Shipping And Air Cargo Supply Shortage Makes China Europe Railway A Key Export Channel

As the demand for shipping and air freight exceeds supply, the China-Europe Railway Express has become a vital export channel for foreign trade. The dispatch volume of the China-Europe Railway Express from Yiwu has significantly increased, leading to severe truck unloading queues and urgent bookings by foreign trade enterprises. Especially in the context of high shipping costs and uncertain timeliness, the advantages of the China-Europe Railway Express have become increasingly apparent, making logistics transportation a key focus for companies.
Shipping And Air Cargo Supply Shortage Makes China Europe Railway A Key Export Channel

As the global economy continues to evolve, the logistics and transportation sector faces unprecedented challenges and opportunities. The China-Europe Railway Express has emerged as a crucial player during this period, experiencing surging demand as maritime and air freight markets grapple with severe imbalances and skyrocketing prices.

The city of Yiwu in Zhejiang province, often regarded as a bellwether for China's foreign trade, has demonstrated remarkable transportation capacity and resilience during these challenging times.

Record-Breaking Growth in Rail Freight

As of December 4, the Yixinou China-Europe freight train service has operated 874 trips this year, transporting 72,140 standard containers —a staggering 106.4% increase compared to the same period last year. This explosive growth not only reflects Yiwu's vibrant foreign trade activity but also underscores the railway's expanding capacity and its current high-intensity operations.

To accommodate the swelling demand, operators have been proactively establishing new routes and increasing train frequencies to alleviate pressure on rail exports.

Bottlenecks at Yiwu West Station

The transportation boom is visibly evident at Yiwu West Station. On December 5, container trucks formed queues stretching over a kilometer, with drivers from as far as Ningbo and Shanghai waiting patiently—sometimes for more than a day—just to access the unloading area.

"The waiting time to enter the unloading zone takes at least a full day, sometimes even longer," reported one truck driver, echoing the concerns of many about growing uncertainties in logistics operations.

Since July, long queues have become commonplace at the station. Workers operate around the clock, using heavy machinery to load and unload containers at a rapid pace. Despite dispatching 3-5 freight trains daily , the station struggles to meet container demand from across the country, particularly with year-end holiday preparations further intensifying shipping pressures.

Shifting Strategies Among Exporters

With ocean freight capacity severely constrained, export businesses are scrambling to secure January slots well in advance. A manager at a gift packaging manufacturer serving European clients explained their predicament: "Logistics has become our biggest concern. While ocean freight rates remain exorbitant, delivery delays are eroding our products' market competitiveness."

"Even with the approximately 20% price increase on the China-Europe Railway, our clients still prefer it over ocean shipping for its superior delivery speed."

Facing these transportation constraints, exporters are adopting more cautious ordering strategies. One company representative noted they aim to finalize all order details by December 10 to secure space on upcoming trains, ensuring holiday season deliveries.

Capacity Challenges and Industry Response

Freight forwarding companies report unprecedented inquiry volumes for January 2021 slots. The primary challenge has shifted from pricing concerns to pure capacity limitations, making supply chain stability the top priority for businesses.

The Yixinou service has dramatically increased operations since July, recently handling a record 329 container cars in a single day and exceeding 110 monthly trips —clear indicators of its growing importance in global supply chains.

The Road Ahead

To meet robust demand, operators continue expanding routes and adding dedicated trains, gradually building an efficient continental logistics network. These measures not only increase shipping frequency but also provide more reliable support for international trade.

As the China-Europe Railway network continues to optimize and expand, analysts expect it to maintain its competitive advantages in global trade. This development promises to boost regional economies, enhance international commerce, and contribute to worldwide economic recovery efforts.

The evolution of logistics infrastructure depends not just on physical expansion but also on its ability to adapt to shifting global economic conditions and market demands. The China-Europe Railway's success in this new commercial environment demonstrates both remarkable adaptability and significant market potential. Continued service improvements and operational innovations will be essential for maintaining its leadership in international logistics.