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China’s R$ 58 Billion Plan to Dominate Global Trade: Connecting the Sea to Its Inland Cities with a 134-Km Infrastructure

Published on 24/06/2025 at 08:30
Updated on 24/06/2025 at 08:38
China, Comércio, Canal
Imagem: IA
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Pinglu Canal Will Connect Inland China to the Sea by 2026, Promising to Reduce Costs, Accelerate Transportation, and Boost Global Trade

China is constructing one of the largest navigation canals in the world. The project, known as the Pinglu Canal, will connect the interior of the country to the sea, featuring a structure of 134 kilometers.

With this, China aims to lower transportation costs, ease road congestion, and reinforce its plan to become a global trade hub.

The work began in 2023, after years of planning. The goal is to complete everything by December 2026.

The canal will unite the Yu River, located in the Guangxi region, to the Gulf of Tonkin, in the South China Sea. This link will be strategic for the transportation of goods and could reduce the distance currently traveled by highways by up to 560 kilometers.

Canal Will Change Internal Transportation

With an estimated cost of 58.8 billion reais, the Pinglu Canal is the first major construction of this type since the founding of the People’s Republic of China.

It will allow ships of up to 5,000 tons to navigate the region. These ships can be up to 90 meters long, 15.8 meters wide, and have a draft of five meters.

To accommodate the height differences along the route, the canal will have two giant locks. Each will be 300 meters long and 34 meters wide.

They will overcome elevation changes of up to 65 meters. Moreover, these locks are being designed to operate quickly, which should accelerate the passage of boats.

The majority of the canal will be formed by existing rivers. Only 6.5 kilometers have been excavated from scratch. Nonetheless, the volume of earth moved is impressive: over 50 million cubic meters of material have already been displaced.

And the total excavation forecast exceeds 339 million cubic meters. This is more than three times what was necessary to build the Three Gorges Dam.

Technology and Speed

One of the highlights of the project is the speed with which it is being executed. From the start of construction to the expected operational date, the project will be completed in just three years.

Considering the seven years since the planning began, the pace is still considered fast for a project of this magnitude.

Another important point is the use of durable materials. The concrete used has been developed to withstand seawater for more than a century. This should reduce long-term maintenance costs.

Despite the advancements, there are environmental concerns. The construction passes through areas near mangroves and other sensitive ecosystems. The intensive movement of earth and alteration of rivers could impact local species.

Part of the New Silk Road

The Pinglu Canal is a key piece in China’s global strategy. It is connected to the New Silk Road plan, which aims to create trade corridors between China and other regions of Asia, Africa, and Europe. The idea is to facilitate the export and import of products, especially from inland China.

The ships that will navigate the canal are smaller than the giants that cross the Panama Canal or the Suez Canal. However, the intention is for them to carry goods to maritime ports, where they will be transferred to larger vessels heading to other continents.

The project also aims to reduce logistical costs. Since transporting by ship is cheaper than by trucks or trains, the Chinese government estimates a savings of about 725 million dollars per year.

Additionally, the new route should alleviate traffic in the country’s more industrial regions, where truck traffic is often intense.

Functions Beyond Trade

In addition to moving production and reducing costs, the canal should help with flood control and irrigation of nearby agricultural areas. This makes the project significant for water management and local infrastructure.

Even with its impressive scale, the Pinglu Canal is just one part of China’s strategy to improve its internal logistics and strengthen its presence in the international market.

Beyond the Pinglu Canal: Expansion to Other Canals

China will not stop at Pinglu. The country is already planning other aquatic transport projects. One of the most mentioned is the Kra Canal in Thailand. It aims to avoid the use of the Strait of Malacca, one of the most congested maritime routes in the world.

There are also plans for other smaller canals within Chinese territory. Among them are the Zhejiang-Jiangxi-Guangdong, Jinghan, and Xianggui canals.

These waterway corridors focus on linking industrial areas, strengthening sectors such as steel, and reducing pollution generated by trucks on the roads.

With this coordinated movement, China seeks to integrate its internal regions into global trade, reduce logistical costs, and increase its influence in the world. The Pinglu Canal is an important step in this direction — and is expected to be operational by the end of 2026.

With information from Xataka.

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Romário Pereira de Carvalho

Já publiquei milhares de matérias em portais reconhecidos, sempre com foco em conteúdo informativo, direto e com valor para o leitor. Fique à vontade para enviar sugestões ou perguntas

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