Delegates from various nations gathered around the sand table model of the Pinglu Canal at the Nanning International Convention and Exhibition Center, examining the details of this new route that links inland waterways with the sea. Throughout the 23rd China-ASEAN Expo, this recently completed landmark project has been a central topic of discussion among entrepreneurs, experts, and government officials, all exploring the development potential this new southern passage brings.
The century-scale engineering project officially opened to navigation just before the expo commenced. This canal holds the distinction of being the first waterway of its kind in China to be planned and constructed at the national level since the founding of the People's Republic, marking a major breakthrough in regional physical connectivity.
Observers believe the canal's opening will reshape the economic geography of China and ASEAN, further streamline transport and logistics links, and unlock multiple new opportunities for cross-border trade between both sides. Song Sopheak, Deputy Secretary-General of the Council for the Development of Cambodia, stated that the completion of the canal is a milestone event that will further draw China and ASEAN nations closer and foster stronger economic and trade partnerships.
The Pinglu Canal stretches 134.2 kilometers, built to China's inland Class I waterway standards, allowing the passage of 5,000-ton vessels. Serving as a fresh major artery connecting the Xijiang River with the Beibu Gulf, it significantly alters regional logistics. Pan Jian, Chief Engineer of Guangxi Pinglu Canal Construction Co., Ltd., noted that following the opening, cargo from the southwestern regions can be routed via road, rail, or river to the Xijiang, then through the canal to the sea, cutting over 560 kilometers of inland waterway distance compared to conventional routes.
The navigation has completely resolved the previous challenge where the sea was blocked by rivers in Guangxi, eliminating lengthy detours to the ocean and unlocking a gateway to the world for the southwest hinterland. Yang Yi, Chief Technology Officer of Guangxi Beibu Gulf International Port Group Co., Ltd., explained that the canal effectively connects China's western interior, Beibu Gulf ports, and the vast ASEAN market, charting a completely new logistics corridor for cross-border cooperation.
The most direct dividends are noticeable through reduced logistics expenses and improved transport efficiency. Reports indicate that comprehensive logistics costs for southwestern cargo routed via the Pinglu Canal can be reduced by 18% to 30% compared to traditional paths, saving society over 5 billion yuan in transport costs annually. Du Jianjun, Party Secretary and Chairman of China Railway Eryuan Engineering Group Co., Ltd., highlighted that steel, machinery, and equipment from regions like Yunnan, Guizhou, Sichuan, and Chongqing can reach ASEAN markets more conveniently via the canal, while ASEAN products can also enter China's large market more efficiently.
Industry insiders see the canal linking ASEAN to the south and Europe and Asia to the north, integrating with the China-Europe Railway Express and rail-sea intermodal services, connecting Belt and Road partner countries, which expands the regional opening-up landscape and provides more options for global trade.
The significance of the Pinglu Canal extends beyond upgraded transport networks; it is set to deepen economic cooperation and industrial coordination between China and ASEAN. Many businesses have already moved swiftly to harness this development. Along the canal corridor, industries such as non-ferrous and key metal materials, modern green chemicals, and artificial intelligence plus next-generation information technology are rapidly clustering and expanding.
Meng Shuang, Associate Professor at the School of International Trade and Economics at Central University of Finance and Economics, offered insights on the long-term impact. He stated that in the short term, the canal's opening will primarily trigger a reconfiguration of cargo flows, but over the medium to long term, more crucial outcomes will be trade creation and industrial clustering. Reduced transport costs will stimulate new exports, fresh investments, and strategic industrial distribution along the canal route.