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Boosting China-Europe Trade: The Role of Rail Efficiency and Infrastructure

Boosting China-Europe Trade: The Role of Rail Efficiency and Infrastructure

December 1, 2024 Catherine Williams - Chief Editor World

China-Europe Freight Train Service: Driving Economic Growth

The China-Europe freight train service is crucial for trade between China and the European Union (EU). It supports industries that need quick and reliable shipping. Olaf Krueger, chairman of the International Rail Freight Business Association, highlighted the service’s importance in an interview with Xinhua.

The upcoming arrival of the 100,000th China-Europe freight train in Duisburg, Germany, marks a significant achievement for this rail link. Krueger noted that this service enhances trade and supply chain efficiency.

Krueger remarked, "Rail transport has greatly contributed to strong economic growth between China and the EU." The service developed as part of the Silk Road, particularly for time-sensitive shipments.

Railway workers have successfully reduced transit times. Krueger praised them for overcoming challenges, such as transferring cargo at the China-Kazakhstan border during heavy snow.

Under the Belt and Road Initiative (BRI), this railway has become a reliable option for goods needing prompt delivery. European firms now rely on the railway for stable and timely deliveries.

Importers of Chinese products benefit from shorter transit times. Companies with production sites in China use the rail service for transporting materials swiftly.

The retail sector also gains from this service. Many discount chains ship non-food promotional items using the China-Europe Railway Express. Krueger noted that retailers increasingly demand timely services, which the express service effectively provides.

As demand for rail services grows, especially from central and western China, Krueger stressed the need for expanding railway infrastructure. This expansion is vital, especially when other transport methods face restrictions.

Krueger proposed improvements to the European rail network and logistics hubs. He pointed out that Italy is a major consumer market with rising import and export needs. More logistics terminals in Italy would enhance container usage on both trips.

He also called for better rail links to ports like Piraeus in Greece. Strengthening connections in Southern and Eastern Europe will improve efficiency and promote economic ties.

Krueger concluded, "Efficient transport connections are essential for deepening diplomatic relations between China and the EU."

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