China pledges continued support for Cambodia’s $1.7 billion Funan Techo Canal project

China has reaffirmed its support for Cambodia’s ambitious Funan Techo Canal, a 180-kilometre waterway linking the Mekong-Bassac river system to the Gulf of Thailand.

Cambodian Deputy Prime Minister Sun Chanthol said Beijing would continue backing the project during talks on September 16 with Chinese Foreign Minister Wang Yi. The two sides also discussed upgrading National Road 3 between Kampot and Veal Renh, and expanding trade opportunities through free trade agreements.

The Funan Techo Canal is expected to cost around 1.7 billion US dollars and stretch from the Bassac River through Kandal, Takeo, Kampot, and Kep provinces before reaching the sea. Construction began in August 2024, with China providing the funding.

Yang Peou, secretary-general of the Royal Academy of Cambodia, described the canal as a historic undertaking that would provide infrastructure lasting for generations. But he also stressed the importance of fair compensation for families displaced by the works, noting past development projects had left some communities without justice.

The canal’s route passes through four provinces and will directly affect around 1.6 million people living along its banks. Officials say it will ease transport, boost trade, and strengthen Cambodia’s regional connectivity once completed.

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