China Plans a Massive Rail Expansion Worth $504 Billion

World - Pavan Pandey - Dec 30,2016

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china plans a massive rail expansion worth 504 billion dollars

According to a white paper, titled as Development of China’s Transport, the Chinese govt. plans to enlarge the nation’s high-speed rail network to 18,600 miles by 2020.

Chinese government turns to investment in infrastructure to boost development and improve connectivity across the nation. The latest plan is a part of public infrastructure spending targeted at shoring up economic growth. According to details revealed at a State Council information office briefing in Beijing, the high-speed rail network will span more than 18,600 miles (30,000 kilometers) under this new proposal.

The Vice Transport Minister, Yang Yudong, said the new expansion of rail network would connect more than 80 percent of county’s major towns. Yudong also stated that the country plans to invest $504 billion (3.5 trillion yuan) in railway construction during the five year plan period (2016-2020). All these details were offered by Yudong while he was speaking at a conference to introduce plans for improving China’s transportation services.

Mr. Yang further added that the Chinese government will invite private investment to participate in funding regional rail line and inter-city lines.

Earlier this year, China turned to a private corporation for the first time to operate an inter-city rail facility on the mainland, part of President Mr. Xi Jinping’s push to renovate the county’s transport network during the slowing growth in the world’s second-largest economy. The latest plan calls for the makeover of superhighways and faster construction of railways to serve less-developed states in central and western China.

A state media reported that the line spans 1400 miles (2,522 kilometers) across five provinces, cutting the travel time to 11 hrs from 35 hrs.

According to a white paper issued by the People's Republic of China government, at the end of the year 2015, East Asia’s populous nation had 121,000 kilometers of the railway network; it also includes 19,000 kilometers of high-speed tracks.

When China was founded in 1949, total railway distance was only 21,800 km, 50 percent of which was paralyzed.