that the meeting followed strategic agreements signed by presidents Luiz Inacio Lula da Silva and Xi Jinping last November during the Chinese leader's state visit.
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At the time, the governments established Brazil's integration with the Pacific as one of four strategic pillars in Sino-Brazilian relations.
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This latest delegation included 11 officials from China State Railway Group and the Chinese transport ministry.
"This is the beginning of a technical relationship for in-depth studies, particularly in railways ... that revolve around these strategic pillars," Villaverde said on Wednesday.
Joao Villaverde (third from left) of Brazil's Ministry of Planning and government colleagues welcome a Chinese delegation to Brasilia on Tuesday. Photo: Handout
According to Brazil's Executive Office of the Presidency, the delegation toured several projects across the country during the seven-day trip that began last Friday, voicing interest in exploring investment options for the Bioceanic Corridor, a proposed transport route connecting Brazil to the Pacific Ocean.
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If realised, the corridor would allow Brazil and neighbouring countries to bypass traditional Atlantic shipping routes, significantly reducing transit times and lowering logistics costs for agricultural exports such as soy, beef, and grains.
Brasilia first proposed the idea in 2014, initially designed to connect domestic manufacturing hubs with Chilean ports. But Villaverde said the project needed updating to account for changes in trade and infrastructure dynamics in the region.
"Nine years ago, for example, the Pacific Highway, which is the union of two federal highways between Brazil and Peru, did not exist," he said.
"Although the asphalt needs to be improved in some sections, it is perfectly possible to travel today by car, motorcycle, truck or bus via [the states of] RondOnia, Acre and then the Peruvian territory to get to Lima or Chancay."
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The proposed corridor is crucial for the success of Peru's Chancay megaport, which Chinese President Xi Jinping inaugurated in November during the Asia-Pacific Economic Cooperation leaders' summit in Lima.
Financed by China, the project cost an estimated US$3.5 billion and is considered vital for the development of new trade routes in Latin America.
The Chancay port would also help Beijing diversify shipping options and cut its reliance on the Panama Canal, a route that has inflamed diplomatic and geopolitical tensions with the United States.
However, analysts interviewed by the Post last year questioned its long-term viability without a direct connection to Brazil, which is China's largest trading partner in the region. Currently, most Brazilian exports are shipped via Atlantic routes.
Since then, officials in BrasIlia and Lima have been seeking ways to fund a link between the port and the South American integration routes, a high priority for the Lula administration.
On Thursday, Villaverde said growth in cross-border trade between Brazil and its neighbours had rekindled private sector interest in the initiative and showed that investments in this area would be viable.
He cited the example of Assis Brasil, a border town in Acre state neighbouring Peru, where Brazilian exports surged 130 per cent between January and March 2025 compared with the same period last year.
Villaverde believed such potential could be boosted with additional financing for the integration routes proposed by the Lula administration.
"A railway, as well as waterways in different parts of our territory, would have significant potential to increase intraregional trade in South America," the secretary added.
Meanwhile, Mauricio Muniz, Brazil's special secretary for the growth acceleration programme, said he was "honoured to host the Chinese delegation".
Muniz described the visit as an opportunity to highlight the viability of the Bioceanic Corridor, particularly in strengthening Brasilia's relations with Beijing.
The Executive Office of the Presidency said the visiting Chinese officials also met state representatives in Mato Grosso, GoiAs, RondOnia and Acre to discuss Brazil's road, rail and waterway networks.
Next, the delegation is expected to visit SAo Paulo on Thursday to tour Santos, home to one of Latin America's largest ports, which is being expanded with a US$486 million investment by Chinese agribusiness giant COFCO International.
Once fully operational in 2026, the expanded terminal is projected to handle up to 14.5 million tonnes of agricultural commodities annually, including soybeans, corn and sugar.
In addition, COFCO has acquired 979 railcars and 23 locomotives to transport grains and sugar to the Port of Santos, a move meant to improve logistics efficiency and reduce road congestion.
The 98,000 sq m terminal concession was awarded through a bidding process in 2022 and will run for at least 25 years.