The Laos-China Railway Project is likely to bring such benefits to the Lao PDR as strong economic infrastructure, the achievement of cooperation and connectivity strategies, increased foreign investment, and reduced production costs, a recently released report prepared by Lao Ministry of Public Works and Transports said.

The Laos-China Railway Project will ensure that the Lao PDR has strong economic infrastructure that meets its vision of transforming from a landlocked to a land-linked country and help Laos achieve the external cooperation and connectivity strategies that it has envisioned having with other ASEAN member countries and China, Lao state-run news agency KPL Wednesday quoted the report as saying.

The railway project will become an important tool for attracting foreign investment thus resulting in increased capital, the availability of modern technology, and competent human resources in Laos. It will also help promote cooperation in trade, people to people visits, tourism, reduce production costs, and create jobs.

The project will also help boost sustainable development in the country.

The groundbreaking ceremony of the five-year Laos-China Railway Project took place in December 2015. The railway will have a total length of 427.2 km, stretching from the Laos-China border to Lao capital Vientiane. The designed speed for the passenger trains is 160 km/h, while the speed of 200 km/h will be applied in flat terrain areas between Vang Vieng and Vientiane Capital.