Why China’s bid to sell high-speed rail technology overseas is losing steam
Construction of high-speed railways abroad is part of Beijing’s massive “One Belt, One Road” initiative to increase trade and infrastructure links with countries from Asia to Africa, but most of the current rail projects have stalled
China’s ambitious strategy to export its high-speed railway technology is facing various obstacles, making its aim of boosting connectivity with nations across continents difficult to achieve, industry insiders said.
Construction of high-speed railways abroad is part of Beijing’s massive “One Belt, One Road” initiative to increase trade and infrastructure links with countries from Asia to Africa, but most of the current rail projects have stalled.
“There is no case of China exporting high-speed rail that can be described as very successful. The situation is very undesirable,” said Dou Xin, a spokeswoman for CRRC Qingdao Sifang.
Sifang is one of China’s biggest locomotive and rolling stock manufacturers had planned to build a bullet train for a high-speed rail project in Mexico. The plan was aborted after Mexico cancelled the 210-km rail link in 2015 in budget cuts.
“The biggest obstacle for countries that have signed deals with China is the lack of financial strength. High-speed railways and bullet trains are unimaginable expensive,” said Dou.