Congestion at Chinese borders leads to a temporary halt in exports

24.03.2023

Exports from the Chinese dry ports of Khorgos, on the China-Kazakhstan border, and Manzhouli, bordering Russia, will be stopped until 26 March. The suspension started on 11 March, with some exceptions made for specific trains and key material containers.

A number of industry insiders highlighted that China Railways has issued a suspension order, claiming the congestion at the stations of the ports as the main reason. Concerning the Manzhouli dry port, the exemptions include China Railway Express, containers, and key materials. As for Korgos, the exemptions include China-Europe and Central Asia trains, containerized commercial vehicles, and key materials.

Such suspension orders are not uncommon. On 2 July 2022, China Railway issued an emergency suspension order, announcing that all the goods loaded at the Alashankou and Khorgos border crossings at all stations along the road will be suspended. This suspension was a little shorter than the current one in Khorgos and Manzhouli, having lasted for less than a week.

The cause may be wagon shortages in Russia

The industry insiders said that the current suspension may be linked to wagon management in Russia. Russian Railways needs to schedule the supply of wagons for domestic and transit transport, leading to a lack of wagons for international transport. The goods, therefore, cannot enter Russia and consequently cause congestion at the border crossings involved. Chinese dry ports are not the only example of this type of congestion: transit countries are as well.

For example, Mongolia had about 2,100 40-foot containers waiting for transshipment at the Zamyn-Uud port, in the southeast of the country on 14 February. In order to solve the congestion, the railway representatives of Mongolia, Russia, and China held consultations at the China-Mongolia-Russia Railway Representative Meeting in early February and decided to increase the number of trains exchanged daily will to 15 broad-gauge trains and 8 narrow-gauge trains, adding three trains in total.

Analytics on topic
Report
27.11.2020
Report
27.11.2020
The Eurasian Landbridge: Implications of Linking East Asia and Europe by Rail

The Eurasian landbridge has contributed to increased sustainable connectivity between the EU and China during the decade of the 2010s. Felicitously, this market-driven development preceded, and also complemented, major foreign economic policy announcements by China and the EU and reinforces their goal of increased connectivity. The resulting connectivity is likely to survive any bilateral political debacles because the economic foundation is strong

Report
02.02.2024
Report
02.02.2024
Outlook for trade and transport links between Uzbekistan and Belarus

Belarus is restructuring its foreign trade logistics, looking to new markets, intensifying cooperation with countries that are already importing Belarusian products. Belarus is looking for new transport routes through Central Asian countries, particularly Uzbekistan.