BEIJING: China and Cambodia have agreed to build safe and stable supply chains and strengthen cooperation in transportation infrastructure, they said in a joint statement released by China’s Foreign Ministry on Friday.
The two countries also signed a deal to construct a major canal, which Cambodia hopes will transform its economic fortunes.
The agreements came after Chinese President Xi Jinping’s three-nation tour of Southeast Asia, which included stops in Vietnam and Malaysia.
The trip was part of Beijing’s effort to consolidate economic and trading ties with close neighbors.
“China supports Cambodia in building the Funan Techo Integrated Water Conservancy Project in accordance with the principles of feasibility and sustainability,” the joint statement said.
The canal project, which was previously estimated to cost $1.7 billion — nearly 4 percent of the country’s annual gross domestic product — and stretching 180 km, is now valued at $1.16 billion with a length of 151.6 km, the Cambodian government said in a separate statement.
The statement showed that it will be financed through a public-private partnership, with Cambodian investors holding a 51 percent stake and Chinese investors holding 49 percent.
China also commended Cambodia’s efforts in cracking down on illegal online gambling and telecom fraud in the joint statement, with the two countries agreeing to strengthen law enforcement cooperation further.
Before Xi’s visit, the Cambodian government said it had deported to China several “Chinese criminals,” including people from Taiwan, in a move that angered Taipei and was praised by Beijing.
The two countries also agreed to establish a ministerial dialogue between their foreign and defense ministers to facilitate coordination on major strategic issues.