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Development along China-Laos Railway gains momentum

December 12, 2024


Abstract : Since its launch on December 3, 2021, the China-Laos Railway has emerged as a catalyst for regional economic growth. According to the China State Railway Group Co., Ltd., the railway had handled over 43 million passenger trips and transported 48.3 million tonnes of cargo as of December 2, 2024.

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In this aerial drone photo, a fully loaded train operated independently by a Lao train driver leaves for Kunming, southwest China's Yunnan Province, from Vientiane Station in Vientiane, Laos, Aug. 5, 2024. (Photo by Yang Yongquan/Xinhua)

BEIJING, Dec. 12 (Xinhua) -- Since its launch on December 3, 2021, the China-Laos Railway has emerged as a catalyst for regional economic growth. According to the China State Railway Group Co., Ltd., the railway had handled over 43 million passenger trips and transported 48.3 million tonnes of cargo as of December 2, 2024.

Southwest China's Yunnan Province has seized the opportunity presented by the China-Laos Railway over the past three years, focusing on enhancing corridor capacity, building logistics hubs, developing industries along the route, and nurturing business entities for open development.

-- Facilitated trade

Tonghai County in Yuxi City is a major vegetable production base in Yunnan Province. Tonghai now has 8,497 agricultural business entities, 37 of which are engaged in vegetable import and export. Since the railway's operation, local vegetable export enterprises have further expanded business footprint, increasing their domestic and international reach, said Wang Huaming, deputy head of the county.

At present, 70 percent of the county's vegetable products are sold to over 130 major cities in China, and 30 percent of these products are exported to Southeast Asia and the Middle East.

Yukun Iron and Steel Group Co., Ltd. is a large integrated steel enterprise located in Huanian Town, Eshan County, Yuxi City. Currently, a railway line connecting the company's steel mill and the Huanian Station on the China-Laos Railway is under construction. The railway line can directly transport the iron ore imported from Laos to the factory, and the steel products produced by the company can also be directly transported to South Asia and Southeast Asia, said Chen Pijin, deputy general manager of the company.

With the successful operation of several international freight trains, such as the "Lancang-Mekong Chengdu-Chongqing-Europe Express" and "Shanghai-Kunming Lancang-Mekong Express", the China-Laos Railway has significantly expanded the transport network which now covers 19 countries and regions.

-- Upgraded industries 

To optimize industrial development along the railway, Yunnan Province has issued a guideline for industrial layout along the China-Laos Railway, creating a complementary industrial development pattern along the railway within China.

At the Wild Duck Pond Valley Coffee Estate, many tourists come for a fresh experience. "There's a growing trend among consumers to taste coffee at its origin, and the China-Laos Railway has made it quite accessible," said the estate manager.

Pu'er City is continuously expanding the influence and recognition of its "Pu'er Coffee" brand by developing coffee estates that offer sightseeing, picking, processing, and tasting service. Over 20 boutique coffee estates have been established across the city.

Xishuangbanna Prefecture is working on key industries such as cultural tourism, healthcare, rubber, Pu'er Tea, and biomedicine. In 2023, the prefecture achieved a comprehensive output value (including import and export via port) of 260 billion yuan. In the first half of this year, it recorded a comprehensive output value of 140 billion yuan and a remarkable industrial investment growth rate of 118.8 percent.

-- Accelerated globalization 

Mohan Town, located in Mengla County, Xishuangbanna Prefecture, at the southernmost tip of Yunnan Province, is a national-level land port to Laos. 

The Mohan Nanpo International Industrial Demonstration Park opened on December 3, 2024. As the first company to settle in the park, Sanlian Garment Co., Ltd. plans to build a digital, intelligent, and modern garment manufacturing base with 72 production lines and an estimated annual output value of 1 billion yuan upon the project's completion, according to Jiang Gaoyun, the company's production director.

Kunming has introduced new models to attract industries from the central and eastern China to relocate to Mohan. Kunming has signed a cooperation agreement with China Railway, which has participated in 24 projects in Mohan, with contract amount reaching around 4 billion yuan.

Statistics showed that in 2023, the fixed asset investment in the China-Laos Mohan-Boten Border Economic Cooperation Zone rose by 370 percent year on year.

(Edited by Yang Linlin with Xinhua Silk Road, linlinyanglyn@163.com)

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Keyword: China-Laos Railway B&R Weekly China's Yunnan

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