ISLAMABAD: China's Pinglu Canal, a strategic inland waterway project in Guangxi Zhuang Autonomous Region in southwestern China, began its water-testing phase after two key navigation hubs started filling on Wednesday, according to reports from Chinese state media.

The canal is scheduled for full navigation in September.

The Madao and Qishi hubs commenced water-filling operations, enabling the entire 134.2-kilometer canal to become fully connected by water, as reported by China News Service (ECNS).
The canal stretches from the city of Hengzhou in Guangxi to the Beibu Gulf. It is designed to accommodate vessels of up to 5,000 tons.

The Pinglu Canal is China's first nationally coordinated canal linking inland rivers to the sea since 1949, according to ECNS. It forms a key component of the New International Land-Sea Trade Corridor.

Goods from southwestern China destined for Southeast Asia had to detour hundreds of kilometers through southern ports, increasing transport time and costs. The canal will directly link the region's inland waterways with maritime shipping networks, shortening sea routes by about 560 kilometers.

The canal is also expected to reduce logistics costs for southwestern China's exports to Association of Southeast Asian Nations members by 18 to 30%, potentially saving more than $739 million annually, according to expert estimates reported by ECNS.

The Chinese news outlet reported that trade efficiency gains will particularly benefit automotive, machinery, new energy and electronics sectors.

Articles tagged with "China's maritime economy"

China's Pinglu canal enters water tests, targets September opening