Zhao Jian estimates that the operating losses of the Beijing to Guangzhou line will reach 700 million yuan every year. In the meantime, other lines, such as the Beijing-Tianjin Intercity train and the Beijing-Shanghai high speed rails, have said they would slow train speeds and lower ticket prices to make ends meet.
"Although ticket prices for the high-speed train are three times higher than that of other railways, the high-speed line will still see a loss. When the technological standards for high-speed trains were set and their market positioning was done, the prices were then fixed. So the question is why didn't we have any further discussion about technological standards and market positioning at the beginning of high-speed railway construction?"
Currently in China, migrant workers and students are the main rail travelers, followed by tourists and businesspeople, so the majority of travelers using trains are relatively sensitive to high ticket prices.
Because of expensive tickets, trains running between Wuhan and Guangzhou, a section that was completed and went into operation earlier than the rest of the Beijing-Guangzhou line, often run with empty carriages.
Although the high-ticket prices cannot cover the costs of operating the line, passengers still complain about unaffordable prices.
Qiu Baochang, a lawyer specialized in consumer rights protection in Beijing, says the situation is caused by insufficient transparency in setting prices.
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