In the bustling city of Kunming, the capital of southwest China’s Yunnan Province, a train loaded with fresh Thai fruits—durian, rambutan, and mangoes—glides out of the station, heading toward the heart of the Chinese market. This journey represents more than just the movement of goods; it symbolizes the transformative impact of the China-Laos Railway on regional connectivity and economic growth.
The 1,035-kilometer China-Laos Railway, linking Kunming with Vientiane, the capital of Laos, has been operational since December 3, 2021. Turning Laos into a land-linked hub within the Indochina Peninsula, the railway is reshaping the region’s economic landscape and fostering closer ties between neighboring nations.
As of December 2, 2024, the railway has handled over 43 million passenger trips and transported 48.3 million tonnes of cargo, according to the China State Railway Group Co., Ltd. Recognized as a landmark project of high-quality Belt and Road cooperation, it not only boosts trade but also enhances people-to-people exchanges.
A Catalyst for Regional Trade
By connecting China with Laos, Thailand, and other ASEAN countries, the railway serves as a vital bridge for regional trade. Fresh Thai fruits, a major export, now reach the Chinese market faster and at a lower cost. Previously, transporting these products by road took several days; the railway cuts the journey by a full day and reduces costs by over 20 percent, according to the Laos-China Railway Co., Ltd.
In the past three years, the China-Laos Railway has facilitated over 15,000 international cargo trips, transporting more than 10.6 million tonnes of cross-border cargo valued at over 44 billion yuan (approximately $6 billion), based on the latest customs data. The highest monthly cross-border freight volume exceeded 510,000 tonnes, a 12.6-fold increase compared to the first month of operation in 2021.
Empowering Local Communities
The railway is also a significant source of employment and development for Laos. Data from the Laos-China Railway Co., Ltd indicates that by the end of 2026, Lao employees will comprise 80 percent of the staff at the Vientiane Transportation Management Center. The railway has created over 100,000 job opportunities for local residents, contributing to economic growth and skill development.
Fostering Cultural Exchanges
Beyond trade and employment, the China-Laos Railway is enhancing cultural connections and tourism. Since November, China has expanded its unilateral visa-free policy to include ordinary passport holders from nine additional countries, bringing the total to 38. This policy change, combined with the convenience of rail travel, has boosted tourism and facilitated easier movement for international visitors.
In the first three quarters of this year, the railway recorded 177,000 inbound and outbound passenger trips, an increase of 175.6 percent, according to customs authorities in Kunming. Passengers from 101 countries and regions have utilized the railway, highlighting its growing role in international travel.
The China-Laos Railway stands as a symbol of regional cooperation and shared prosperity, opening new avenues for economic growth, cultural exchange, and stronger ties across Asia.
Reference(s):
China-Laos Railway: A catalyst for economic growth, cultural exchange
cgtn.com
