The railway project will become an important tool for attracting foreign investment thus resulting in increased capital, the availability of modern technology, and competent human resources in Laos. It will also help promote cooperation in trade, people to people visits, tourism, reduce production costs, and create jobs.
The project will also help boost sustainable development in the country.
The groundbreaking ceremony of the five-year Laos-China Railway Project took place in December 2015. The railway will have a total length of 427.2 km, stretching from the Laos-China border to Lao capital Vientiane. The designed speed for the passenger trains is 160 km/h, while the speed of 200 km/h will be applied in flat terrain areas between Vang Vieng and Vientiane Capital.