United News of Bangladesh

Chinese company Jingye Group has demanded compensation from the British government, saying it suffered major financial losses after the UK nationalised British Steel last week. In a statement posted on WeChat on Sunday, Jingye criticised the UK government's decision, saying it had damaged Britain's reputation among international investors and violated international investment rules. The company said it had started negotiations under bilateral investment agreements and reserved the right to pursue international arbitration if necessary. Jingye also claimed it would represent British taxpayers in seeking legal action against the UK government and British Steel's management, although it did not explain how it planned to do so. "The UK ignored Jingye's continued investment and significant contribution and was only willing to offer almost no compensation," the company said. The UK government took operational control of British Steel last year after Jingye warned it was considering shutting down the blast furnaces at its Scunthorpe plant in northern England. The site is the UK's last facility producing "virgin steel" directly from raw materials. Last week, the UK government announced it had formally nationalised the company, saying the move would protect thousands of jobs and ensure a domestic supply of steel for major infrastructure projects and the country's defence sector. British officials said an independent assessment would determine whether Jingye is entitled to any compensation. British Steel has been producing steel at its Scunthorpe plant for more than 130 years and currently employs around 2,700 workers. Jingye acquired British Steel in 2020, saying at the time that it had rescued the company from financial collapse. China's Foreign Ministry also criticised the UK's decision on Saturday, warning that the way the dispute is handled would affect Chinese investors' confidence in Britain's business environment. The ministry urged the UK to respect market principles and contractual obligations and to reach a solution on compensation that is acceptable to both sides. It added that China supports companies in protecting their legal rights through lawful means.

Chinese company Huarun Tex Co. Ltd. is set to invest US$30 million to establish a textile manufacturing factory at the Bangladesh Export Processing Zones Authority (BEPZA) Economic Zone in Mirsharai of Chattogram. Once fully operational, the factory will produce 24,000 tonnes of yarn and 20 million metres of grey woven fabric annually, while creating employment opportunities for 580 Bangladeshi nationals, said a press release. A land lease agreement was signed between BEPZA and Huarun Tex Co. Ltd. at the BEPZA Complex in Dhaka recently. Md Tanvir Hossain, Member (Investment Promotion) of BEPZA, and Bin Wang, Managing Director of Huarun Tex Co. Ltd., signed the agreement on behalf of their respective organisations. BEPZA Executive Chairman Major General Mohammad Moazzem Hossain witnessed the signing ceremony. Speaking on the occasion, the BEPZA Executive Chairman thanked Huarun Tex Co. Ltd. for selecting Bangladesh, particularly the BEPZA Economic Zone, as its investment destination. He said BEPZA remains committed to providing a safe, modern and investor-friendly business environment and assured the company of full support to ensure the smooth implementation and operation of the project.

Chinese firm China Communication Construction Company Limited (CCCCL will be appointed as service provider for the Bangabandhu Sheikh Mujibur Rahman Tunnel under Karnaphuli River in Chattagram. Cabinet Committee on Government Purchase (CCGP) at a meeting approved a proposal in this regard on Wednesday. The same company has been engaged by the government to build the tunnel and its associated infrastructure. As per the proposal, the Chinese company will collect the toll from the tunnel user vehicles and also conduct its operation and maintenance work at a cost of Tk 983.82 crore for a five-year tenure. However, the toll structure for the vehicles has yet not been determined by the government. The under-construction Tunnel is the first underwater expressway in the country, expected to be open to traffic by the end of 2022. According to officials of the project, 86 per cent of the tunnel construction, including the construction of the main tunnel and the approach roads in Chattogram, has been completed. Read:Construction companies claim "breakthrough" in Bangabandhu Tunnel work The main tunnel is 3.32 kilometres long. It has two tubes, each 2.45 km long, and has a diameter of 10.80 metres. Each tube will consist of two lanes. The tubes are 12 metres apart from each other. There will be a 5.35 km connecting road on the west and east ends of the main tunnel, along with a 727-metre long bridge. The tunnel goes under the Karnaphuli at the Patenga Naval Academy point in the port city to a depth of 18m to 31m to Anwara Upazila on the other side of the river. Officials believe there will be better connectivity between the tourist city Cox’s Bazar, southern Chattogram and the rest of the country once the tunnel is open. It will also decrease the number of vehicles using the two bridges over the river. South of the river in Anwara lies the Korean and Chinese export processing zones, the CUFL factory and Parki Beach. All routes to Cox's Bazar, Banshkhali and Matarbari power station and deep seaport go through Anwara. Work on the project began in December 2017. But the pace of work was a bit slow during the coronavirus pandemic. Official said the construction of the two tubes of the tunnel under the river has already been completed. The first tube took 17 months to complete, but the second one was completed in 10 months. Structural work on the tunnel is currently ongoing. Jointly funded by Bangladesh and China, the initial cost of the project was estimated at Tk 9880 crore. The cost was subsequently revised up to Tk 10,374 crore. END/UNB/

Bangladesh Railway has signed an agreement with a Chinese firm to procure 580 meter-gaudge wagons, involving Tk 318.63 crore, with a view to expand its freight services across the country. Project director concerned Mohammad Mizanur Rahman and Dai Zien, vice-president of  CRRC Corporation Limited (CRRC) signed the agreement on behalf of their respective sides on Tuesday. Read: 3214 acres of railway land under illegal occupation: Minister Railways Minister Md Nurul Islam Sujan was present at the signing ceremony. “The government has taken various projects to establish rail communications in different parts of the country. Besides, an initiative has been taken to expand rail connectivity with the neighbouring countries,” said the Minister. The Chinese company will provide the wagons within 18-30 months of the deal, he said. Already five Bangladesh-India inter-change points out of eight have been launched and the work on the rest inter-change points is underway, he added. Read:Railways Minister seeks Russian investment in railway sector Rail communications with Mongla Port has been established and the work to inaugurate the Cox’s Bazar rail line by December next year is going on in  the full swing, said the Minister. Director General of  Bangladesh Railway Dhirendra Nath Mazumder, Railways secretary Selim Reza were, among others, present.