**BEIJING, August 2025** — China has officially established the Xinjiang–Tibet Railway Company (XTRC) to oversee the construction and operation of a major new rail project linking Hotan in Xinjiang with Lhasa in Tibet. The company is wholly owned by the China State Railway Group and has registered capital of 95 billion yuan (approx. US$13.2 billion).

The proposed Hotan–Shigatse section will connect with the existing Lhasa–Shigatse line, together forming a roughly 2,000-kilometer strategic rail corridor running from China’s northwest into the Tibetan plateau.

This project is part of a broader plan to build a 5,000-kilometer plateau rail network centered on Lhasa by 2035, integrating Tibet with neighboring provinces and enhancing connectivity to border regions.

Parts of the planned route are reported to run near the Line of Actual Control (LAC) between China and India, which gives the project additional strategic importance. However, the exact alignment and proximity have not been fully disclosed.

The XTRC’s business scope extends beyond rail operations, including real estate, tourism, accommodation, catering, and infrastructure services aligned with railway development.

The project faces formidable engineering and environmental challenges. These include high-altitude terrain averaging over 4,500 meters, harsh winter temperatures, permafrost zones, glaciers, and low oxygen levels.

As of now, the project is in planning, design, and survey phases for certain sections, with expectations of construction beginning in parts this year. Full deployment across the corridor will likely take longer.

This rail link builds on China’s ongoing expansion of Tibet’s rail network, with plans to increase Tibet’s total railway mileage to over 5,000 km by 2035, creating stronger connections to Qinghai, Sichuan, and Yunnan provinces while also enhancing links to border and land-port areas.

Source: NDTV