China sets sail for Peru as Chancay Port opens to direct shipping

Reuters

China has launched its first direct break-bulk shipping service to Peru’s Chancay port, marking a new stage in connectivity between Asia and South America under the Belt and Road Initiative.

The inaugural shipment set sail from Suzhou, an eastern Chinese manufacturing hub, and is expected to arrive in Chancay in the coming weeks.

Chancay port, located about 80 kilometers north of Lima, is one of the most significant Chinese-backed infrastructure projects in Latin America. Developed by Chinese state-owned shipping giant COSCO in partnership with local firms, the deep-water port is designed to handle large volumes of container and bulk cargo, with the goal of turning Peru into a regional logistics hub.

Unlike containerized cargo, break-bulk shipping involves goods loaded individually, such as machinery, steel, or oversized equipment that cannot fit into standard containers. The new direct service from Suzhou is expected to reduce transit times and costs for exporters, while opening new opportunities for South American markets to receive Chinese industrial goods more efficiently.

The launch comes as trade between China and Latin America continues to expand. China is now Peru’s largest trading partner, importing copper, fishmeal, and agricultural products, while exporting electronics, machinery, and manufactured goods. With Chancay port set to become operational later this year, Peruvian officials have described it as a “game-changer” for regional commerce, providing a direct gateway for Asian goods into South America’s Pacific coast.

For China, the project highlights the growing reach of the Belt and Road Initiative beyond Asia and Africa, into Latin America. By establishing direct shipping routes and investing in port infrastructure, Beijing is seeking to secure supply chains and expand trade corridors that bypass traditional hubs such as the Panama Canal.

Once fully operational, Chancay port is expected to rival other major Pacific gateways in the Americas, offering deep-water berths for the largest cargo vessels and integrated logistics parks for warehousing and distribution.

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