Thai Prime Minister Saitha and Thai Transport Minister Suriya have officially proposed a plan called the "Land Bridge" project, which is worth 1 trillion baht and aims to make Thailand an important transit hub for the world. The project envisages the construction of a deep-water terminal in Chumphon and Ranong provinces in southern Thailand, as well as the construction of 90 kilometers of roads and railways to connect the two terminals for land and sea transshipment. The goal of this project is to bypass the Strait of Malacca, shorten the sailing time by 4 days, and reduce the transportation cost by 15%.
However, the project faces four major pitfalls that require Chinese companies to be cautious when considering cooperation. First of all, the project is costly, and it can take longer to sail by land than through the Strait of Malacca. Second, inappropriate sites can have serious repercussions on local residents and the environment, and there may be a risk of public opposition. Third, the project faced 17 legal issues within Thailand, which needed to be revised and adjusted, otherwise the progress of the project would be delayed. Fourth, for cooperative enterprises, the technical difficulty is high, the operating cost may be higher than that of the Strait of Malacca, and the cost performance is lower.
In fact, Thailand has previously proposed a project called the "Isthmus", which is to build a "Kra Isthmus Canal" to connect the Gulf of Thailand in the east with the Andaman Sea in the west. Once the canal is opened, ships will be able to travel directly from the Indian Ocean to the Pacific Ocean in a shorter distance, saving about 1,200 kilometers of sailing distance and 2 to 5 days. Moreover, this project is more cost-effective than the "land bridge" project, and does not require a large number of people to ship goods back and forth, which is attractive.
However, once the "Isthmus" canal is opened, it will have an impact on the status of the Strait of Malacca, which is not conducive to the interests of the United States, Singapore and other countries. As a result, Thailand may have come under pressure and changed its plans instead. This is not good news for Thailand, as the Land Bridge project could be a difficult birth, and Thailand's plans to become a shipping hub are at risk of being shelved.
Thailand's proposed "land bridge" and "isthmus" projects are designed to bypass the Strait of Malacca, reduce dependence on U.S. military control, and improve its position in maritime transportation. However, both projects face significant challenges and uncertainties. Both the "land bridge" and the "isthmus" require huge financial and technical support, and they can be influenced by various interests at home and abroad and geopolitics.
In terms of choosing a partner, Thailand hopes that China will do the project, because China has rich experience and technical strength in infrastructure construction. However, for Chinese companies, it is necessary to carefully assess the feasibility and risks of the project to avoid falling into a situation of investment failure. At the same time, Chinese companies also need to pay attention to the cost and technical difficulty of the project to ensure returns and benefits.
Thailand's proposed "land bridge" and "isthmus" projects are both attempts to bypass the Strait of Malacca and improve its position in the international community. However, both projects face a number of challenges and uncertainties. When considering cooperation with China, a comprehensive assessment of the feasibility, cost-effectiveness and technical difficulty of the project is required. At the same time, Thailand should also fully consider the impact of domestic legal issues, popular opposition and geopolitical factors on the project. Only on the basis of careful assessment and rational planning can a mutually beneficial and win-win cooperative relationship be achieved.