The handover of the China-funded Timure Dry Port in Rasuwagadhi, Nepal, has become uncertain after a flash flood caused significant damage to the under-construction facility. The dry port, which had achieved 81 percent physical progress, was scheduled to be transferred to the Nepali side by March 2026. However, following the disaster early Tuesday morning, the timeline for reconstruction and final handover remains uncertain.

The flood, triggered by an overflow of the Lhende River near the Rasuwagadhi border point, also destroyed the vital Friendship Bridge and severed the road link between Nepal and China through this corridor. The Lhende River, also known as the Bhotekoshi River, which enters Nepal at this point and joins the Trishuli River, rose dramatically on July 8, damaging infrastructure and leading to the disappearance of at least 18 people, including both Nepali and Chinese workers, as well as police personnel, according to the Rasuwa District Administration Office.

The dry port, financed through an RMB 2.16 billion Chinese grant, was being developed as a key hub for Nepal-China trade. With the Rasuwagadhi border now inaccessible, trade activities are expected to temporarily shift back to the Tatopani border point, which, along with Rasuwagadhi, is among the two most active of Nepal's 14 northern border crossings with China. An integrated check post is also under construction at the Korala checkpoint in Mustang, with Chinese assistance.

Ashish Gajurel, Executive Director of the Nepal Intermodal Transport Development Board, confirmed that discussions with the Chinese side regarding reconstruction are yet to begin. “Work was progressing toward a planned handover in March 2026, but the flood damage has changed that. At this point, there has been no formal discussion on how or when reconstruction will proceed,” he said.

Preliminary assessments indicate that over Rs 800 million in damage has occurred. According to Gajurel, a 400-meter retaining wall has been washed away, along with key infrastructure such as the warehouse foundations, and parking areas. Around 60 percent of the structures already completed are also entirely destroyed.

Despite the extensive damage, authorities plan to rebuild the dry port at the same location, as there are no viable alternative sites nearby. “Even though it's near the river, there's no other option,” Gajurel stated.

The dry port project was first agreed upon in a Memorandum of Understanding signed between Nepal and China in October 2014. The design was finalized in 2015, but actual construction only began in December 2022 by Tibet Fuli Construction Group Co. Ltd. The original target for completion was June 2025, later revised to March 2026. The recent flood damage now raises the prospect of further delays.

Spanning 2,080 square meters, the dry port’s design includes a 5,000-square-meter administrative complex, a 750-square-meter warehouse, and parking space for up to 350 containers. It was also planned to include two customs inspection points. The facility had been envisioned as a strategic asset to enhance trade connectivity between Nepal and China.