While the European Union (EU) tariff tensions continue, the railway connection between China and Poland was opened. China is Poland’s second largest trading partner. On the other hand, Poland ranks 26th among China’s top export destinations.[1]
The first regular railway connection between the two countries was realised as part of a project aimed at strengthening trade. The new railway connection is recognised as part of Beijing’s strategy to expand its trade networks and could open up new opportunities for Europe to export products to Asian countries.[2]
Today, the dynamics of global trade have made fast and reliable logistics solutions mandatory. In this context, China-Poland railway connection gains importance as a new transport corridor between Asia and Europe.
Magdalena Rybicka, Director of the Institute of Asian Studies at the Vistula Academy of Finance and Business Administration, stated that Poland’s railway connection to China could be used to export Polish products to China. According to Rybicka, this could work in Warsaw’s favour and change the balance of trade with China. However, the railway connection could also be affected by the situation on the Polish-Belarusian border and the growing tensions with Minsk.[3]
The China-Poland railway line, also called the modern Silk Road, is a project with a long history. First launched in 2013, this project is part of China’s Belt and Road Initiative. This railway connection between the two continents aims to increase trade between east and west and significantly reduce logistics costs between Asia and Europe.
The China-Poland railway line runs from the eastern and often inland regions of China to Poland via Kazakhstan, Russia and Belarus. This railway network is characterised by its large freight capacity and fast transit times. Thanks to modernisation and infrastructure improvements, rail transport is no longer an alternative but a choice. Strategic factors have also played a role in making it a choice.
Economic Integration: The rail link provides fast and economical access from China’s production centres to Europe’s consumption markets. This increases trade volumes and reduces supply chain costs.
Alternative Transport Route: Compared to sea transport, railway offers a faster and more reliable option. The fact that it is more economical especially compared to air transport causes it to be preferred for the transport of high value goods.
Strategic Connection: The railway connection between Europe and Asia is also geopolitically important. This connection strengthens the trade relations of both regions and creates a strategic cooperation platform.
Advantages:
- Fast and Reliable: Provides faster and on-time delivery compared to sea transport.
- Reduced Cost: More economic than air cargo transport.
- Environmental Impacts: Lower carbon footprint.
Disadvantages:
- Infrastructure and Technical Standards: Differences in infrastructure and technical standards between different countries can cause problems.
- Customs and Regulations: Customs procedures and regulations of various countries can slow down transport.
- Costs: Costs may be higher than alternative transport methods, especially for short-distance shipments.
It is expected that in the future the capacity of the China-Poland railway connection will increase and more countries will be integrated into this network. However, geographical, political and economic challenges may hinder the expansion of this project. Political instability and border barriers at the transit points, especially through Russia, may limit the potential of the railway connection.
The China-Poland railway link is a strategic project that changes the dynamics of global trade and strengthens the logistics integration between Asia and Europe. Although this railway line is likely to become even more important in the future, there are still many obstacles to overcome. With the advancement of global trade and economic integration, the role and influence of the China-Poland railway link will increase.
This railway is a strategic bridge for trade between Asia and Europe. It supports economic growth while at the same time increasing the efficiency of global trade by reducing logistics costs and ensuring timely delivery. In the future, further optimisation of this railway network is inevitable. This is a positive development for global trade and economic integration.
As a result, the China-Poland railway connection can grow and develop further in the future. Technology and infrastructure improvements will allow this line to become faster and more efficient. The line could play a critical role in deepening trade relations between Europe and Asia if the Russian-Ukrainian war ends.
[1] “Poland-China”, OEC, https://oec.world/en/profile/bilateral-country/chn/partner/pol, (Access Date:10.07.2024).
[2] “AB tarife gerginlikleri ortasında Çin-Polonya demiryolu bağlantısı açıldı”, Euronews, https://www.euronews.com/2024/07/10/china-poland-rail-connection-inaugurated-amid-eu-tariff-tensions, (Access Date:10.07.2024).
[3] Ibid.