Will Thailand’s new PM seek Chinese funding for land bridge? Definitely, maybe

The speculation came as the country’s youngest prime minister – who turned 38 on Wednesday – mentioned the “deep and friendly relationship” between the two countries at her first press conference on August 18, a gesture seen as presaging more cooperation.

Paetongtarn will probably follow her predecessors in strengthening economic ties with Beijing, said Ken Mathis Lohatepanont, a PhD student in political science at the University of Michigan, earlier this month.

The land bridge project, a potential replacement to the shelved Kra canal linking the Andaman Sea with the Gulf of Thailand, got a new drumroll of enthusiasm as it is expected to bolster the southern Thai economy.

A shipping bypass would appeal to China, which now sends vessels through the far-flung, strategically important Malacca Strait. The strait is also the main transport artery for a large share of China’s imports of crude oil from the Middle East and raw materials from Africa. Currently, some 94,000 ships pass through the strait every year or use its 40-plus ports.

The Thai government has sought financing for the 90km (56-mile) bridge, which has been estimated to cost at least US$28.6 billion.

Beijing has not yet expressed an official stance.

However, the Bangkok Post reported last October that state-owned contractor China Harbour Engineering Co was considering a contribution, citing the Thai government. Hong Kong property developer New World Development has also shown interest, it added.

Analysts said Thai officials should brace for negotiations with potential Chinese funders.

“Both sides would get advantages from this investment, but the project is big and requires time,” said Peng Peng, executive chairman of the Guangdong Society of Reform.

“The pros and cons