Why China’s backing for Cambodian canal on Mekong River could push Vietnam closer to US

‘Historic’ Funan Techo canal, a 180km project from the Mekong River to the coast, aims to reduce Cambodia’s transport dependence on Vietnam

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Excavators at work on the Funan Techo canal, in Cambodia’s Kandal province last month. The US$1.7 billion project is expected to be partially funded by China. Photo: AFP

Orange Wangin Beijing

Published: 12:00pm, 3 Aug 2024Updated: 1:22pm, 3 Aug 2024

A China-backed canal in Cambodia could push neighbouring Vietnam closer to the US, Chinese observers have warned.

Hanoi might then be inspired to take a tougher stance against Beijing in the disputed South China Sea, one of them said, while another called for “wisdom” on both sides to minimise shocks to ties.

Phnom Penh will hold a groundbreaking ceremony on Monday for the Funan Techo canal, a 180km (112-mile) project expected to reduce Cambodia’s transport dependence on Vietnam.

The US$1.7 billion waterway, which will connect the Mekong River to the Cambodian coast, is expected to be partially funded by China.

Cambodian Prime Minister Hun Manet called the waterway a “historic” project, saying it aimed to ensure the Southeast Asian nation could “breathe through our own nose”.

However, the project has triggered waves of friction over the past few months with eastern neighbour and fellow Asean member Vietnam, which has repeatedly voiced its concerns over water security and the likely impact on its “rice bowl” Mekong Delta region.

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