BANGKOK, Sept. 20 (Xinhua) -- The opening of the Pinglu Canal will not only significantly reduce logistics costs, but also provide a powerful boost to the flourishing trade and economic ties between China and ASEAN, Wichai Kinchong Choi, business development proficient at Kasikorn Bank, told Xinhua in a recent interview.
The Pinglu Canal, officially opened to navigation on Wednesday, links the Xijiang River shipping route with the Beibu Gulf, acting as a vital link connecting China's inland waterways with the sea.
China is Thailand's largest trading partner, Wichai said, noting that for years, the logistics industry has underpinned the prosperity of ASEAN-China cross-border trade. In addition to traditional road transport, the China-Laos Railway and the Lancang-Mekong shipping route have played pivotal roles in regional connectivity, he said.
"The opening of the Pinglu Canal -- a key component of China's Belt and Road Initiative -- will undoubtedly drive the upgrading of regional logistics and transportation," Wichai stressed.
According to official specifications, as the backbone project of the New Western Land-Sea Corridor, the Pinglu Canal is China's first national-level river-sea navigation waterway built since 1949. Spanning 134.2 km and designed for vessels up to 5,000 tonnes, the canal cuts the inland shipping distance to the sea for southwest-China-bound cargo by more than 560 km and reduces comprehensive logistics costs by 18-30 percent.
"Integrating the Pinglu Canal with the regional transport network will not only enhance logistics efficiency and lower costs but also spur economic development in the surrounding areas ... the canal will unlock new export shipping opportunities, foster mutually beneficial outcomes, and further strengthen the close economic and trade relations between China and ASEAN," said Wichai.
The project has overcome a total water level drop of 65 meters along the route via three major cascade hubs. Since construction commenced on Aug. 28, 2022, more than 20,000 builders have pushed forward intensive construction, achieving multiple breakthroughs in engineering technologies and construction progress.
Wichai said the canal represents a revolution in the regional shipping landscape. Its opening will help expand business opportunities in the region, promote the improvement of the China-ASEAN regional industrial chain, form a closer regional logistics network, and strengthen connectivity between western China and the ASEAN market.
Looking ahead, Wichai said, there is significant room for cooperation and exchanges between China and ASEAN in port construction and upgrading, including improving port management through artificial intelligence and digitalization, laying a more solid foundation for expanding import and export businesses in the region.
"The opening of the Pinglu Canal is not merely a one-way transportation channel benefiting only one country, but a friendly channel bringing broad benefits to cross-border trade between China and ASEAN countries, and will undoubtedly meet the rapidly growing demand for import and export goods in the region in the future," Wichai emphasized. ■