China’s high-speed rail network is an engineering marvel, boasting over 45,000 kilometers of track and connecting major cities across the country. This rapid expansion, which took just 15 years, has solidified China’s position as a global leader in high-speed rail infrastructure. As Tan Si Hui of CNA reports, the country is now aiming to extend this network to 70,000 kilometers by 2035.
The Rise of “Ghost” Stations
Despite the success of the high-speed rail system, the network is not without its problems. Tan Si Hui highlights a growing issue: the emergence of “ghost” stations. These are high-speed rail stations that have been decommissioned due to low passenger flow and remote locations. According to reports, there are at least 26 such stations scattered across China, many of which were abandoned just a few years after they opened.
Nancao Station: A Symbol of Overexpansion
One example of these ghost stations is Nancao railway station in Zhengzhou, Henan Province. Once a bustling hub, Nancao now stands eerily silent, with doors that remain shut all day and cobwebs collecting in the corners. Despite the occasional high-speed train passing by, none of them stop, leaving the station deserted. Tan Si Hui describes it as a place where “time appears to stand still.”
The Consequences of Ambition
Dan Wang, chief economist at Hang Seng Bank (China), offers insights into why these stations have been left unused. According to Wang, during the height of China’s infrastructure boom, every city and county wanted to be part of the high-speed rail network, even if they couldn’t sustain the traffic. This overambition has led to significant wasted investment, as many stations and tracks now lie unused.
Economic Downturn and Its Impact
The rapid expansion of the high-speed rail network coincided with a period of economic downturn in China, exacerbated by the COVID-19 pandemic. The decline in the real estate market, which once made up 25% of China’s GDP, had a ripple effect on other infrastructure projects, including the high-speed rail network. Local governments, which relied heavily on borrowing and subsidies to fund these projects, found themselves in financial straits.
Mounting Debts and Rising Fares
China’s State Railway Group, the state-owned operator of the rail network, has accrued massive debts totaling over $800 billion. In an attempt to manage this debt and the high operational costs, the government recently raised bullet train fares on major lines. This move, however, has done little to alleviate the financial burden, as the network continues to struggle with low passenger volumes and high maintenance costs.
The Future of China’s High-Speed Rail
Despite the challenges, Dan Wang believes that the high-speed rail network still has potential. She argues that the key to future success lies in focusing on the productive portions of the network while shutting down unproductive stations. This strategy, she says, will require careful calculation of the social benefits and economic returns of each line.
A Social, Not Just Economic, Investment
Wang also emphasizes that high-speed rail infrastructure should not be viewed solely through the lens of monetary returns. Instead, the government should consider how improved transportation can enhance the lives of local residents. By balancing social benefits with economic sustainability, China can make more rational decisions about the future of its high-speed rail network.
Reviving the Economy through Rail
While the abandoned stations highlight the pitfalls of overexpansion, Wang remains optimistic about the role that high-speed rail can play in reviving local and regional economies. With careful planning and a focus on sustainability, China’s high-speed rail network could still be a powerful driver of economic growth.
Lessons from the Past
The story of China’s high-speed rail network serves as a cautionary tale about the dangers of rapid expansion without sufficient planning. As the country continues to develop its infrastructure, it will need to learn from past mistakes and adopt a more measured approach to future projects.
Balancing Ambition with Practicality
As China pushes forward with its ambitious infrastructure goals, the challenge will be to strike a balance between ambition and practicality. By ensuring that new projects are both economically viable and socially beneficial, China can continue to lead the world in high-speed rail while avoiding the creation of more “ghost” stations.
The Global Perspective
China’s experience with high-speed rail offers valuable lessons for other countries looking to develop similar infrastructure. The importance of careful planning, sustainable investment, and a focus on both economic and social returns cannot be overstated.
“Never About Being Profitable”
People in the comments shared their thoughts: “The high-speed network in China was never about being profitable, it was about connecting the population and generating business, plus the insane traveling period of New year. they believe in infrastructure first and then creating business. Some of the stations are abandoned, but they have no issue renovating them and getting them going in a few months. That’s China.”
Another commenter said: “Chinese top official once said: build it first before the land getting less and more expensive. this is exactly why other countries like US can not make it happen.”
A Glimpse into the Future
As China’s high-speed rail network continues to evolve, it will be interesting to see how the country addresses the challenges of the past while preparing for the future. The success of this vast and complex system will depend on the ability to learn, adapt, and innovate.
Deciding Which Infrastructure Projects to Pursue
What do you think? What lessons can other countries learn from China’s experience with rapid high-speed rail expansion? How should governments decide which infrastructure projects to pursue, and what role should local communities play in these decisions? In what ways can abandoned or underutilized infrastructure be repurposed or revitalized to avoid waste?
Check out the entire video for more information on CNA’s YouTube channel here.
