Although the Red Sea and the Suez Canal are still crucial gateways for international shipping and commerce, many companies have diverted their ships via the Cape of Good Hope in South Africa. But this leads to longer transit times and higher costs for Europe-bound Chinese goods. Under the current geopolitical circumstances, a land corridor may be the best route. But which one?
For many years, the Northern Corridor – connecting Europe and Asia, especially China, via the Russian railway network – has played an important role in Beijing’s transport strategy. But as a result of the war in Ukraine, and the spillover effects in the border regions of Russia, this route has also become problematic.
Beijing is now looking to increase the use of another network – the Trans-Caspian International Transport Route (TITR), also known as the Middle Corridor. This route includes about 4,250km (2,640 miles) of railway and 500km of seaway, making it faster and easier for China to ship cargo to Europe – 10 to 15 days, compared to 35 to 45 days via maritime routes. It connects China and Europe via Kazakhstan, Azerbaijan, Georgia and Turkey.
It is therefore no surprise that China Railway Container Transport Corporation recently confirmed plans to participate in the Middle Corridor Multimodal joint venture with Kazakhstan, Azerbaijan and Georgia. Beijing is also looking to build a deep-sea port in Anaklia, on Georgia’s Black Sea coast. Such a facility should be capable of handling large volumes of container and other cargo. Moreover, the port would likely strengthen the role of Georgia along the Middle Corridor.
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US-led coalition strikes Iran-backed Houthi fighters in Yemen
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Source link : https://www.scmp.com/opinion/china-opinion/article/3283102/china-and-eu-have-logistics-problem-central-asia-stands-benefit
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Publish date : 2024-10-23 08:30:00
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