(Yicai) July 1 -- China invested CNY1.2 trillion (USD167.5 billion) in transportation infrastructure between January and May, funding a series of major engineering projects. This spending will further drive demand, economic growth, and job creation, according to the transport ministry.

Investment in roads reached CNY860.7 billion (USD120.1 billion) and in waterways CNY87 billion (USD12.1 billion) over the five months, supporting 83 major projects in 27 provinces and regions, the ministry revealed at a press conference yesterday.

China, which has the world's largest high-speed rail network, its largest expressway network, and a slew of world‑class ports, spent CNY3.8 trillion on transportation infrastructure last year, adding nearly 50,000 kilometers of new highways and five new airports.

Major transport projects require a high level of investment, have considerable social impact, and strong multiplier effects, Zhao Minglin, a senior official in the ministry’s policy research office, said at the briefing. They can help expand domestic demand, stabilize growth, and boost employment, he noted.

The National Development and Reform Commission, China’s top state planner, has emphasized the crucial role of rail, road, and waterway upgrades in lowering logistics costs and integrating the home market under the government’s "dual circulation” strategy, a policy framework aimed at creating a more self-reliant economy while also maintaining engagement with the global economy.

According to the transport ministry’s planning department, freight volumes reached 23.08 billion tons in the first five months of this year, a 4.1 percent annual gain. The number of inter-regional passenger trips rose 4.7 percent to 28.64 billion, though urban passenger transport trips fell 2.2 percent to 43.1 billion, per the data.

Editor: Tom Litting