China’s High-Speed Rail System is a primary mode of inter-country travel.
SUMMARY
In an interview on June 24, Thailand Minister of Transport Arkhom Termpittayapaisith announced that Thailand would be seeking $5.5 billion-dollar bids for a high-speed rail project by end of 2018. The winning bidder would build the 157-mile route connecting central and northeastern Thailand with their neighbor to the east, Laos. It is the first project of a what will ultimately be a 220-mile track from Bangkok, Thailand, to Nong Khai, a city just inside Thailand’s border near Laos. Thailand is not expected rely solely on Chinese funds and is seeking out private investment on construction and operations. This project falls under the bigger China’s One Belt One Road Initiative (BRI), a program that aims to promote development between Eurasian countries, Africa, South & Southeast Asia. Over the last 4 years, Thailand’s military government has placed an emphasis on infrastructure projects in an effort to reduce transport costs and encourage trade.
FAO GLOBAL ASSESSMENT
As Thailand continues to upgrade its public transportation system, there will be a variety of investing opportunities for both domestic and foreign construction firms. American infrastructure and energy enterprises interested in investing in Thailand should consider cooperating with Thai companies like energy giant PTT Public Company Limited, urban railway operator BTS Group Holdings, and construction company CH. Karnchang Public Company Limited in-order-to avoid potential government red tape.
Related Links
- Belt and Road Portal- 中泰铁路建设将全面启动
- Bloomberg- Bids Sought for $5.5 Billion Thailand to China High-Speed Rail
- China Daily- Belt, Road enhances regional benefit of Beijing-Bangkok ties
- Reuters- Thailand Eyes Private Investors’ Help for $40 Billion Rail Upgrade
- Railway Technology- Thailand seeks bids for $40bn rail network upgrade
About the Author
Weiting Li – International Policy Associate
Weiting Li is an international policy intern at FAO Global, where she focuses on international trade, technology, and environmental policies. Weiting is currently a second year graduate student pursuing dual master’s degrees in public policy at Georgetown University and Business Administration at University of Geneva. Prior to Georgetown, she was the assistant for government relations and working groups at European Chamber of Commerce in China. She graduated from Gettysburg College with a major in Sociology and a minor in Business.
