Thursday, August 13, 2009

China increases commitment to rail infrastructure

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China will invest more than $100 billion per year in rail construction on average during the next three years, an increase from a previously announced increase to roughly $88 billion this year, Vice Railway Minister Wang Zhiguo said in published remarks.

Wang also said the ministry would seek approval for 20,000 kilometers (12,400 miles) of additional rail construction, requiring a total investment of more than 2 trillion yuan, or roughly $280 billion, by the end of next year.

China has said it seeks to expand its rail network to promote economic growth and ease transport bottlenecks. It hopes to have upgraded or put in place 86,000 kilometers (53,320 miles) of rail by year’s end, expanding to 110,000 kilometers (68,200 miles) by 2012.