A research note of the European Union Academic Programme (EUAP), Hong Kong (Issue 15, 2 June, 2015) shows how “China’s One Belt, One Road” (OBOR) initiative is poised to link China’s trajectory to become the world’s largest economy to the heart of Europe.
Download EU Business News & Insights_Issue 15_One Belt One Road implications for the EU
The note, written by a Research Associate (my namesake with no family or other connections) points out that well before the launch of OBOR, direct rail links were rapidly being established between key cities in the heartlands of Europe and China. These include Chongqing to Duisburg, Germany in 2011; Wuhan to Pardubice, Czech Republic in 2012; Chengdu to Lodz, Suzhou to Warsaw, Poland and Zhengzhou to Hamburg in 2013; Yiwu to Madrid in 2014; and Wuhan to Hamburg in 2015.
Most of these routes and new ones through the overland Silk Road Economic Belt go through Central Asia (Kazakhstan),Russia and Belarus.
These rail links cut transport time from 30-45 days by sea to 12-21 days and are 4-5 times less expensive than air freight. They are also greener in carbon footprints.
The Maritime Silk Road will connect China’s south eastern and southern coastal cities with Europe (Venice and Athens) via India and Africa.
Through a $50 billion Silk Road Fund and a new Asian Infrastructure Investment Bank (AIIB), China will be investing in strengthening much-needed transport infrastructure, including port facilities, that are set to embed China into Europe and Europe in China towards closer partnership and common destiny.
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