China to Construct New Canal... First Canal Since the Founding of New China

13 Trillion Won Invested for Economic Stimulus, 140km Canal Construction
Connecting Waterways from Zhuang Autonomous Region to Beibu Gulf Economic Zone... Targeting the South China Sea Economic Sphere

[Asia Economy Beijing=Special Correspondent Jo Young-shin] China is digging a new canal. This is the first time China has constructed a canal since the founding of the People's Republic of China in 1949. It appears to be a large-scale civil engineering project undertaken as part of an economic stimulus.

Photo by Nanning Daily Capture

According to Chinese media such as Nanning Daily and People.cn on the 21st, the Guangxi Zhuang Autonomous Region Development and Reform Commission (DRC) has approved the construction of the Pinglu Canal, which connects Guangxi Zhuang Autonomous Region and the Beibu Gulf Economic Zone.

The Pinglu Canal, starting from Nanning, the capital of Guangxi Zhuang Autonomous Region, stretches 140 km through Qinzhou and Beihai to the Beibu Gulf Economic Zone. The construction of the Pinglu Canal will involve an investment of 68 billion yuan (approximately 13 trillion KRW).

Chinese media reported that Guangxi Zhuang Autonomous Region has established a separate corporation for the canal construction and plans to commence construction of the Pinglu Canal within this year.

Nanning Daily evaluated the Pinglu Canal development project as the first canal construction in China in over 1,000 years since the Grand Canal (Hangzhou to Beijing), and the first canal since the founding of the People's Republic of China, describing it as part of the "Belt and Road Initiative (New Silk Road Strategy)."

Chinese media explained that the Pinglu Canal is being constructed for multiple purposes.

First, upon completion, the Pinglu Canal will enable flood control in the southeastern region and contribute to ecological environment improvement, Chinese media emphasized.

Additionally, it is designed to accommodate 3,000-ton vessels, serving as a logistics waterway connecting southwestern regions such as Yunnan Province and Guizhou Province with the southern coast.

The terminus of the Pinglu Canal is the Beibu Gulf. The Beibu Gulf is being developed by the Chinese government as the fourth economic development zone following the Pearl River Delta (centered on Shenzhen), the Yangtze River Delta (centered on Shanghai), and the Bohai Bay (centered on Tianjin).

The Beibu Gulf borders Vietnam and serves as a foothold for China’s advance into the Indochina Peninsula and targets the South China Sea economic zone. China has had development plans for the Beibu Gulf Economic Zone since the 12th Five-Year Plan (2011?2015), but progress has been slow.

Chinese media stressed that upon completion, the Pinglu Canal will shorten the logistics distance by 560 km compared to the existing Nanning?Guangdong (Shenzhen) route.

Furthermore, the Pinglu Canal will play a role in integrating national strategic developments such as the Western Development and the Belt and Road Initiative, making it a significant practical project for the economic development of southwestern China, Chinese media added.