20-01-2022, 10:10 PM
https://tfiglobalnews.com/2022/01/16/aft...-to-china/
In December last year, China had succeeded in operationalising the China-Laos high-speed railway line. It seemed that China may be able to construct the pan-Asian high-speed rail. However, the big Belt and Road Initiative (BRI) project needs Thailand’s assistance as only Thailand can help the Chinese rail line reach Malaysia and Singapore.
However, Bangkok doesn’t seem too keen on the project. China has been pushing the Thailand government for a 608 km rail link connecting Bangkok with Nong Khai province in the country. Originally, China wanted to build a rail line that would carry passengers and cargoes at a maximum speed of 180 kph. Beijing even got Bangkok to sign an agreement in 2015. The project was expected to connect Thailand and Laos and form an integral part of the BRI.
However, by the time construction began in 2017, Thailand had changed its mind. The Southeast Asian nation got upset by the unfair loan conditions set by the Chinese government. Beijing also demanded that Chinese materials and workers be used for the project. So, Thai soil was to be used for benefitting the Chinese government, Chinese businesses, and Chinese workers. Naturally, Thailand didn’t like it.
Finally, Thailand cut the project by about 60%. It announced a new project- a 253 km rail line connecting Bangkok with Nakhon Ratchasima Province. It was also redesigned to carry only passengers at a speed of 250 kph. The joint Chinese-Thai venture was scrapped, and Bangkok said that it would bear the entire construction cost of $5 billion. China’s role has been limited to providing designs and systems for the rail project.
Project moving at snail’s pace
Over the last four years, only 4% of the work has been completed on the Bangkok-Nakhon Ratchasima section. Thailand considers the Bangkok-Nakhon Ratchasima section to be the first phase of the high-speed rail project and says that it will consider a plan to extend the rail line to Nong Khai in the second phase of the project.
However, for the second phase to start, the first phase has to be completed. And frankly speaking, the project doesn’t seem to be going anywhere. Besides, Thailand has not worked out the specifics of the second phase of the project including its funding till now.
In any case, Thailand does not need a rail link between Bangkok and Nong Khai. Rail transport is not very popular in Thailand and accounts for only 20% of passenger traffic and 2% of cargo transport.
Demand for rail services to Nong Khai is unlikely to grow significantly as budget airlines already fly there from Bangkok and Southern China. Initially, Thailand thought that a high-speed rail line connecting Bangkok with Nakhon Ratchasima will help it reduce the burden on its North-eastern Line that plies between Bangkok and Nong Khai. But now, Thailand is dragging its feet. It realises that it doesn’t even need high-speed rail and China is the only one benefitting out of it.
Therefore, Thailand has given a second successive jolt to China. This effectively means that China wouldn’t be able to achieve the ultimate purpose of its overhyped Belt and Road Initiative (BRI).
In December last year, China had succeeded in operationalising the China-Laos high-speed railway line. It seemed that China may be able to construct the pan-Asian high-speed rail. However, the big Belt and Road Initiative (BRI) project needs Thailand’s assistance as only Thailand can help the Chinese rail line reach Malaysia and Singapore.
However, Bangkok doesn’t seem too keen on the project. China has been pushing the Thailand government for a 608 km rail link connecting Bangkok with Nong Khai province in the country. Originally, China wanted to build a rail line that would carry passengers and cargoes at a maximum speed of 180 kph. Beijing even got Bangkok to sign an agreement in 2015. The project was expected to connect Thailand and Laos and form an integral part of the BRI.
However, by the time construction began in 2017, Thailand had changed its mind. The Southeast Asian nation got upset by the unfair loan conditions set by the Chinese government. Beijing also demanded that Chinese materials and workers be used for the project. So, Thai soil was to be used for benefitting the Chinese government, Chinese businesses, and Chinese workers. Naturally, Thailand didn’t like it.
Finally, Thailand cut the project by about 60%. It announced a new project- a 253 km rail line connecting Bangkok with Nakhon Ratchasima Province. It was also redesigned to carry only passengers at a speed of 250 kph. The joint Chinese-Thai venture was scrapped, and Bangkok said that it would bear the entire construction cost of $5 billion. China’s role has been limited to providing designs and systems for the rail project.
Project moving at snail’s pace
Over the last four years, only 4% of the work has been completed on the Bangkok-Nakhon Ratchasima section. Thailand considers the Bangkok-Nakhon Ratchasima section to be the first phase of the high-speed rail project and says that it will consider a plan to extend the rail line to Nong Khai in the second phase of the project.
However, for the second phase to start, the first phase has to be completed. And frankly speaking, the project doesn’t seem to be going anywhere. Besides, Thailand has not worked out the specifics of the second phase of the project including its funding till now.
In any case, Thailand does not need a rail link between Bangkok and Nong Khai. Rail transport is not very popular in Thailand and accounts for only 20% of passenger traffic and 2% of cargo transport.
Demand for rail services to Nong Khai is unlikely to grow significantly as budget airlines already fly there from Bangkok and Southern China. Initially, Thailand thought that a high-speed rail line connecting Bangkok with Nakhon Ratchasima will help it reduce the burden on its North-eastern Line that plies between Bangkok and Nong Khai. But now, Thailand is dragging its feet. It realises that it doesn’t even need high-speed rail and China is the only one benefitting out of it.
Therefore, Thailand has given a second successive jolt to China. This effectively means that China wouldn’t be able to achieve the ultimate purpose of its overhyped Belt and Road Initiative (BRI).
