State-owned China Railway 20th Bureau Group Corp (CR20G) is strategically planning more overseas ventures, guided by the Chinese adage "roads first, then prosperity." This approach has proven particularly successful in economies engaged in the Belt and Road Initiative (BRI) over the past decade, China Daily reports.
Headquartered in Xi'an, Shaanxi province, and boasting a workforce of 20,000, CR20G, a subsidiary of China Railway Construction Corp, is keen on extending its presence in both traditional and "new infrastructure" projects. The latter category encompasses critical facilities driven by information technologies, such as 5G, AI, the industrial internet, and the internet of things.
A recent success for CR20G was the completion of the 87-kilometer A380 highway reconstruction project in Uzbekistan, ahead of schedule. This project exemplifies the transformation of Uzbekistan, traditionally known for its high-quality cotton, into a "land-linked country" through its active participation in the BRI.
The upgraded A380 highway, initially a two-lane asphalt road with safety hazards, has been expanded to four lanes with cement concrete construction, designed for a speed of 120 km/h. Wang Bairen, head of the A380 highway reconstruction project at CR20G, emphasizes that beyond improving local traffic conditions, the project will stimulate economic growth, particularly in logistics and services sectors along the route.
The project faced unique challenges, including the need to operate traffic simultaneously with construction, a rare approach in road reconstruction projects in Uzbekistan. The A380 highway served as a crucial transportation link connecting urban and rural areas, as well as an international thoroughfare from Uzbekistan to Kazakhstan and the Caspian Sea region.
What sets this initiative apart is its adoption of construction technology standards from the United States, Russia, and Uzbekistan. The concurrent operation of traffic and construction posed a distinctive challenge, particularly in densely populated urban areas with intricate infrastructure networks.
Beyond transportation infrastructure, CR20G's diversified business scope spans real estate development, manufacturing, logistics and trade, railway transportation, environmental protection, engineering project inspection, design consulting, and training.
Zhao Fujun, a researcher specializing in international economic cooperation at the Development Research Center of the State Council, emphasizes the pragmatic collaboration between Central Asian countries and Chinese companies. This collaboration, driven by energy and commodity trade, strengthens the trade framework and enhances cooperation in various sectors, including infrastructure development, public services, green economy, modern agriculture, and manufacturing.
CR20G in Uzbekistan
Since its entry into the Uzbekistan market in December 2018, CR20G has secured three projects—Bustan canal reconstruction, Bogyap canal reconstruction, and the A380 highway project. These initiatives have created over 3,000 job opportunities, benefiting local communities by boosting raw material production, supporting the mechanical equipment manufacturing industry, enhancing livelihoods, and contributing to economic and social development.
For example, the Bustan canal reconstruction project, CR20G's inaugural venture in Uzbekistan, spans 35.2 kilometers in the western region between the Amu Darya River Delta, the Amu Darya River, and the Aral Sea. It serves as a significant agricultural irrigation initiative, addressing water scarcity for over 1.5 mn acres (600,000 hectares) of farmland in three regions of Karakalpakstan, an autonomous republic in Uzbekistan. The project is expected to increase irrigation efficiency by 60% and save nearly 300mn cubic meters of water annually.
In addition to designing and constructing transportation infrastructure, CR20G's range of operations spans real estate development, industrial manufacturing, logistics and trade, railway transportation, environmental protection, engineering project inspection, design consulting, education and training, and innovative forms of infrastructure.
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