by Ron Bernthal
In early December, 2021, Chinese President Xi Jinping and his Lao counterpart, Thongloun Sisoulith, attended a virtual ceremony to mark the maiden voyages on the newly completed, high-speed Laos-China Railway Company line, which stretches from southwest China’s Yunnan Province city of Kunming to the Laotian capital of Vientiane. When the sleek red, blue and white bullet train departed from the new Vientiane station it signaled the opening of Laos’ $6-$8 billion Chinese-built railway.
The 620-mile route took five years to construct under China’s trillion-dollar Belt and Road Initiative. Laos, a country of 7.2 million people, previously had only 2.4 miles of railway tracks. China holds a 70% stake in the joint rail venture which was established in 2015. Total investment was approximately US$7.93 billion, according to an article by China’s Belt and Road Portal earlier this year, while other sources put the value at US$5.98 billion.
Laos President Thongloun Sisoulith said that the new railway line began “a new era of modern infrastructure development” for his country. “”I am proud that the dreams of Lao people have come true,” he said at the opening ceremony in December 2021. Presently, the railway is connecting the Chinese city of Kunming to the Laotian capital Vientiane, but future plans include expanding the high-speed rail line to eventually snake down through Thailand and Malaysia to Singapore.
In Vientiane a train is ready on the station during the handover ceremony of the high speed rail project linking the Chinese southwestern city of Kunming with Vientiane, in Laos (photo Reuters/Phoonsab Thevongsa)
Analysts have acknowledged a potential economic boost for both southern China and Laos, but noted that it may be difficult for Laos to re-pay its $1.54 billion debt liability to China, and whether it is ready to handle manage and operate the state-of-the-art transport system. The .Laos’ segment of the railway will be operated by the Laos-China Railway Co., a joint venture between China Railway group and two other Chinese government-owned companies, which collectively hold a 70% stake in the rail project. A Lao state company holds the remaining 30%.
On the opening day of the railway line dozens of dignitaries in Vientiane boarded a red train for the for the trip from Laos to China, while at the same time a green train left Kunming station for the maiden journey to Vientiane.
This frame grab from Lao National TV video footage shows Lao President Thongloun Sisoulith (top left) and Chinese President Xi Jinping waving as they watch trains (Photo: Various sources AFP)
Chinese President Xi Jinping and Lao President Thongloun Sisoulith, were online in a virtual ceremony as they extended their congratulations to a large Asian online audience, saying the railway would “bring benefits for people of the two countries.” The railway line project could be an economic “game changer”, according to Bangkok Bank chief economist Burin Adulwattana. “”I don’t look at it as China trying to bankrupt Laos, it is not a Trojan Horse strategy. I think it’s going to be a win-win situation for everyone,” he said. For Laos, the new railway has the potential to cut freight costs, boost exports and encourage future tourism to one of Asia’s poorest nations. A Buddhist ceremony was held to bless the new railway, with Lao Prime Minister Phankham Viphavanh banging a gong nine times to bring good luck.
A sign on a train is pictured during a Buddhist ceremony one day prior to the handover ceremony of the high speed rail project linking the Chinese city of Kunming with Vientiane in Vientiane (Reuters/Phoonsab Thevongsa)
Four daily passenger trains will speed along the new line at up to 100 mph, passing through 75 tunnels and across 167 bridges, with stops at 10 new passenger stations along the way. Fourteen freight trains will operate daily, and use the new tracks, stopping at 22 freight stations, but travelling at somewhat slower speeds for safety purposes. Passengers must be fully vaccinated against Covid before purchasing tickets. The new high-speed passenger trains will cut travel time from Vientiane to the Chinese border, which currently takes some about 15 hours by road, to just four hours.
One of the 167 bridges that was built along the new Kunming-Vientiane rail route.
Nanping Pedestrian Street in Kunming has a rich history as one of the oldest commercial streets in the city and remains the commercial and entertainment center of Kunming. (photo; https://www.chinakunming.travel/en)
Vientiane, Laos is full of cultural attractions and natural wonders: temples that reflect the past 500 years of Buddhist architecture, massive stone jars that defy easy explanation, and a host of eco-friendly options. (photo: www.laostours.us)
