California seeks China investment for high-speed LA-Frisco line

CALIFORNIA has signed a memorandum of understanding with China's Ministry of Railways for investing in the state's high-speed rail plans, Reuters reported.

The agreement was signed during California Governor Arnold Schwarzenegger's recent Asian visit to China, Japan and South Korea. "We look to China to build our high-speed rail, to be part of the bidding process that we are going to go through," said Mr Schwarzenegger in a speech in Shanghai.

"Many countries will be bidding to build our high-speed rail,[and we plan] also to look for financing from China," said Mr Schwarzenegger said.

California intends to build a high-speed railway between Los Angeles and San Francisco by 2020 at an estimated cost of over US$40 billion. California is one of the top exporters to China, with volumes exceeding $9.7 billion in 2009.
(Source:www.schednet.com)