The Grand Canal of China Drives the Great Development of Composite Materials

In June 2024, the Ministry of Transport issued the Opinions on Strengthening the Planning and Construction of Coastal and Inland Ports and Waterways in the New Era, proposing to optimize trunk line corridors and orderly advance the expansion and upgrading of trunk waterways such as the Yangtze River, the Xijiang Shipping Trunk Line, the Beijing-Hangzhou Canal, and the Huai River mainstream, to build a water transportation main corridor running east-west and radiating north-south. The new canal projects are all part of the national "Four Verticals, Four Horizontals, and Two Networks" of high-grade waterways. The "Four Verticals" mainly include the Beijing-Hangzhou Canal, the Jianghuai Waterway, the Zhejiang-Jiangxi-Guangdong Canal, and the Han-Hunan-Guangxi Canal, which are cross-basin canal corridors; the "Four Horizontals" include the Yangtze River, the Xijiang River, the Huai River, and the Heilongjiang River, which are natural rivers and their tributaries forming water transportation corridors; and the "Two Networks" include the Yangtze River Delta high-grade waterway network and the Pearl River Delta high-grade waterway network.

Based on the national guidelines for canal economic development, local governments have also actively responded to the call, strengthening the construction and investment in inland waterway infrastructure. In November 2024, Ruichang City, Jiangxi Province, hosted the "High-Quality Development Innovation Conference for the Shipping Industry in the Yangtze River Economic Belt," where representatives gathered to form a consensus that the canal economy will drive the development of related industries such as shipbuilding, inland waterway transportation, and dock operations, and that a "hundred-billion-yuan industry" is taking shape.

According to relevant data, water transportation costs are half of railway transportation costs, one-fifth of highway transportation costs, and one-twentieth of air transportation costs. As the largest logistics market in the world, China's logistics costs remain high. In 2023, China's total logistics expenses accounted for 14.4% of GDP, with a mere 0.3% decrease over the past three years. Compared to the 7%-10% level in developed countries, there is still a significant gap. Therefore, leveraging the huge potential of water transportation is crucial.

Take the Jianghuai Canal as an example. Its navigation has completely changed the situation where water transportation between the middle and upper reaches of the Huai River and the middle and upper reaches of the Yangtze River had to bypass the Beijing-Hangzhou Canal, shortening the voyage by 200 to 600 kilometers and saving more than 6 billion yuan in freight costs for the hinterland's bulk cargo annually, reducing logistics costs for industrial enterprises along the route by 5% to 10%. China's economic landscape is changing due to canal construction. From south to north, six provinces including Anhui, Guangxi, Hubei, Henan, Hunan, and Jiangxi are fully promoting canal projects with a total investment of nearly 850 billion yuan, which can be called a "century project." The opening of these canals will completely break the bottleneck of the original water transportation system, forming a "transverse and radiating" super water transportation network.

Anhui's Jianghuai Canal has been opened to navigation, Guangxi's Pinglu Canal is planned to be completed in 2026, Hubei's Jinghan Canal is also under active planning, and Henan is planning 47 inland waterway transportation projects with a total investment of 141.6 billion yuan. The advancement of these projects will not only change the regional transportation pattern but also drive the economic development of the regions along the route.

Jiangxi: By constructing the Zhejiang-Jiangxi-Guangdong Canal, Jiangxi has achieved a waterway layout connecting the Guangdong-Hong Kong-Macao Greater Bay Area in the south, the Yangtze River Delta in the north, and extending all the way to Beijing-Tianjin-Hebei, potentially developing upstream and downstream industries with increasingly developed water transportation and resources, thereby enhancing its economic status.

Henan: Through canal construction, Henan aims to integrate into the Yangtze River Delta, overcome its shortcomings in inland waterway transportation, improve cargo transportation efficiency, and promote economic development. Henan is planning multiple inland waterway transportation projects with a huge total investment, aiming to build an inland waterway transportation industrial cluster with international competitiveness.

Anhui: The construction of the Jianghuai Canal has changed the situation where water transportation between the middle and upper reaches of the Huai River and the middle and upper reaches of the Yangtze River had to bypass the Beijing-Hangzhou Canal, shortening the voyage, saving freight costs, reducing logistics costs, and increasing corporate profits.

Hubei: Through the construction of the Jinghan Canal, Hubei plans to "cut the corner" of the Yangtze River, improving shipping efficiency, shortening the voyage, reducing transportation time, lowering logistics costs, and promoting regional economic development.

Guangxi: The construction of the Pinglu Canal has revitalized Guangxi's ports, enabling the Xijiang River to access the Beibu Gulf Port through the canal, opening up the new western land-sea corridor, promoting economic ties between Guangxi and Sichuan-Chongqing, and leveraging Guangxi's coastal advantages for access to the sea.

Hunan: The construction of the Xiang-Gui Canal has opened up dual sea access routes "north to the Yangtze River and south to the Pearl River," allowing Hunan to access the sea through the Pinglu Canal, enhancing economic ties with the Guangdong-Hong Kong-Macao Greater Bay Area and elevating Hunan's economic development level.

Other inland regions: Besides the aforementioned areas, other inland regions such as Sichuan and Chongqing will also enjoy the convenience and economic benefits brought by water transportation through the indirect influence of canals. Canal construction will facilitate economic ties between inland and coastal regions and promote economic development in inland areas.

The construction and operation of canals not only directly create a large number of job opportunities but also drive the development of related industries. From river dredging and maintenance to shipbuilding and operation, as well as warehousing and logistics along the banks, a complete industrial chain has formed.

Currently, China has entered a golden period of water conservancy development.

In October 2023, the central government decided to issue an additional 1 trillion yuan of special treasury bonds in the fourth quarter of 2023, which will be managed as special treasury bonds, with more than half of the funds allocated to the water conservancy sector.

Simultaneously, the policy on updating water conservancy equipment was released, accelerating the upgrading and renovation of related composite materials. In March 2024, the State Council issued the Action Plan for Promoting Large-Scale Equipment Renewal and Trade-In of Consumer Goods, proposing to advance the upgrading and renovation of water supply facilities such as waterworks and pressure regulation and storage facilities. In June 2024, five departments including the National Development and Reform Commission issued the Guiding Opinions on Accelerating the Development of the Water-Saving Industry, proposing to promote large-scale renewal of water-saving equipment and trade-in of consumer goods, accelerating the elimination of outdated water-using products and equipment.

Under national policies, underground engineering pipelines will undergo old-to-new engineering renovations, and composite materials are welcoming new growth points, injecting new vitality into urban infrastructure construction. In particular, continuously wound composite pipelines, pure FRP spiral pipelines, and new FRP composite pipelines, with their exceptional performance and energy-saving and environmentally friendly characteristics, are gradually becoming new market focuses.

Application of Composite Materials in the Shipping Sector

Ships and port equipment are the core of waterway transportation, operating in complex environments with strict material adaptability requirements. Composite materials possess outstanding properties that facilitate their application in the shipbuilding industry, including excellent strength-to-weight and stiffness-to-weight ratios, high durability, improved dimensional stability, increased range, flatness for stealth requirements, design flexibility, reduced fuel consumption, manufacturing and maintenance costs, lowered electromagnetic signatures, increased speed, reduced wear, low hygroscopicity, corrosion resistance, impact resistance, enhanced vibration damping properties, sound insulation, corrosion resistance, improved efficiency, high load-bearing capacity, low inertia, increased buoyancy, and high-level acoustic transparency.

Therefore, due to these superior properties, the shipbuilding industry extensively uses them as accessories and internal equipment, such as valves, piping, pumps, heat exchangers, piping, naval vessels, small ships, superstructures, masts, decks, bulkheads, machinery, propellers, rudders, propulsion shafts, equipment for military ships like destroyers and frigates, accessories for hovercraft, light frigates, torpedo launch tubes, antenna boxes, engine components, fuel tanks (water, fuel, lubricants), ferries, rotor blades, natural gas pipelines, hulls, pillars, floating platforms (such as tendons, risers, and support structures), sailing boats, yachts, and barges, superstructures, railings, nose radomes, tidal and wind turbine blades, and sonar domes.

Security Patrol Unmanned Boats

The hulls of unmanned boats for security are made of advanced composite materials, offering lightweight, high hardness, corrosion resistance, and wear resistance. The lightweight design reduces the boat's sailing resistance, enabling high-speed patrols and convenient launch and recovery. High hardness can resist wave impacts and collisions, protecting internal critical equipment. The corrosion resistance and wear resistance characteristics allow unmanned boats to perform tasks in the environment for extended periods, reducing maintenance costs and