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Business / View

Obstacles to railway deal must be ironed out for region's benefit

By Wang Hui (China Daily) Updated: 2016-04-13 08:12

True, terms of loans and the cost are important factors that both sides should carefully consider and any agreement needs to accommodate both sides' interests and concerns.

But openly declaring that one is going it alone, is not good business practice, let alone for a bilateral cooperation project like the China-Thailand railway.

The Thai authorities need to be reminded that they should take into consideration the broader picture of bilateral relations before they make any unilateral decision on the joint railway project.

The bilateral railway project is widely regarded as a barometer of the ties between Beijing and Bangkok. The latest turn was perceived by some in the world arena as a setback to both the project and bilateral relations.

Under such circumstances, the two governments, enterprises and companies on both sides that are directly involved in the railway project in particular, need to shore up a stronger cooperative will as well as greater sincerity to steer clear of the predicaments standing in the way of what is meant to be an important part of an ambitious regional network of railways.

The 250-kilometer railway is seen as part of an ambitious network linking Bangkok with Kunming in Southwest China's Yunnan province, through Laos in the north and connecting Thailand, Malaysia and Singapore in the south.

Obviously, upon completion, the countries involved will all benefit from such regional arteries, and Thailand, sitting in the hub of the network, is expected to be able to benefit perhaps the most.

Under the backdrop of a rising trend that promotes regional connectivity, in which both China and the Association of Southeast Asian Nations members have been staunch advocates as well as active participants, the China-Thailand railway project will certainly contribute to that irreversible trend.

Yet, the new uncertainties that have emerged in the China-Thailand railway project show different countries may have different expectations when they respond to China's overtures. Besides, there are other competitors and even meddlers who are looking to put a spoke in the wheels.

All this could pose a challenge to the smooth implementation of China's strategy.

To avoid a lose-lose scenario, patience, a sober mind and the spirit of cooperation is key to ironing out obstacles and reaching an agreement that could deliver a win-win result for both sides. Self-calculation should also give way to the larger picture of regional integration and interconnectivity.

The author is deputy editor-in-chief of China Daily Asia Pacific. jasmine@chinadailyhk.com

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