DHL, Ukrainian Railways and Center of Transport Service Liski to drive rail connectivity between China and Ukraine

January 21, 2021 - 06:56
DHL, Ukrainian Railways and Center of Transport Service Liski to drive rail connectivity between China and Ukraine

  • Thethree companies entered into a Memorandum of Understanding to create better connectivitybetween China and Ukraine
  • AChina-Ukraine transport corridor will bring European customers closer tobusinesses in Asia

SHANGHAI, CHINA - MediaOutReach - 21 January 2021 - DHLGlobal Forwarding ("DHL"), the international freight specialist arm of DeutschePost DHL Group, Ukrainian Railways, and the Center of Transport Service Liski(CTS Liski), the logistics division of Ukrainian Railways, signed a Memorandumof Understanding (MOU) to develop rail connectivity between China and Ukraine. Thethree companies will endeavor to create better connectivity between the twocontinents to facilitate trade, namely from Asia via China to Ukraine and otherEuropean markets, and from Europe via Ukraine to China and other Asian markets.


"There is a lot of excitement for those watching tradedevelopments between China and Ukraine. Further to China's newly-establishedposition as Ukraine'stop trading partner, recent reports have revealed Ukraine's plans to startnegotiations on a free trade agreement with China. I am convinced that thispartnership to create rail connectivity will expand trade flows betweenbusinesses in Asia and Europe when it comes into fruition and in turn, contributetoward the deepening of trade ties between the two countries," said SteveHuang, CEO, DHL Global Forwarding Greater China.


With a population of 40 million, Ukraine is one of thelargest European countries by population. The Eastern European country is strategicallylocated at the crossroads of the Belt and Road between Russia and Turkey, withaccess to the Black Sea and the Sea of Azov. The enhanced rail connection wouldprovide Asian businesses access to the Baltic States, Belarus, and the Nordiccountries. Goods from neighboring countries can be consolidated in Kiev, thecapital of Ukirane and sent by rail to China for onward dispatch to variousAsian markets using either air or road freight.


"The memorandum betweenUkrainian Railways and DHL provides for the organization of container trains, attraction of additional cargoand the geography expansion of transportation. In fact, this is a new level ofcooperation and a completely different operating level of CTS Liski," saidVolodymyr Zhmak, Chairman of the Management Board of Ukrainian Railways.


Ukraine'strade with Asia is on the rise. China, Ukraine's top agricultural importer,consumed USD1.41 billion worth of agricultural products in the first half of2020, and ASEAN countries have seen their imports of Ukrainian goods increaseby 48% since 2016.


"This collaboration is the mark of a momentous milestone forthe China-Ukraine rail corridor. We look forward to working with DHL andUkrainian Railways to develop and speed up containerized rail freight betweenChina and Europe, particularly Eastern Europe, and the inter-regional trade opportunitiesthat this will bring businesses in Ukraine and our neighbors," said EdvinsBerzins, CEO of CTS Liski.


Snapshot: DHL GlobalForwarding's Multimodal Freight Network along China's Belt and Road Initiative

As the pioneer in innovative multimodal shipping solutionsfrom China to Europe, DHL has been offering a suite of innovative and flexiblemultimodal solutions since 2010, which connects Chinese mainland, Taiwan China,Japan and Southeast Asia to Europe.

  • WestCorridor: Fastest connection between Europe, and new emerging inland Chinesehubs of Chengdu and Xi'an among others; supporting high-tech, automotive, andretail manufacturers located in Western China with cost-effective access intoEuropean markets
  • NorthCorridor: From China's Eastern & Southern coast via Trans-Siberian Railwayto Moscow, and further to Poland and Germany; it connects China's engineeringand manufacturing hubs in Yangtze & Pearl River deltas to pan-Europeandemand in 18-20 days
  • SouthCorridor: Traverses three Central Asian countries -- Kazakhstan, Azerbaijan, andGeorgia -- as well as Caspian Sea before arriving at Istanbul in 12-14 days
  • Seatransit: Connecting Japan, Korea and Taiwan China to Chinese mainland via ferryservices, for onward journey to Europe; as well as Shanghai to Europe viaPiraeus, Greece
  • Road connection: linkingmanufacturing base in Vietnam, and South East Asia to Europe


Note toeditors:

Relations between China and Ukraine are flourishing, andDHL is supporting this growing partnership by establishing better railconnectivity between Europe and Asia. Readabout it anddownload infographics here.

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