Apr 4, 2023 thatsymlog There are no comments

As of March 27, In 1750, a total of 2,29 trains (China-Europe/Central Asia) passed through the Khorgos station, carrying 8,1 million tons of cargo, which means an increase of 2% year on year. This means that the threshold of 10 million tonnes was exceeded 2022 days earlier than last year. ¼ of trains running between China and Europe/Central Asia passed through Khorgos in XNUMX. Demand for road transport from China to Europe is currently not high. First, from January to April this year. It's low season for the transport industry. Secondly, given the low sea and rail freight rates, customers tend to use ship or rail unless the goods require urgent delivery

 

  1. Maritime transport

After the January/February season, China/Europe sea freight rates have stopped falling and volumes are increasing. Although no significant changes are expected in the first half of the year, it seems that the darkest period is behind us. Current port congestion has largely returned to pre-pandemic levels and port operational efficiency has improved significantly. Some carriers have started to raise their rates but continue to cancel or suspend flights.

Many ships and empty containers are held up in Chinese ports. It is reported that 40 TEU containers are now piling up at Ningbo Beilun Port, down 000% from 30 TEU in February.

Due to weak consumption in global markets, traders received fewer orders. To win more customers, the trucking industry entered a price war. Long haul and full truck loads declined while orders for short haul and LCL loads increased.

The earthquake in Turkey caused the port of Iskenderun to shut down and a large amount of cargo was diverted to the nearby port of Mersin, causing severe congestion at the port and bringing the terminal closer to its maximum loading and unloading capacity. As a result, CMA CGM announced additional charges due to congestion.

 

 Spot Rates (China-Europe)

 Drewry's WCI on March 30:

 

Shanghai-Rotterdam: $1479/FEU, -1% or $11 weekly

Shanghai-Genoa: $2285/FEU, 2% or $36 weekly

 

Rates offered by forwarders:

China-Europe (special rates): $1000/FEU, $550/20GP

Shanghai-Hamburg: $1289/40HQ

Shanghai-Rotterdam: $1287/40HQ

Shanghai-Antwerp: $1287/40HQ

 

  1. Railway transport

Transit times from China to Europe remain short, taking an average of 15 days from Xi'an to Małaszewicze or Budapest and 18 days to Duisburg. Departure delays at major Chinese stations have also been shortened. Transshipment time on the border of China and Kazakhstan is on average 3-5 days. The number of non-standard trains increased, while the number of regular trains decreased.

April slots to Europe are available for sale. Recently, container rental fees have fallen, while the prices of container trailers to Xi'an Railway Station have slightly increased.

Due to track expansion, shipments to and from Central Asian countries (Uzbekistan, Turkmenistan, Kyrgyzstan and Tajikistan) will be suspended at Alashankou/Dostyk port from April 1 until the end of 2023. Shipments to Central Asian countries will now be transported either by road or continue by rail, crossing the border via the Khorgos railway port.

The Moscow region in Russia will resume in April this year. cold chain trains to China. Cold chain goods, including all kinds of meat and dairy products, will be transported from Moscow to Chengdu and Xi'an in China. Refrigerated rail transport was suspended in 2020 due to the COVID outbreak.

As of March 27, In 1750, a total of 2,29 trains (China-Europe/Central Asia) passed through the Khorgos station, carrying 8,1 million tons of cargo, which means an increase of 2% year on year. This means that the threshold of 10 million tonnes was exceeded 2022 days earlier than last year. ¼ of trains running between China and Europe/Central Asia passed through Khorgos in XNUMX.

 

  1. Road transport

Demand for road transport from China to Europe is currently not high. First, from January to April this year. It's low season for the transport industry. Secondly, given the low rates for sea and rail freight, customers tend to use ship or rail unless the goods are urgent.

However, some shipping companies still announce 10-20 full e-commerce loads from China to Europe every week. Freight forwarders specializing in battery shipments are also recording an increase.

Almost all the way from China to Europe is now a highway, and there are also enough amenities along the main highway corridors, such as gas stations, rest areas and restaurants. It is estimated that more than 50 Chinese companies are now engaged in road transport, while before the outbreak of Covid-19, only 3 companies delivered goods to Europe by truck. Some Southeast Asian countries have also started transporting goods to Europe by road, transiting through China.

Road transport is still in its early stages of development and is not yet well understood. Although there are many border crossings between China and Kazakhstan, the infrastructure at many border crossings is not good enough. Trucks cross the border mainly through Alashankou and Khorgos.

Add to this the fact that the trucks used in the EU and CIS countries are different, reloading at the border of Kazakhstan and China is now a must. Whether the trucking industry will develop quickly depends mainly on how geopolitical tensions develop. So far, trucks from Kazakhstan/Belarus/Russia cannot enter the EU through the Poland/Belarus border crossings, so customers are reluctant to choose road transport.