China to Renew 'Turkish Railways' with $60 Billion Investment

An investment official from Turkey announced that China is preparing to modernize Turkey's railway network with an investment of approximately $60 billion.

The project will connect Asia and Europe, enabling Turkey to achieve a transport volume of $75 billion and play a central role in global railway transport.

The President of the Investment Office of the Republic of Turkey stated that the scope of the project includes electrification, new domestic lines, the construction of a bridge in Istanbul and the construction of a high-speed railway line between Istanbul and Ankara.

Last year, Chinese equipment manufacturer CRRC Zhuzhou Locomotive launched Turkey's fastest metro in Istanbul.

The project also trained around 200 local technical personnel, creating thousands of direct and indirect jobs. The project was a major step in developing Turkey’s rail industry. Delighted by this success, Turkish authorities are inviting Chinese railway investors to participate in more projects.

Besides CRRC Zhuzhou, other contractors are also expected to bid in tenders starting this year.

For China, the railway route through Turkey offers a faster and safer connection to Europe. Such projects have gained importance in recent years as trade relations between China and Europe have strengthened.

Due to the Russia-Ukraine conflict, logistics companies have started to prefer railways that go through Turkey, Azerbaijan and Georgia instead of Russia due to security concerns. Turkey is seen as the “weak link” in the China-Europe railway network. Any disruption could bring the entire network to a standstill. Therefore, developing infrastructure is of great importance.

Chinese investors have also launched projects in technology areas such as electric vehicles and energy in Turkey. According to a report published by the Turkish Investment Office in November, China's total investments in Turkey reached $2024 billion by mid-6. There are 1.300 Chinese companies operating in Turkey.