China’s exports of electric vehicles, lithium-ion batteries, and solar panels—collectively known as the “new three” products—are experiencing a significant surge. Exceeding 1 trillion yuan ($140 billion), these exports have increased by nearly 30% year-on-year.
To meet the growing demand for efficient transportation of these goods to Europe, the Chinese mainland is increasingly utilizing the China Railway Express (CR Express) network. Bypassing traditional seaports, freight trains from Xi’an, a major hub city on the CR Express network, transport goods directly to European destinations.
CGTN recently visited Xi’an to explore this innovative logistics solution. The network’s efficiency has positioned Xi’an as a leader in international cargo transportation, with an annual capacity exceeding 66 million tonnes.
The CR Express offers a faster and more cost-effective alternative to both air and sea cargo. While air freight is significantly more expensive, sea freight takes considerably longer to reach Europe. The trains carry a wide range of goods, with electric vehicles emerging as a particularly strong export category.
Ma Li, head of port management at the Xi’an International Trade and Logistics Park, expressed optimism about the potential for electric vehicles in European markets. “The increase in our auto exports in recent years is largely driven by new energy vehicles,” Ma said. “From an economic standpoint, consumers should welcome our new energy vehicles. This market has great potential.”
The significance of the CR Express network extends beyond economic benefits. The increased trade volume has led to deeper international collaboration. Ma highlighted this by mentioning the presence of employees from Kazakhstan who have relocated to Xi’an to work at the terminal. Their families have integrated into the local community, with their children attending schools in the city.
The importance of the CR Express was underscored by recent disruptions in global shipping lanes. When traditional shipping routes became unreliable, the CR Express network ensured seamless cross-border logistics, maintaining the flow of goods between Asia and Europe.
Today, the CR Express network connects over 200 cities across 25 European countries. With over a thousand trains operating monthly, this land route has become a vital platform for trade and exchange between Asia and Europe. Ma concluded by expressing his belief that Xi’an is well-positioned to be a hub for further international cooperation and exchange along the Belt and Road Initiative.
Reference(s):
China Railway Express: A land bridge for China's booming tech trade
cgtn.com