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China (Chongqing) Pilot Free Trade Zone Upgrades Int'l Logistics Services

By VIVIAN YANICHONGQING|Apr 14,2021

China (Chongqing) Pilot Free Trade Zone (FTZ) has innovated to upgrade its international logistics services and international logistics channels welcomed better connectivity and international logistics distribution center’s greater influence, local authorities said recently.

Chongqing has established distribution centers for imported vehicles, cross-border e-commerce, fast-moving consumer goods, electronic materials and components and introduced the Bosch (China) logistics distribution center project, according to the Chongqing Municipal People’s Commerce.

The year 2021 marks the fourth anniversary of the pilot FTZ. In 2020, Chongqing tried to develop new strengths in inland opening-up at a faster pace.

The year 2021 marks the fourth founding year of China (Chongqing) Pilot Free Trade Zone. (iChongqing file photo)

West China (Chongqing)-ASEAN cold chain distribution center of agricultural and sideline products in Jiangjin District had launched 12 regular cold chain expresses for Southeast Asian countries. The year 2020 witnessed 5,050 imported vehicles, 28.21 million cross-border e-commerce goods, and 850 million yuan (about 130 million U.S. dollars) worth of imported drugs processed by respective distribution centers.

According to Chongqing Port and Logistics Office, the city upgraded the construction of international logistics channels in the following fields: mechanism innovation, quality improvement, institutional innovation, and development of a multimodal transport logistics system featuring logistics channels in all directions as well as coordination among the four modes of transport involving highways, railways, waterways, and air routes.

New International Land-Sea Trade Corridor

Southwards, New International Land-Sea Trade Corridor (ILSTC) saw breakthroughs. Chongqing Transportation Holdings Group obtained eight Greater Mekong Subregion Road Transport Permits in January 2021. As the first holder of such permits in inland China, Chongqing entered a new stage in its direct participation in the Lancang-Mekong Cooperation.

By relying on the Belt and Road, New International Land-Sea Trade Corridor, and other outward passageways, it can also take on the heavy responsibility of China’s economy’s external circulation. (iChongqing file photo)

In 2020, rail-sea intermodal transportation, international railway transportation, and cross-border highway transportation saw 1,297 and 160 trains and 2,821 shuttle buses departed from Chongqing, respectively, an average growth of over 100%. The Chongqing-centered ILSTC had reached 260 ports in 96 countries.

By the end of 2020, about 3,500 railway TEUs had been delivered via rail-sea intermodal transport. The total cost for each container had decreased by around 1,000 yuan, and the time for customs clearance had shortened by 40%.

China Railway Express (Yuxinou) to Europe

Westwards, China Railway Express (Yuxinou) to Europe celebrated new high-quality development achievements, and Chongqing was approved to establish a collection center for China Railway Express trains. The city opened China’s first “China Post” China Railway Express (Yuxinou) block train, which transported over 20 million international parcels in 2020, ranking first in China. 2,431 China Railway Express (Yuxinou) trains, an increase of 60%, transported goods valued at 90 billion yuan, up 65%, also ranking first in the country.

Yangtze River golden waterway

Eastwards, Chongqing tapped potentialities, improved the efficiency, and expanded the golden waterway of the Yangtze River; ships regularly traveled to and fro between Chongqing and Shanghai. The city also took the lead in China to pilot the “departure confirmation” in customs transit for goods imported via water transportation, increasing efficiency by 40%.

Chongqing completed the test on Guoyuan Port container regular ships, and shipping on the Jialing River achieved historical breakthroughs. The number of trains running between Chongqing and Ningbo doubled.

Guoyuan Port is also one of the four major open platforms created by Liangjiang New Area. (iChongqing/ Vivian Yan)

 International Railway Logistics Channel

Northwards, Yuman’e (Chongqing-Manzhouli-Russia) International Railway Logistics Channel witnessed a respective growth of 65% and 137% in the number of trains and goods’ value new development in size and quality.

Chongqing celebrated further progress in developing an international aviation hub, with the number of international air routes reaching 101. Chongqing Base of Air China Cargo, the city’s first cargo base airline, was established.

In 2020, Chongqing Jiangbei International Airport saw 34.94 million passengers, ranking fourth in China; welcomed growth in the cargo throughput, which reached 411,000 tons. It’s worth mentioning that the international cargo throughput was 151,000 tons, ranking first in west China.

Thanks to the holistic logistics system, Chongqing was able to keep shortening the time needed for customs clearance and reducing the compliance cost.

Specifically, in 2020, the customs clearance time for import and export had been cut by over 65% and 90%, respectively; the regular charge for import/export of a single container had been reduced to less than 400 U.S. dollars.

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