China launches Pinglu Canal, cutting inland-to-sea routes to Southeast Asia
China opened the Pinglu Canal in Guangxi, a 134 km river-to-sea waterway that links the Xijiang River with the Beibu Gulf, shortening transport to Southeast Asian markets.
Beijing inaugurated the Pinglu Canal, a 134 km waterway entirely within Guangxi that joins the Xijiang River to the Beibu Gulf, the northwestern arm of the Gulf of Tonkin. The route offers a shorter path for goods from southwestern provinces—including Yunnan, Guizhou and Chongqing—to reach Southeast Asian ports, cutting travel by roughly 560 km. Local officials estimate logistics savings of 5 billion yuan a year and expect the canal to handle ships of up to 5,000 tonnes.
Construction cost about 72.7 billion yuan, and a fee-free period for commercial vessels lasts until December 2026, after which a nominal charge will apply. The project also includes a resettlement program for over 2,700 households displaced by the works. Direct sailings to Vietnam’s Can Tho port are slated to begin after the opening.
Why it matters
The canal creates a faster, cheaper trade route linking inland China with Southeast Asian markets, boosting regional commerce.
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