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China and Nicaragua’s Floundering Canal – Fortune

Source: China and Nicaragua’s Floundering Canal – Fortune

Another Chinese partnership that may be less—and more—than it appears.

The expansion of the Panama Canal has overcome labor disputes, legal battles, and technical hurdles, and is now on the verge of completion. Infrastructure projects of such massive scale almost inevitably face big delays and cost overruns—but backers have a way of finding the money and resolve to finish what they’ve started.

That may not apply, though, to a project that aims to build a $50 billion, 172.7-mile canal across Nicaragua—almost four times longer than Panama’s. The passage is intended to compete for inter-ocean traffic by servicing ships too big to pass through even Panama’s expanded canal, and would be one of the largest infrastructure projects in human history.


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