North Korea and Russia Conclude Khasan-Rajin Railway Deal

by Richardson ~ March 16th, 2008. Filed under: China, Economics, North Korea, Russia.

North Korea and Russia have reached an agreement to renovate the 55 km Khasan-Rajin railway, which will link North Korea’s port city of Rajin (Najin) to Russia’s Trans-Siberian Railroad. Some reconstruction is required as the two countries use different rail gauges, and North Korea’s portion likely is in varying stages of disrepair.

Though it will take time, the deal could have far-reaching effects on trade (including the flow of Russian energy) in Northeast Asia, as Dr. Leonid Petrov explained earlier this month:

Here, some 50km north of the small port that forms the core of North’s Rajin-Seonbong Special Economic Zone, the interests of Russia and China are now at stake. Russia is rapidly repairing the railroad track, and China (in a similarly speedy manner) is constructing a new automobile highway, both leading from their respective borders to the port of Rajin. Russia, investing at least 1.75 billion rubles (US$72 million) into this project, seeks to strongly connect Rajin (and the rest of northern Korea) to its Trans-Siberian Railroad. China, in turn, hopes to divert the growing cargo traffic to its own territory, offering the efficient network of railroads for delivery of South Korean and Japanese goods to Central Asian and European markets.

Read the rest here.

1 Response to North Korea and Russia Conclude Khasan-Rajin Railway Deal

  1. North Korean Economy Watch » Blog Archive » China vs. Russia for control of Raijin (part 3)

    […] full article can be found here (h/t DPRK Studies): North Korea, Russia reach agreement on Khasan-Rajin railway NewKerala.com […]

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