Thailand, China officially launch train project

A model of the operations control centre is displayed at a

 ceremony held on Saturday to officially launch the

 Thai-Chinese train project at Chiang Rak Noi station in

 Bang Pa-in district of Ayutthaya.

(Photo By Chanat Katanyu)

AYUTTHAYA — Thailand and China on Saturday officially

 launched their joint railway project even though construction

 will not start until May next year at the earliest.

 The launch ceremony was a face-saving gesture intended to

live up to pledges by both countries that work would begin

 this year.

 

 However, a disagreement over shareholding and financing of

the venture has put it behind schedule.

Deputy Prime Minister Prajin Juntong and Chinese State

Councillor Wang Yong led the ceremony at Chiang Rak Noi

station in Bang Pa-in district of this central province as a symbol

 of their commitment to the 530- billion- baht scheme.

They promised no turning back on the project although negotiators

of the two countries remain apart on several issues including loan

conditions offered by Beijing.

 Chiang Rai Noi is slated to be used as an operations control

centre for the train to be jointly invested by the two countries.

 China also handed over some heavy equipment to Thailand

 at the event.

Thailand and China have agreed to build two medium-speed

lines on the 1.435-metre gauge from Nong Khai to Map Ta Phut

in Rayong via Kaeng Koi district in Saraburi and another route

 from Kaeng Koi to Bangkok.

Transport Minister Arkhom Termpittayapaisith said May 2016

 construction start date remained unchanged despite their

differences. The work is expected to take about four years.

 The two countries have still not settled on their respective stakes

 in the joint venture, the investment cost and the interest rate

 on a loan from China.

Beijing wants to charge 2.5% interest while Thailand wants a

 rate no higher than 2%. Mr Arkom repeated on Saturday that

China had promised the best it could offer to Thailand.

 Since becoming deputy prime minister in charge of economic

 policy, Somkid Jatusripitak has put the Finance Ministry

 in charge of negotiations with China, taking over from

 the Transport Ministry.


News, General,Bangkok Post, 19 December 2015.

 

Glad to hear the progress of the train project between

China and Thailand.

 

Hope all route and the condition make for optimization of

the benefit of people in the two country.

 

Sincerely Yours.