A railway across southern Mexico is nearing completion as part of the Corredor Interoceánico, a proposed overland trade route between the Pacific port of Salina Cruz and Coatzacoalcos on the Atlantic. The route spans about 200 kilometers and is intended to move container cargo between the two oceans without using the Panama Canal. A test shipment reportedly transported 900 Hyundai cars from South Korea to the Atlantic port within a day. Mexican authorities call the project a “dry canal” and say it could help address delays linked to congestion and drought at the Panama Canal.

Portugal has already agreed to use the route, and the project’s coordinators want to expand that arrangement to other European Union countries. Dutch trade organization evofenedex considers the railway a possible alternative for Dutch businesses, although its use will depend on price, reliability, capacity and the suitability of the ports. The federal government also plans 10 industrial parks along the route, while Salina Cruz’s mayor says additional investment in roads and other local infrastructure is needed for the project to reach its potential.