Tuesday, December 27, 2011

Communist China slashes high speed rail budget 42%, will focus instead on expanding existing freight rails, WSJ. Poor Tom Friedman.

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12/24/11, "China to Slash Railway Spending," Wall St. Journal, Areddy

SHANGHAI—"Chinese authorities are cutting spending on railway construction for 2012, the latest signal the world's No. 2 economy is de-emphasizing one of its most expensive programs after a year of problems highlighted by a deadly high-speed collision.

Under the new plan, spending for 2012 construction will drop 42%, from more than 700 billion yuan ($110 billion) earmarked in 2010—an investment level that initially had been expected to be maintained for a number of years, until the death of 40 people in the July crash prompted a reassessment.

China's railways minister, Sheng Guangzu, on Friday said 400 billion yuan will be ..." (remainder subscription)

From Walter Russell Mead about freight rail expansion:

12/26/11, "China Rail Fail: 42% Spending Cut in Bullet Train Meltdown," The American Interest

"Spending on rail will fall 42 percent from projected levels, and the priority looks to shift from gee-whiz high speed bullet trains to the expansion of China’s overstretched freight network."...

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The Chinese D train derailed with two of its carriages falling off a bridge , AP, from 7/24/11, UK Telegraph. "China sacks railway officials following high-speed crash"

9/15/11, "Obama makes case for bill at gala," Politico Staff

"President Obama, speaking Wednesday at the 34th annual awards gala of the Congressional Hispanic Caucus Institute in Washington, hammered home his favorite points of the week, the need
  • to pass the American Jobs Act. Here is an excerpt:...
""At a time when countries like China are building high-speed rail lines and gleaming new airports, we’ve got over a million unemployed construction workers -- many of them Latino -- who could be doing the same thing right here in the United States. That’s not right. It’s time for us to fix it. And that’s why Congress should pass this bill
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8/14/11, "China's enthusiasm for high-speed rail stalls," AP, USA Today, Joe McDonald

"China's infatuation with high-speed rail soured at bullet train velocity.

Six months ago, the rail network was a success symbol and the basis of a planned high-tech export industry. But after a July crash that killed 40 people, Beijing has suspended new construction and is recalling problem-plagued trains,

  • raising questions about the future of such prestige projects.

It was an extraordinary reversal for a project that once enjoyed political status on a level with China's manned space program."...

"Chinese contractors want to bid for work on a planned California high-speed line, though it might be harder to woo buyers who see China's

  • government has lost faith in its own system.
Global Insight's Ren said she sees no sign the government might scale back its export plans, which are a core part of its technology development strategy.

"The only thing they are going to rectify is the domestic buildout of their infrastructure," she said. "I think they still will push for more exports of advanced manufactured goods

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Questioning the reliability of Communist China's high speed rail system is not allowed and can get you fired.

7/25/11, "China's effort to muzzle news of train crash sparks outcry," Reuters, Ben Blanchard, Sui-Lee Wee

"Government directives demanding journalists not question official accounts of a deadly high-speed train crash in eastern China are fueling public anger and suspicion about conflicting details of the accident,

  • such as the death toll.

Saturday night's crash killed at least 38

people and was China's deadliest rail disaster since 2008, raising new questions about the safety of the fast-growing and high-profile high-speed rail network.

The central propaganda department issued directives to media on Sunday for coverage of the accident.

"The major theme for the Wenzhou bullet train case from now on will be known as 'in the face of great tragedy, there's great love'," the department said, according to a copy of the directives posted on a web site called the "ministry of truth", that regularly posts copies of government orders.

"Do not question, do not elaborate."

Reporters with state media who saw the directives confirmed to Reuters the propaganda department's media guidance on the crash.

The department also told media not to "investigate the cause of the accident", and reminded journalists that "the word from the authorities is all-prevailing"....

Compounding the problem, the state-run Xinhua news agency said late on Sunday that eight additional bodies had been found, bringing the death toll to 43. But a Railways Ministry spokesman then said the

total figure was actually 35.

On Monday, the official count stood at 38.

Seeking to assuage public anger, the government sacked three middle-level railway officials on Sunday. The media directives appear to show a government hoping to contain the outrage.

Any attempt to link the crash to the reliability of China's much feted high-speed rail system was off-limits, according to the department."...

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The high speed rail company would share the costs of losses "with its suppliers, including Germany's Siemens."...Trading of Communist China's CNR Corp. has been suspended.

8/12/11, "Chinese bullet trains pulled over 'flaws'," news 24

Shanghai - "A state-owned Chinese train manufacturer said on Friday it is recalling 54 bullet trains being used on a

new high-speed rail link between Beijing and Shanghai

  • because of "flaws".
The statement by China CNR Corp came a day after Beijing said it was suspending approval of new railway projects, and underlines the scale of concern over the safety of high-speed rail after a fatal crash last month.

"China CNR Corp ... is recalling 54 CRH380BL bullet trains produced by our subsidiaries that are already in operation to systematically analyse causes of flaws," the firm said in a statement filed with the Shanghai bourse. "...

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7/11/11, "No bids for Brazil's high-speed train," AP

"A Brazilian government auction for the rights to build a bullet train between Rio de Janeiro and metropolitan Sao Paulo

  • has drawn no bids.

A lack of interest had forced the government to delay the auction twice before for the 317-mile (510-kilometer), high-speed train."...



via Instapundit

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