The Chinese Embassy in Cambodia has strongly refuted media reports claiming Beijing has withdrawn from the controversial Funan Techo canal project, dismissing the allegations as “complete nonsense.”

The reports suggested China had pulled out of the US$1.7 billion project, which will connect Phnom Penh to the Gulf of Thailand, due to disagreements over project control. However, the Chinese Embassy countered these claims by reaffirming its continued involvement.

The canal project has faced regional scrutiny, with concerns from Vietnam and the United States over its strategic implications. Environmental groups have also voiced alarm about potential threats to fragile ecosystems and local agriculture.