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Stories of China's high-quality development | A private-run high-speed railway

People's Daily Online| Updated: November 28, 2024 L M S

While it's commonly assumed that the construction and operation of high-speed railways in China are typically overseen by state departments and large state-owned enterprises, a private company named BSHW has obtained a 51 percent stake in the operations of the Hangzhou-Wenzhou high-speed railway.

This new high-speed railway linking east China's Zhejiang's capital city Hangzhou and the city of Wenzhou in the province began operations on Sept. 6, 2024, ending the era of time-consuming transportation that had previously hindered business connections between companies in the two cities while putting Wenzhou into Hangzhou's one-hour transport circle.

"The 51 percent of equity means we have a say. It represents the trust given from the country to private capital. The initiative for the project was handed over to private firms, allowing the dynamism of the market to play a more effective role," said Liu Shengjin, deputy general manager of BSHW.

With the support and understanding of the railway authorities, BSHW pioneered a new development model that combines private investment, general contracting, and agent construction, according to Liu.

The Hangzhou-Wenzhou high-speed railway is a vivid illustration of China's "two no irresolutions" principle, which reflects a steadfast commitment to both consolidating and developing the public sector while also encouraging, supporting, and guiding the development of the non-public sector.

In the wave of further deepening reforms in a comprehensive manner, the private-run railway's entry into operation has not only cleared the path of open development for cities, but also injected new vitality into economic development.

"As a Wenzhou-based private enterprise doing business in Zhejiang, we not only have the pioneering spirit, but also recognize the tremendous opportunities this era has presented us," Liu said.

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