Showing posts with label railroads. Show all posts
Showing posts with label railroads. Show all posts

Friday, May 30, 2025

Chinese Companies Build Longest Bridge in East Africa; Tanzania Pays the Bill

 The Nanyang Technological University posted on 29 May 2025 an article titled "China Completes the Construction of the Longest  Bridge in East Africa."

Two Chinese construction companies have completed the 3.2 kilometer dual highway spanning southern Lake Victoria.  The Tanzanian government funded the $220 million project.  China includes the project as part of its Belt and Road Initiative, but it was a commercial deal, not an aid project. 

Friday, April 25, 2025

Kenyan President's Visit to Beijing

 The South China Morning Post published on 25 April 2025 an article titled "China to Fund Kenyan Road and Rail Schemes as It Seeks Support in Opposing Trump Tariffs" by Jevans Nyabiage.  

Kenyan President William Ruto, during his recent visit to Beijing, sought and apparently received assurances of additional Chinese funding for Kenyan infrastructure projects.  Xi Jinping used the meeting to seek support for his opposition to the Trump administration tariffs.  

Monday, February 17, 2025

Kenya: US to Finance Expressway to Compete with Chinese Railway

 Nairobi Wire published on 6 February 2025 an article titled "US-Backed Ksh452B Usahihi Expressway Gains Momentum" by Richard Kamau.  

Everstrong Capital, a US-backed infrastructure investment firm, announced its intention to secure funding for a $3.5 billion expressway between Nairobi and the port of Mombasa on the Indian Ocean coast.  The road would run parallel to the Chinese-built and financed standard gauge railway.  Many Kenyan manufacturers prefer trucking over the railroad due to cost, flexibility, and the limitations of the railway system.  

Monday, November 4, 2024

American and Chinese-financed Railway Projects in Southern Africa: Competition or Cooperation?

 The Center for Strategic and International Studies published on 10 October 2024 a commentary titled "Two Railroads, One Vision" by Judd Devermont.

The US has mobilized over $4 billion to develop the Lobito Economic Corridor, including refurbishing Angola's Benguela rail line and supporting a rail line expansion between the southern DRC and Zambia.  This project will improve the movement of minerals and goods to the Angolan port of Lobito on the Atlantic coast.  China is making available $1 billion to revitalize the Tanzania-Zambia Railway built in the 1970s that terminates in Dar es Salaam in the Indian Ocean.

While these projects are being framed in the context of great power competition, they offer the possibility of serving as an example of great power cooperation and one that accomplishes a Pan-African goal for a transcontinental rail link from the Indian Ocean to the Atlantic that will expand economic development throughout the region.  This could be done by connecting the two projects if all parties were to agree.   

Wednesday, June 12, 2024

How Maersk Deals with Red Sea Shipping Disruption

 Maersk posted on 12 June 2024 an update titled "Navigating Challenges in the Red Sea and Beyond."

About 30 percent of global container traffic previously travelled through the Suez Canal and Red Sea.  Because of Houthi attacks on international shipping, Maersk, one of the largest users of this route, is now sailing around the Cape of Good Hope and avoiding the Suez Canal and Red Sea.  This has increased fuel costs by about 40 percent, caused delays and congestion in key ports such as Singapore and Shanghai, and has reduced industry wide shipping capacity by 15-20 percent.  

Sunday, January 21, 2024

The U.S. and Europe Challenge China in Angola

 The Wall Street Journal published on 21 January 2024 an article titled "How the U.S. Is Derailing China's Influence in Africa" by Michael M. Phillips.

The United States is challenging Beijing's commercial dominance in oil-rich Angola, Africa's largest recipient of infrastructure loans.  Angola rejected a Chinese bid to rehabilitate and operate freight service along the Lobito Corridor and granted it to a U.S.-backed European consortium.  The U.S. Export Import Bank is lending Angola $900 million to buy American equipment for solar projects and a $363 million loan guarantee for an American company to sell steel bridges.  The U.S. is also looking to sell miliary equipment to Angola.

Comment:  While this is a major success for U.S. commercial policy, it only concerns Angola and not the other 53 countries in Africa as the title of the article implies.  The U.S. still has a long way to go if it wants to challenge China commercially throughout Africa.   

Saturday, January 6, 2024

China-Europe Railway May Pick Up Some Business Avoiding Red Sea Attacks

 The South China Morning Post published on 6 January 2024 an article titled "Red Sea Attacks See Exporters Turn to China-Europe Railway Express Ahead of Lunar New Year" by Jevans Nyabiage.  

Many large shipping companies, including China's COSCO, are rerouting their Europe-Asia trade around the Cape of Good Hope in order to avoid Houthi attacks on shipping in the Red Sea.  Some companies are also turning to the overland China-Europe Railway to move their goods between Europe and China.  

Friday, February 17, 2023

Chinese-financed and Built Light Rail in Addis Ababa Faces Maintenance Problems

 The South China Morning Post published on 17 February 2023 an article titled "China Hands a Lifeline to Ethiopian Capital's Crumbling Light Rail" by Jevans Nyabiage.  

With more than half of the train cars out of service due to maintenance issues, China has agreed to provide spare parts for the Addis Ababa light rail system financed and built by China.  The system opened in 2015.  Maintenance of Chinese-built rail projects has been an issue elsewhere in the region.  

Thursday, May 27, 2021

Video on China's Move into Africa

 Johnny Harris recently released a fifteen minute video on You Tube titled "China's Rush into Africa, Explained."

The video explains how China has entered Africa through infrastructure projects but is now acting like any other superpower.  The cleverly done piece is from a Western perspective and has been viewed by more than one million persons.  It includes advertisements.  

Wednesday, January 20, 2021

Chinese Companies Adapt to African Corporate Social Responsibility

 The University of London China Institute posted on 19 January 2021 a blog item titled "China's Adaptive Governance: A Tale of Two BRI Railroad Megaprojects in East Africa" by Maria Adele Carrai, New York University Shanghai. 

Chinese companies involved in construction of major railroad projects in Kenya and Ethiopia faced different civil society and corporate social responsibility expectations in the two countries and adapted to the lowest common denominator in both countries.  

Tuesday, November 10, 2020

Kenya's Chinese-built Railway: Another Lunatic Express?

 African Studies Quarterly published in October 2020 an analysis titled "Kenya's New Lunatic Express: The Standard Gauge Railway," by Ian Taylor, University of St. Andrews.  

The Chinese-built and financed standard gauge railway linking Mombasa and Nairobi and beyond has been portrayed as the center piece of the Belt and Road Initiative in East Africa.  Both China and Kenya have represented the railway as a prime example of Sino-African cooperation.  However, serious issues in terms of the railway's cost, viability, and practicality suggest it increasingly is seen in Kenya as an expensive white elephant beset with numerous intractable problems.  

Tuesday, March 10, 2020

China Is Pulling Back from East African Railway Financing

The ChinAfrica Project posted on 10 March 2020 an article titled "Why East Africa's Next Railways Won't be Built with Chinese Money" by Eric Olander.

China has turned down requests by Uganda and Kenya to finance railway construction in their respective countries, stating that the projects are not financially viable. As concerns in Africa increase over debt, China is taking a closer look at the projects that it agrees to finance.

Thursday, November 14, 2019

Consortium that Includes Chinese Company Wins $14 Billion Iron Ore Deal in Guinea

Reuters published on 13 November 2019 an article titled "China-backed Consortium Wins $14 Billion Guinea Iron Ore Deal, Pipping Australia's Fortescue" by Saliou Samb.

A consortium of French, Singaporean and Chinese interests won a $14 billion tender to develop part of Guinea's Simandou iron ore project. Guinea required that bidders build a 400 mile railway and deepwater port to transport the ore from the remote southeastern corner of Guinea to the coast. Investors include the Chinese aluminum producer Shandong Weiqiao.

Thursday, November 7, 2019

China Is Becoming More Cautious in Financing Large African Infrastructure Projects

Reuters published on 6 November 2019 an article titled "Uganda Seeks Other Backers to Fix Creaky Railway after China Delays US $2.2 Billion in Funds."

Uganda has been negotiating for years with China for a $2.2 billion loan to construct a new standard guage railway. China demured as Uganda failed to develop its oil fields, thus raising questions about Uganda's ability to repay the loan.

Monday, November 4, 2019

China in Middle of Feasibility of Kenyan Railroad Infrastructure

Bloomberg published on 17 October 2019 an article titled "The Railroad to Nowhere China Built Has Opened in Kenya" by Eric Ombok. The Elephant then published a lengthy commentary on this project titled "From Game Changer to Railway to Nowhere: The Rise and Fall of Lunatic Line 2.0" by David Ndii, Kenyan economist.

Bloomberg reports the opening of an extension of the China-built Mombasa to Nairobi railway that takes it another 75 miles west of Nairobi to a sleepy trading center called Duka Moja. David Ndii suggest the economics of this extension make no sense and funding from China for the third segment of the railway to Kisumu is in doubt. Ndii questions the viability of the entire project.

Tuesday, April 16, 2019

Addis Ababa to Djibouti: Riding the Rails

The New York Times posted on 8 April 2019 a story titled "A Remarkable Rail Journey Into the Horn of Africa's Past, and Future" by Henry Wismayer.

This is a travel account of a trip on the new Chinese-built railway from Addis Ababa, Ethiopia, to the coast of Djibouti.

Wednesday, September 26, 2018

Riding the Chinese-built Madaraka Express in Kenya

Roads and Kingdoms posted on 6 September 2018 an account titled "Riding the Madaraka Express" by Melissa Lefkowitz.

The China Roads and Bridges Corporation won the $3.8 billion contract to build the high speed railroad between Nairobi and Mombasa, Kenya. This is an account of a round trip ride on the Madaraka Express.

Wednesday, April 11, 2018

China and Africa's East-West Transport Dream

China Brief published on 9 April 2018 an analysis titled "Can China Realize Africa's Dream of an East-West Transport Link?" by Cobus van Staden, South African Institute for International Affairs.

Several ambitious schemes have been proposed to link Africa's east and west coasts. The author argues that in the short-to-mid-term, the obstacles to a truly robust set of East-West transport links are formidable, and it is unlikely that China's involvement will be a panacea.

Monday, September 4, 2017

Africa, China, the West and the Future

The Huffington Post published on 30 August 2017 a commentary titled "Here's How China is Changing Africa's Future" by Cobus van Staden, Witwatersrand University.

As the West, particularly the United States, pulls back from Africa, the author concludes that despite the many misgivings Africans feel about China, they are making a hard-nosed calculation that the continent can profit from a close relationship with China in a way it can't with the West.

Friday, September 1, 2017

Chinese Railway Construction in East Africa

Brookings published on 6 July 2017 an article titled "China and the East Africa Railways: Beyond Full Industry Chain Export" by Yun Sun.

The author analyzes the construction of two standard gauge railroads--one from Mombasa to Nairobi in Kenya and the other from Djibouti to Addis Ababa--by Chinese construction companies and largely financed by loans from the Export-Import Bank of China.