China says regrets Mexico's cancellation of rail deal

[BEIJING] Chinese Premier Li Kiqiang said on Tuesday he regrets Mexico's decision to revoke a US$3.75 billion offer to Chinese companies to build a high-speed railway and wants companies in China to be treated fairly.

Li made the comments after meeting Mexican President Enrique Pena Nieto at an Asia-Pacific economic summit in Beijing. His remarks were published on the Chinese government's official Weibo microblog.

Mexico last week rescinded the construction deal to a China-led consortium after the uncontested bid to build the high-speed rail prompted an outcry from Mexican lawmakers, who said it was rigged.

The consortium had won a contract to build a rail link between Mexico City and the central city of Queretaro. The group, led by China Railway Construction Corp Ltd. was the only bidder for the 210-km (130-mile) line.

Separately, the Mexican government, which has been seeking to deepen its business ties with China, said it had approved the Chinese government's indirect participation in a Mexican unit of lender Industrial and Commercial Bank of China.

ICBC is China's largest bank; the Mexican subsidiary is known as Industrial and Commercial Bank of China Mexico, S.A.

REUTERS