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On December 2, 2021, the China-Laos Railway was successfully put into operation. The China-Laos Railway is a concrete embodiment of promoting the building of a community with a shared future for mankind, bringing benefits to China, Laos, and other neighboring countries. It has transformed Laos from a "land-locked country" to a "land-linked country" and a regional transportation hub, which is conducive to creating jobs, attracting investment, promoting **, and promoting the overall social and economic progress of the country. At the same time, the railway has promoted regional connectivity, injecting vitality and opportunities into the development of other Southeast Asian countries.
The pandemic has had a significant impact on the economy, social activities and other aspects of Laos and other countries around the world. However, against such an unfavorable background, on December 2, 2021, on the occasion of the 46th anniversary of the National Day of the Lao People's Democratic Republic, the China-Laos Railway was successfully put into operation as scheduled.
The China-Laos Railway is more than 1,000 kilometers long, connecting Kunming with Vientiane, the capital of Laos. The project further strengthens and deepens the relationship between the two countries and is an important strategic link between the two countries, turning Laos, a "land-locked country", into a "land-linked country". It is also linked to the Belt and Road Initiative (BRI) and is part of the China-Laos Economic Corridor, which is being phased out.
China and Laos are well aware of the importance of this railway, so the two sides reached a consensus to jointly undertake the construction of the China-Laos railway project. In order to ensure the efficient implementation of the project, the two sides jointly established the China-Laos Railway, in which Laos** owns 30% of the shares, and China** owns 70% of the shares.
According to the economic and technical feasibility study, the internal rate of return of the China-Laos railway is about 63%。It is important to note that while its direct rate of return may not be high compared to a typical business investment project, it is "up to par" compared to other large infrastructure investment projects.
Xinhua.
The project has brought direct and indirect benefits not only to China and Laos, but also to neighboring countries.
The China-Laos Railway is a major infrastructure investment with great potential to boost the growth and development of various sectors and businesses, thereby increasing the speed and quality of economic growth in Laos. It can help Laos become a regional transportation hub, improve the efficiency of incoming and outgoing movements, increase cargo throughput, control risks, reduce transportation and logistics costs, ease highway congestion, reduce fuel imports, curb pollution, and provide more options for operators and passengers. In addition, abandoned land can be used efficiently and produce positive outcomes, especially in promoting community development within the corridor and near the train station.
One of the important goals of the China-Laos Railway Project is to create more jobs through the construction and operation of the railway. Through this project, the Lao people are gradually gaining skills and expertise in the field of construction and management, which will help Laos attract more investment and promote growth. Clearly, Laos has the potential to attract more tourists from neighboring countries and from all over the world. There are also some potential revenues** in the field of logistics services, including but not limited to warehouse rental, cargo transportation, insurance, duties, taxes, fees and administrative income.
According to the report of the China-Laos Railway Company, passenger and freight traffic is experiencing significant growth, and "China Responsibility" has become a catalyst for economic vitality. From December 2021 to April 2022, the China-Laos Railway has carried a total of 14.43 million passengers. As of May 2022, the total volume of goods transported has exceeded 20 million tons. Among them, cross-border freight volume exceeded 4 million tons, with a value of 17.7 billion yuan (US$2.5 billion). In the first quarter of 2023, the import and export freight volume of the China-Laos Railway increased significantly by 274 year-on-year4%。
Xinhua.
The railway plays an important role in promoting the economic development of Laos. China's railway authorities are currently prioritizing the growing demand for freight transportation along the Laos-China railway. In order to solve this problem, they are increasing the capacity of their vehicles and actively exploring the integration of the China-Laos Railway with the China-Europe Railway and the trains of the new western land-sea corridor to increase the scale of freight trains. These initiatives are aimed at promoting the continued growth of freight transportation along the China-Laos Railway.
The China-Laos Railway has brought tangible opportunities and benefits to enterprises and individuals along the line. It has significantly promoted regional connectivity and mutual benefit, and injected strong impetus into the economic and social development of Laos, ASEAN and China.
In addition, the railway is also a symbol of prosperity, happiness and friendship, demonstrating the strong vitality and influence of the Belt and Road Initiative, and a concrete embodiment of promoting the building of a community with a shared future for mankind.
The China-Laos Railway will reduce transportation and logistics costs, thereby helping Laos become an important regional transportation center and logistics hub. In addition, the project will also promote the development of human capital and make a positive contribution to the broader socio-economic progress of Laos, thereby raising its overall level of development and improving Laos' image on the international stage.
China**.
This article was originally written as:"meaningful connection"
Editor-in-charge |Wang Zhe.
Edit |Zhang Zhao.
Xi Feng Xiaoyuan also contributed.