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Rail network on track to be split, report says

By Zheng Yangpeng | chinadaily.com.cn | Updated: 2013-04-18 14:15

Rail network on track to be split, report says

The gate of China Railway Corp is seen in Beijing, March 24, 2013.?The railway giant is reported to be restructured into 7 or 8 regional corporations. [Photo by Huang Xiaobing / Asianewsphoto]

The national rail network might be split into 7 or 8 local corporations, 21st Century Business Herald reported on Thursday.

The report, citing two anonymous sources, said the plan is expected to be introduced this year. Even if that target was not met, the sources were quoted as saying, it will be no later than next year.

China Railway Corp is made up of 18 agencies. According to the report, these will be restructured into regional corporations, Northeast, Beijing and Tianjin, East China, Central China, South China, Southwest China and Northwest China.

The current Xi'an agency might be turned into a new corporation, or merged into Northwest China corporation headquartered in Lanzhou, Gansu province.

A few key railways would be constructed into new corporations independent of the restructure, for example the high-speed rail linking Beijing and Hong Kong, the report said.

China Railway Corp is the result of the latest railway restructure in which the former Ministry of Railways conceded administration and policy making to the Ministry of Transportation and left the operational part as the China Railway Corporation.

Sources said the buildup of the regional railway corporations are the second phase of an overall plan, which will be followed by asset restructuring, including the separation of passenger transport and freight, and the separation of rail and operations.

 

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