Thailand delays construction start for rail line to China

[webfact]

Thailand delays construction start for rail line to China
BY PAIRAT TEMPHAIROJANA AND AUKKARAPON NIYOMYAT

BANGKOK: -- Thailand has pushed back the start date for construction of a multi-billion dollar rail line to link Bangkok to southwest China after a disagreement over the cost of the project, the Thai transport minister said on Friday.

The project is part of China's plan for a network of links across Southeast Asia as its economic and political clout in the region grows. Eventually, rail lines should connect Kunming in southwest China with Singapore.

Thailand will begin the first phase of construction, a section that links Bangkok to the northeastern town of Nakhon Ratchasima, in August or September, Thai Transport Minister Arkhom Termpittayapaisith told reporters on Friday.

Full story: http://www.reuters.com/article/us-thailand-china-railway-idUSKCN0WR0ED

-- Reuters 2016-03-25

[leeneeds]

Not so rosy when the fine print has been read, translated and understood !

[clifric]

From the full Reuter's report

The first section is 250 kms (155 miles) long and will take around 2.5 years to build, he added. Thailand would likely hire Chinese construction firms and use Chinese technology, he said.

So transparency in the tendering process then?

[NextStationBangkok]

After seeing the Buffet etiquette of Chinese quality tourists arriving by flight, Thailand don't want First class tourists arriving by Train.

https://www.facebook.com/sharer/sharer.php?u=https%3A%2F%2Fwww.facebook.com%2Fshanghaiist%2Fvideos%2F10154294595056030%2F&display=popup&ref=plugin&src=video

China mainly make any agreement with another country to feed the hungry and angry Chinese people. They gobble everything basically.

Countries should keep themselves away from China for the own safety.

[khwaibah]

And those mega project are going down the crapper.

[jamesbrock]

The way the junta is throwing hundreds of billions around I find it hard to believe they said 'thanks, but no thanks' to China over a measly 20 billion baht disagreement over the cost of the project. More likely, and quite rightly, it was China's desire for rights to land along the rail line that was the deal breaker. Credit to the junta for that one.

[SOUTHERNSTAR]

The way the junta is throwing hundreds of billions around I find it hard to believe they said 'thanks, but no thanks' to China over a measly 20 billion baht disagreement over the cost of the project. More likely, and quite rightly, it was China's desire for rights to land along the rail line that was the deal breaker. Credit to the junta for that one.

The main reason was not mentioned in the article and that is the interest rate. The other factor is that although the extra cost is only B 20 bn these costs will add up over the total high speed project. But the country is still worse off, as there has been no negotiations on the transfer of technology. Thailand will have to buy Chinese crap for decades to come, instead of manufacturing it here. Questions thats unanswered are;Why are only the Chinese involved, if they dont give any finance why are the Japanese, French or Germans not asked to put proposals on the table? Why is the project rushed through, not even allowing enough time to do environmental impact studies?

[jamesbrock]

The way the junta is throwing hundreds of billions around I find it hard to believe they said 'thanks, but no thanks' to China over a measly 20 billion baht disagreement over the cost of the project. More likely, and quite rightly, it was China's desire for rights to land along the rail line that was the deal breaker. Credit to the junta for that one.

The main reason was not mentioned in the article and that is the interest rate. The other factor is that although the extra cost is only B 20 bn these costs will add up over the total high speed project. But the country is still worse off, as there has been no negotiations on the transfer of technology. Thailand will have to buy Chinese crap for decades to come, instead of manufacturing it here. Questions thats unanswered are;Why are only the Chinese involved, if they dont give any finance why are the Japanese, French or Germans not asked to put proposals on the table? Why is the project rushed through, not even allowing enough time to do environmental impact studies?

I agree that it appears the project is being rushed through, and also agree that the country has a lot of elementary problems that the money could/should address before a vanity-project such as this.

As for your unanswered questions - I'm assuming they're rhetorical?

[The Deerhunter]

But the Chinese want a freight line to go to a major Eastern Seaboard seaport don't they? And that BKK - Korat line broken to most of us yesterday for the first time is meant to be a bullet train for passengers, so I am still confused.

Some tiny voice keeps whispering "watch this space" in my ear. I am sure there will be a few more (confusing??????) news releases on this before it is all going ahead.

[leeneeds]

The way the junta is throwing hundreds of billions around I find it hard to believe they said 'thanks, but no thanks' to China over a measly 20 billion baht disagreement over the cost of the project. More likely, and quite rightly, it was China's desire for rights to land along the rail line that was the deal breaker. Credit to the junta for that one.

The main reason was not mentioned in the article and that is the interest rate. The other factor is that although the extra cost is only B 20 bn these costs will add up over the total high speed project. But the country is still worse off, as there has been no negotiations on the transfer of technology. Thailand will have to buy Chinese crap for decades to come, instead of manufacturing it here. Questions thats unanswered are;Why are only the Chinese involved, if they dont give any finance why are the Japanese, French or Germans not asked to put proposals on the table? Why is the project rushed through, not even allowing enough time to do environmental impact studies?

Only the Chinese control the water

[jaiyen]

Could somebody explain why does Thailand need a high speed Chinese train to transport what will mainly be cargo from China ? Isnt that the idea of the train link ? To get goods to a port ? Why not use strong reliable diesel trains meant for carrying heavy cargo ??

[daftdada]

Best news I've read today. Delay it permanently, please, for the betterment of all Thailand.

[elgordo38]

From the full Reuter's report

The first section is 250 kms (155 miles) long and will take around 2.5 years to build, he added. Thailand would likely hire Chinese construction firms and use Chinese technology, he said.

So transparency in the tendering process then?

Bahamas did the same thing hired Chinese workers to build a new resort there that is now in receivership. I wonder if they are sending their paychecks home like the North Korean workers are. Its China's new way of finding work for their nationals that will be redundant after all their money loosing industries are closed. As well as causing havoc for Westerns manufacturing by opening cheap labor factories in China they are now exporting their labor to take what few good jobs are left anywhere. Big business is of course welcoming them with open arms.

[ross163103]

One word comes to mind, Tibet. Better the Thai government checks up on this. A train line was built into Tibet and the Tibetans are slowly being pushed out by the Chinese.

Saying that though: I went through Swampy the other day and it was madness, in 25+ years I've never seen it so crowded! Maybe if a train line is built it'll ease up on the Chinese congestion at the airport.

[trainman34014]

Time these delirious dreams came to an end but 'saving face' is far more important than hard facts and truth eh ?

[Srikcir]

Thailand has pushed back the start date

In December 2015 both countries held a ground breaking ceremony in Ayutthaya to herald the start of the construction now to start in August or September.

Yet, after almost two years and ten meetings financing and total costs still haven’t been agreed upon. China has not even submitted a feasibility study on both phases of the project.

If the Thai government wasn’t so seemingly desperate to take credit for this project for the sake of publicity, it should have delayed the project until costs and financing had been agreed upon.

Ironically, Thailand’s delay probably forced China into an untenable negotiating position as its own economy began to contract in mid-2015. Now China is less likely to make any concessions to Thailand that would only further economic risk.

Prayut is lucky the Chinese don’t just walk away. The Chinese Communist Party might decide that its own reputation is more important than the Junta’s.

[Basil B]

But the Chinese want a freight line to go to a major Eastern Seaboard seaport don't they? And that BKK - Korat line broken to most of us yesterday for the first time is meant to be a bullet train for passengers, so I am still confused.

Some tiny voice keeps whispering "watch this space" in my ear. I am sure there will be a few more (confusing??????) news releases on this before it is all going ahead.

I think they are more interest in access to a western seaports, Malaysia and Indonesia, as a conduit for exporting all their crappy fake rip-off's.

[Hawk]

All the Thai people I know are weary of this government, totally bored with its lies and b/s. This government is screwing the country, and the only truthful news comes from abroad these days.

[TheCruncher]

I thought that I read on here several months ago one of the clowns, or was it the same one, announcing that they were ahead of schedule building this particular railway.

Today they haven't even started, and delayed the actual start a bit more, but not indefinitely YET.

[Trouble]

Maybe one of the reasons Thailand has rejected Chinese financing is because there is more opportunity for graft if they do it themselves.

[waldroj]

Merely delaying the inevitable!

[kjame]

Here's a probable scenario at play regarding the delay. Skip down to the section entitled "What’s the US Using ISIS and other Terror Groups in Asia for and Why?" for some specifics, but I recommend reading the entire article for a balanced assessment.

http://journal-neo.org/2016/01/16/isis-us-saudi-plague-reaches-indonesia/

[exalll]

One word comes to mind, Tibet. Better the Thai government checks up on this. A train line was built into Tibet and the Tibetans are slowly being pushed out by the Chinese.

Saying that though: I went through Swampy the other day and it was madness, in 25+ years I've never seen it so crowded! Maybe if a train line is built it'll ease up on the Chinese congestion at the airport.

Yes, Swampy 15-20 years ago was much quieter

[Langsuan Man]

Wasn't there a announcement just a couple of days ago about the high speed rail line that it would start as scheduled now that Thailand had decided to pay for the whole project with local funds and not borrow the money from China

They change their minds about this project more often than the girls on Soi 6 change their underwear

http://www.thaivisa.com/forum/topic/905427-pm-prayut-reveals-high-speed-rail-link-to-be-funded-by-thai-government-alone/?hl=%2Bhigh+%2Bspeed+%2Brail

[Utley]

Hmmm...............those despicable Americans are looking better all the time.

[Gonsalviz]

The politicians have to have time to buy up all the required land so they can sell it to the government for exorbitant prices.

[Ricardo]

The politicians have to have time to buy up all the required land so they can sell it to the government for exorbitant prices.

Don't you think the past 15-20 years have been sufficient time to do this ?