Chinese Railway Companies To Invest Further in Overseas Projects
China railways International Co., a subsidiary of China Railway Corp. Group and consortium of Indonesian state owned enterprises will start the construction of the $5.5 billion high speed railway line from Jakarta to Bandung. The construction of the first high speed railway in Indonesia is waiting for approval of the detailed engineering design and environmental impact analysis. While China Railway Corp. will speed up the pace of building both the high speed and regular railways in countries including Indonesia, Malaysia, Russia and United States to compete with its nearest rivals Germany, France and Japan.
The general manager of China Railway Sheng Guangzu, said that the company is deploying more resources and manpower in the construction of big ticket international projects such as the Chi-Laos railway, the Hungary-Serbia railway, the China-Thailand railway and a light railway project in Pakistan. As the company quicken its pace of promoting its railway standards abroad, cooperation of trans-shipment rail cargo and multi model transportation services that will develop international logistics market especially one found near the Belt and Road Initiative.
Proposed by China in 013, the Belt and Road Initiative is a trade and infrastructure network which includes the Silk Road Economic Belt and the 21st Century Maritime Silk Road wherein the planned network will connect Asia, Europe and Africa while passing through 60 countries and regions. Countries fond on this trade route especially in Southeast Asia, Central Asia, Middle East and East Europe are planning to construct high speed rail lines or upgrade the existing railway system. Because of lower costs, these countries are eager in acquiring infrastructure construction and technological support coming from China for its daily operation, training, maintenance and other related services. Furthermore China is planning talks with 0 countries on several potential high speed railway projects.
China Railway Corp. and China Railway Rolling Stock Corp. the biggest train maker is preparing to construct infrastructure facilities and export bullet trains for high speed rail projects in Russia that will connect Moscow to Kazan. The line’s length is said to be around 770 kilometers and runs though seven Russian regions with a total population of 25 million. In addition, the high speed railway project between Las Vegas and Los Angeles will be constructed by a joint venture formed by a Chinese rail companies and Xpress West Enterprises a US passenger rail service provider.