Israel Katz, Israel''s Minister of Transport and Road Safety, is visiting China in July to discuss China’s involvement in rebuilding Israel''s largest-ever railroad project, a venture that would connect Tel Aviv with the tourist resort city of Eilat.
Katz disclosed the news at the Israeli embassy in Beijing. It is his second visit to China within a year. As recently reported in Jewish Times Asia, Minster Katz was in China last year to establish a memorandum of understanding (MOU) on the Eilat railway project.
According to the Israeli minister, some 260 kilometers of a 370 kilometer long railroad needs to be rebuilt to achieve a transportation speed of 250 to 300 kilometers per hour. The railway would also provide a link to the ports of the Mediterranean Sea and the Red Sea as an alternative to marine transportation.
Katz added that the railway is of strategic significance because it is expected to facilitate transport between eastern and western countries.
The Israeli Minister indicated that the company that they are in discussions with is China Communications Construction Company Ltd, as they have the technological strength to undertake the project.
However, Israel Katz declined to identify which companies would be responsible for financing the project or how much investment it would involve, but he added that his delegation is discussing temporary investments with the China Export and Import Bank.
An unidentified source said that Israel’s largest-ever railroad network project involves an estimated 20 billion yuan in investment.
Katz has signed the MOU with Chinese Minister of Transport Li Shenglin on the upcoming endeavor. The Israeli minister called the MOU a monumental event that would bond ties between the two nations and commemorate the 20th anniversary of diplomatic ties between China and Israel this year.
A Chinese delegation, including representatives from the China Communications Construction Company Ltd, will travel to Israel later this month for further negotiations.
Jewish Times Asia – July/Aug 2012