China has made every effort to increase the railway transport since the foundation of the Peple's Republic of China. In 1995, Chinese railways reached 54, 615 km.
The transport distance is now 2.50 times longer than that in the foundation in 1949 and 1.12 times longer than that in the start of market-oriented reform and open-door policy in 1978.
Ministry of Railways has succeeded in modernization of railways such as electrification, double tracking and making larger the freight car. China is expect to continue 8% economic growth rate for the next fifteen years. The production of coal is estimated at 1.4 billion tons in 2000, and 2.0 billion tons in 2010.
The shortage of investment in railways will bring the shortage of the railway trans-port.
I think that the tailway trasport, if it is insufficent to invest in railway transport would be bottole-neck of the production of coal in China. It is also necessary that both the waterway transport and road transport are expanded and strengthend by investments. Thus coal and railway are essential to Chinese economy.
This paper expects that appropriate policy on the transport of coal is quite necessary for the sound economic growth in the future.
