Tensions are continually increasing as China has announced a massive cross-border project with Russia. China’s Xuanyuan Group Industrial Development plans to build a massive logistics hub in the Amur Region in Russia’s Far East.
This news comes as the freight turnover between the two countries has more than doubled over the past year, the group’s CEO, Hailong Xue, has told RT. The project is one of several deals the Chinese industrial group has agreed to with Russian investors on the sidelines of the Eastern Economic Forum in Vladivostok and will offer equal opportunities for Russian and Chinese companies to participate in it.
The hub will be located between the city of Tongjiang in China’s Heilongjiang province and the town of Nizhneleninskoye and is designed to facilitate Russia-China cargo transfers.
“The location of this hub is very important as it will be right between our borders. There is a narrow stretch between our frontiers which makes cargo transfer rather problematic. But, with our project, we estimate that freight transportation will reach 10 million tons annually,” Hailong said. He expects cargo traffic between Russia and China to increase fourfold in the next few years. –RT
According to the Xuanyuan Group CEO, the project envisages the construction of a terminal for the storage and transportation of hazardous and nonhazardous goods, such as liquefied natural gas (LNG), liquefied petroleum gas (LPG), aviation fuel, helium, and other technological goods.
Hailong revealed that the estimated cost of the project will be between $600 and $700 million, with the launch of the cargo terminal scheduled for 2027.
The continued relationship between Russia and China doesn’t bode well for NATO (North Atlantic Treaty Organization) and the United States. Lines are being drawn and eventually, we will probably see an escalation in the conflict as China and the U.S. continue to be involved.
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