Phase one links the capital Bangkok to the city of Nakhon Ratchasima, about 200 km away. Phase two connects Nakhon Ratchasima with Nong Khai, bordering Laos, about 330 km further north.
The second phase is currently under environmental assessment and is expected to begin service in 2028, said government deputy spokeswoman Traisulee Traisaranakul.
The project comes under China's ambitious Belt and Road initiative, which aims to link the world's second-largest economy by land corridors and sea links to Southeast, Central and South Asia and Central Asia, and with maritime routes opening up trade with the Middle East and Europe.
In early December, a rail link between Laos and China began operations https://www.reuters.com/markets/commodities/despite-covid-19-china-expects-1-mln-passenger-trips-new-laos-rail-link-2021-12-16. Trade at the Thai-Laos border that month reached 6.9 billion baht ($208.84 million), compared to 4.64 billion baht in December 2020, Traisulee said.
Thai and Chinese state-firms signed agreements https://www.reuters.com/article/us-thailand-china-railway-idUSKCN1BH0YW worth 5.2 billion baht for the project in 2017, but saw delays https://www.reuters.com/article/us-thailand-china-railway-idUSKCN1BH0YW over disagreements on design, financing and technical assistance.
($1 = 33.0400 baht)
(Reporting by Panarat Thepgumpanat, writing by Chayut Setboonsarng; Editing by Martin Petty)
