Thailand pushes forward with $30 billion Landbridge Project

Thailand is considering reviving its long-discussed Landbridge Project, a proposed $30 billion transport corridor linking the Gulf of Thailand and the Andaman Sea, Reuters reported.

The proposal calls for the construction of two deep-sea ports in Chumphon and Ranong, connected by a 90-kilometer standard-gauge railway. If completed, the project could provide an alternative route for cargo moving between the Pacific and Indian oceans, reducing reliance on the congested Strait of Malacca.

According to Reuters, the corridor would also include highways, local roads and connections to Thailand’s existing rail network. The government estimates the project could reduce logistics costs and shorten transit times for some shipments traveling between Asia and the Middle East.

Thai officials say the project is intended primarily for regional feeder shipping services rather than the world’s largest container vessels. The current proposal focuses on transport and logistics infrastructure and excludes the petrochemical and refinery developments featured in earlier versions of the plan.

However, analysts have questioned whether the corridor could compete economically with existing maritime routes through the Strait of Malacca. Local communities along the proposed route have also raised concerns about potential impacts on fishing, agriculture and the environment. Investor interest has remained cautious due to the project’s high cost and uncertain commercial viability.

The initiative is currently under review. A government-appointed panel is reassessing the project and previous impact studies, with its findings expected by the end of July. Regulators have also ordered a new environmental and health impact assessment, meaning the project remains in the planning stage.