In my previous blog, I talked about China’s $585 billion stimulus plan and its earmark of $118 billion committed to building waterborne transport infrastructure, to expand existing ports and build new ones between 2009 and 2010.
At the same time, $90 billion of the stimulus is being pumped into China’s rail services, 70% of which will be used to build high-speed passenger lines, compared with $50 billion budget in 2008.
Railroad had been the major transportation for Chinese besides buses and bicycles about 20 years ago. Starting from mid 90s, with the increase of vehicles, both commercial and non-commercial, China started to invest in the construction of highways. The next wave was airport expansion and construction to meet the needs of Chinese’ business and leisure travels. Trains had lost its favor and become the least desired means of transportation, packed, dirty and slow.
Until recently China starts to embrace rail products again,
esp. high-speed trains and subways.
Only Beijing and Shanghai, and a very few other major cities as well, have developed subway
systems. By 2015 more than 250 cities in
China will have subways.
It is a very smart move for China to invest in rail system.
Railways and subways can help China reduce its consumption of oil and pollution caused by vehicles’ emission. Most of towns and villages in China are still isolated from the most active regions of China’s economy-the east coast. Railways, as well as waterborne transport, will help integrate the inland with the east coast, preparing for China’s further development of those less developed regions.
The plan for railway and subway, as well as waterborne transport, looks ambitious. However, I know Chinese government can make it happen, thanks to the fact that it is a centrally governed country. Such a massive infrastructure construction can only happen and happen fast in China.
