Proposed China-Colombia dry canal
Recent reports of a proposed Chinese-built railway across Colombia, bypassing the Panama Canal, have prompted mixed reactions. The Financial Times noted that responses in Colombian newspaper El Tiempo were “split between horror and hope”. But the head of the Panama Canal Authority told the AFP that “I don’t see that as a competition issue. We are a very important freight shipment hub, and shipping by sea is the most efficient (method).”
A post at Breakbulk, which covers the shipping industry, also expressed skepticism: “Why build another transcontinental railway when Panama already has one? … Even for containers, the handling charges at both ends make it an expensive alternative.”
Direct competition with the canal may not be either China’s or Colombia’s primary objective in any case. China needs coal, which Colombia is eager to sell.