China transport investment

In China, the news that the construction industry has been waiting for came with an announcement over infrastructure spending. The Chinese Government said it will invest heavily in infrastructure spending over the next few years, some US$157 billion, particularly in extending the country’s high speed rail network. Some $4.45 billion will be invested in transport infrastructure in 2012. Of the total, $790 million will go on rural road improvements, of which 88% will be used in the central and western regions
November 27, 2012 Read time: 2 mins

In China, the news that the construction industry has been waiting for came with an announcement over infrastructure spending.

The Chinese Government said it will invest heavily in infrastructure spending over the next few years, some US$157 billion, particularly in extending the country’s high speed rail network. Some $4.45 billion will be invested in transport infrastructure in 2012. Of the total, $790 million will go on rural road improvements, of which 88% will be used in the central and western regions of the country.

The news brought a flurry of trading on the Chinese stock market, seeing share price gains for various major Chinese construction equipment manufacturers including 269 LiuGong, 1170 Sany and 1171 Shantui. New machine sales have been hit hard since the beginning of 2012. But this development looks likely to give the country’s construction sector the boost it requires, allowing contractors to order new equipment and also helping manufacturers to sell off unsold stock.

Work has begun on constructing a $ 1.2 billion 144km highway between Zhengzhou and Zhoukou in China. The highway has a designed speed of 120km/hour and a width of 28m. And Chinese contractor 6590 China Railway Construction Corporation Limited (CRCC) is now working on two huge highway projects worth over $417 million in total. One of the projects involves work to an existing route in Sichuan Province. This will see the Hongxing road south in Chengdu City being extended. At Suzhou City in Jiangsu Province, CRCC will work on the south central expressway project. Both highway projects will help boost connectivity and trade.

China's Xinjiang region, the G30 Sailimu Lake-Wusu highway renovation and the Kashgar-Aksu highway construction projects have been approved by the regional authority. The 301km Sailimu Lake-Wusu highway renovation is scheduled for completion by the end of October 2013, following an investment of $631 million.

The 429.5km Kashgar-Aksu highway will cost $1.94 billion, with work on it due to finish in 2015. 2661 China Communications Construction Company (CCCC) is to build the second road bridge in Hengqing, China. A total of $385.32 million has been
budgeted for the two year build. On completion, the bridge will span 6.6km.

Related Content

  • US construction machinery exports gain 28%
    February 10, 2012
    The market for exports of US-made construction machinery closed out 2010 with a gain of more than 28% compared to the previous year, for a total of $16.4 billion dollars’ worth of equipment sold worldwide, according to the Association of Equipment Manufacturers (AEM).
    Read More
  • New axle joint venture for LiuGong and ZF
    September 12, 2012
    LiuGong and ZF are intensifying their cooperation by building a new joint venture axle company in Liuzhou. China’s construction equipment manufacturer, LiuGong and German drivetrain specialist ZF-Group established a joint venture called ZF Liuzhou Axle. The new company will produce wheel loader axles that are specially tailored for the requirements of the Chinese market. In the long run some 190 employees will be working at Liuzhou Axle Co. Ltd. and more than 30,000 of the newly designed axles will be deliv
    Read More
  • Shaanxi and Yunnan invest billions in transport infrastructure during 2014
    January 16, 2014
    Two Chinese provinces are investing a combined US$9.36 billion in transport infrastructure during 2014. Shaanxi province in northwest China plans to invest $5.79 billion (CNY 35 billion), enabling the upgrade of 5,000km of rural roads and the construction of around 1,110km of highway. The authorities will also strive to complete the Xianyang-Xunyi, Luofu-Weizhuang and Jiangzhang-Famensi highways in 2014, which will add about 160km of highway in Shaanxi province. Meanwhile in southwest China, the Yunnan pr
    Read More
  • New US$200 million ring road to be built in Belarus capital Minsk
    May 23, 2014
    Minsk is to benefit from a new ring road that will cut city congestion - Eugene Gerden reports The government of Belarus is investing more than US$200 million in the building of a new ring road around the country’s capital Minsk, in accordance with a government decree. Implementation of the project is taking place as part of the existing large-scale state road building programme in the country until 2017, with the total cost estimated at US$5 billion. The new road will measure some 85km long and will feat
    Read More

Highlighted Content