作者： adminf

As of August 25, a total of 3,037 trains and 291,186 teUs (teUs) of goods have passed through Manzhouli and Suifenhe ports, the eastern passage of China-Europe freight trains, up 35.5% and 44.6% year on year respectively, China Railway Harbin Bureau Group Co., LTD announced Monday.

Since 2013, the first China-Europe freight train service through Manzhouli port has shown a trend of sustained and rapid growth, and has now exceeded the 10,000-train mark. Since the beginning of this year, Manzhouli Station has operated more than 300 China-Europe freight trains every month for five consecutive months, breaking the 2,000 train mark 45 days earlier than the same period last year.

Suifenhe port, the largest port to Russia in Heilongjiang Province, set a record of 61 china-Europe freight trains in a single month in July this year, achieving double-digit year-on-year growth for 15 consecutive months and exceeding 300 trains for the first time this year.

It is worth noting that since the beginning of this year, 58 China-Europe freight trains have started from Heilongjiang Province, up 61% year on year. Goods exported to Russia, Poland, Germany, Czech Republic, Belgium and other countries accounted for 50.5% of local goods, with a value of 188 million US dollars, up 66.2% year on year.

Since the beginning of this year, 100 percent of china-Europe freight trains have returned via the Manzhouli and Suifenhe railway ports, and 52 inbound and outbound china-Europe freight trains have reached 13 European countries, mainly in the southeastern coastal areas of China, and covering 60 cities including Tianjin, Changsha, Guangzhou and Suzhou.

Sheet metal, kraft paper and candy from Russia and hardware and auto parts from Poland have been operated in a row, driving the rapid development of the return train. In addition to traditional goods such as raw materials and agricultural products, more and more food, consumer goods and cross-border e-commerce goods are transported by return train.

Data showed that the China-Europe freight trains entering and leaving China through Manzhouli Station ran 2,714 trains and sent 262,010 teUs of goods, up 27% and 36.3% year-on-year respectively. The China-Europe freight trains entering and leaving Suifenhe Station ran 323 trains and delivered 29,176 teUs of goods, up 207.6% and 218.7% year on year respectively.

The number of freight trains in operation has reached a new record high, showing a trend of sustained and rapid growth, and actively serving as a bridge for mutual benefit of countries along the belt and Road.

We used to joke that our country was an infrastructure freak, building railroads, Bridges, buildings, etc., all of which were built on steel, and high demand for steel meant high demand for iron ore. However, it is regrettable that China is not a country rich in iron ore reserves, although China’s iron ore reserves ranked fourth in the world, but because China has a large population, so the average number of iron ore per person is not much. In addition, China’s iron ore quality is relatively poor, and most of the 300, 400 meters deep underground, so that the mining cost is high. Because of this, China is heavily dependent on imported iron ore, which accounts for about 90% of its output, 69% of which is from Australia and 19.7% from Brazil. Due to rely heavily on iron ore, and rely heavily on Australian iron ore, lead to the way foreign break through for iron ore chock the lifeblood of our country iron and steel industry (of course, the abroad is also a kind of loss, after all, they couldn’t find another like internationally in countries with high demand for iron ore in China). In this case, why don’t we vigorously develop waste steel recycling, but to import iron ore from abroad?

Why not recycle old steel?

In fact, our country has always been recycling old steel, but our country began to vigorously develop infrastructure at the end of last century, so far only 20-30 years of history. Because of its short history, much of the steel is still in use and cannot be recycled. Secondly, China’s development speed is very fast, the demand for steel is also very large, and the waste steel is far from meeting our demand for steel, so we still need to make steel from iron ore. In addition, the supply of scrap steel is unstable, and the price fluctuates greatly in the short term, so that enterprises can not control the cost, so they prefer to import iron ore from abroad. More importantly, the quality of waste steel in the market is different. After recycling waste steel from the hands of residents, manual sorting and transportation are needed, which increases the operating cost, so that the selling price of waste steel has no advantage compared with iron ore.

Moreover, in order to ensure the efficiency of large steel plants, their machinery and equipment are made to adapt to the calcination process of iron ore. And the recycling of waste steel needs matching equipment, which increases the cost input of enterprises. From the above factors, enterprises are more inclined to use iron ore, rather than the use of scrap steel. But in order to protect the environment, there are also some enterprises will use recycled old steel, but the output of recycled old steel is not high.

Why import iron ore?

As we know, our country has vast territory and abundant resources, and many important mineral resources can be found in our country, so why do we need to import iron ore from abroad?

This is actually because of the high cost of iron ore in China. First of all, because most of the iron ore in China is lean ore, that is to say, the iron content in iron ore is not high, so it is difficult to extract iron. In addition, most of the iron ore in China is a composite ore with multiple elements, so that the quality of iron ore is not the same. However, Australia is not only rich in mining, but also mostly open-pit mining, with lower mining costs. Even if sold at a lower price, it can still earn profits, so it is more competitive in the international market. Moreover, it is difficult to form scale effect because of the small reserves of iron ore in China. However, the ore in Australia is not only of high quality, but also of large reserves, which is easy to form scale effect and further reduce the mining cost. In addition, China’s iron ore is mainly transported by railway and land, and the transportation cost is high. And in Australia, it’s mostly by sea, so shipping costs are low, so even importing iron ore is still much cheaper than mining it ourselves. However, it is precisely because China is heavily dependent on iron ore, which leads to a disadvantageous position in the negotiations with Australian iron ore. It is difficult to control the pricing power, so that China can only import at a high price.

The solutions are as follows: developing alternatives to iron ore; Improve the utilization efficiency of waste steel; Importing iron ore from more countries to spread the risk; Investment in foreign iron ore enterprises, but these methods can not be implemented for the time being, can only hope that we can find a better solution later.

Conclusion

The reason why it is difficult to use waste steel in China is that:

Scrap steel production is small, difficult to meet the needs of enterprises.

Waste steel transportation, sorting and other links are too many, the cost is high, when the cost is not low.

Modern enterprise equipment is mostly built to adapt to iron ore, it is difficult to digest waste steel.

The reason why we need to import iron ore from abroad at a high price is really out of necessity. After all, China’s iron ore reserves are not high, and the quality is not high, so the cost of using domestic iron ore is high, so we can only import iron ore from abroad.

With much of Southeast Asia locked down and air and sea transport restricted, cross-border road freight demand in Southeast Asia is surging, while e-commerce sales are booming.

According to DHL Global Forwarding, road logistics is fast becoming a reliable alternative to air and sea freight affected by the outbreak.

“Road freight is now playing a more important role in Asia’s international long distance transportation solutions as it provides an economically efficient and sustainable option,” said Thomas Tieber, CEO of DHL Southeast Asia.

Indeed, the company has been a strong supporter of the region’s road freight potential. In December, the company noted that trucking companies had begun to shift more to overland intermodal transportation, including long-haul trucking to Europe, rather than just intra-Asian transportation.

Ceva and DSV Panalpina are also quick to recommend Silk Road freight to supplement the rapidly growing china-Europe rail traffic, and even a local company in Malaysia has deployed trucks along the route as they grow tired of the delays and capacity shortages plaguing container shipping.

DHL believes that the economic recovery in ASEAN countries will lead to a surge in demand for road logistics services, with an annual growth rate of 8 per cent until 2025.

“The growth of e-commerce consumer spending and B2B e-commerce, which is expected to grow 70 percent by 2027, is also driving demand for door-to-door logistics solutions,” it added.

DHL also believes that the ASEAN Customs Transit System (ACTS) will enhance cross-border road freight. Launched last year, ACTS allows trucks to cross multiple ASEAN borders and offers a single guarantee of tariffs and taxes throughout. So far, 500 cars have been licensed to operate.

Kelvin Leung, CEO of DHL Asia Pacific, added: “This bodes well for ASEAN countries as they prepare to rebound strongly from the outbreak.”

However, The lockdown in Southeast Asia due to the outbreak poses additional challenges, Says Kelvin Leung. “We are following the containment measures that each country has put in place, and sometimes those containment measures can affect daily operations,” he said in an interview.

At the same time, DHL says a growing number of customers are also turning to road freight for short – and long-haul hauls to reduce carbon emissions.

Air transport from Jakarta to Bangkok via Singapore would not only cut carbon emissions in half, it said, but also save 35 per cent on costs compared with direct flights. Similarly, trucking from Singapore to China can reduce the carbon footprint by 83% compared with air freight.

According to Business Insider, ports in southeastern New England were closed by the US Coast Guard on August 22 as tropical Storm Henry brought strong winds and heavy rain to the region.

The Coast Guard said in a statement late Saturday that several ports, including Narragansett Bay and Mount Hope Bay, were under Hurricane Zulu alert, meaning they were closed to ships due to strong winds.

Previously, the port had been under “Yankee” status, meaning tropical or hurricane-force storms were expected to make landfall at the port within 24 hours.

Tropical storm Henri and the resulting port closures come amid a recent surge in shipping costs that has slowed and caused massive shortages of goods across the global supply chain, which was severely disrupted by last year’s COVID-19 pandemic and made worse by the blockade of the Suez Canal earlier this year, the report noted.

Business Insider reports that major global shipping alliances have cut traffic between Asia and Europe by 22 percent over the spring of 2020, while operators have cut capacity between Asia and North America by about 20 percent.

In 2012, after Hurricane Sandy hit the East Coast, the U.S. Coast Guard reported $70 billion in damage to more than 180 ports in the region that would take months to recover.

Wildfires in the Western United States, flooding in China and Europe and drought in South America have disrupted supply chains for everything from wood to chocolate to rice for sushi, CNBC reported.

Christy Slay, senior director of science and research applications at the Sustainability Alliance, said: “Whether you’re in the agriculture sector, the forestry sector or the technology sector, virtually no industry is immune to the effects of climate change”.

CNBC notes that about a quarter of the wood consumed in the United States comes from Canada, which is experiencing severe droughts and wildfires. Brazil is suffering its worst drought in more than a century, partly as a result of a surge in coffee futures prices in July, which almost doubled from a year earlier. While the increase has not yet been passed on to consumers, experts say price increases will come soon. Even pearl rice, used in sushi, has been hit. Two-thirds of the crop consumed in the United States is grown in California, which faces water shortages due to drought and wildfires, and rice crop production requires a lot of water.

Extreme weather events can also disrupt supply chains because workers cannot find jobs. According to a recent report by the United Nations Development Programme, workplace disruptions caused by climate change could result in more than $2 trillion in lost productivity by 2030.

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Under the epidemic, the new economy represented by the digital economy quickly fills up its seats to provide protection for everyone’s needs in life. “Cloud Office”, “Cloud Fitness”, “Cloud Concert”, “Cloud Recording”, “Cloud Release”…a business format about “cloud” became standard, which even detonated the term “cloud economy”. Although some people do not understand this concept very well, they have actually participated in it.

There is currently no uniform definition of “cloud economy” in academic circles. Some scholars define “cloud economy” as the economy of cloud computing and cloud services. Joe Weinman, the author of “Cloud Economics-Enterprise Cloud Computing Strategy and Layout”, explained that “cloud economics” is not an esoteric economic theory. The mathematical model is a vivid summary of the technological revolution, the core concept of “flexible cloud computing can effectively enhance the business value of enterprises”. The “cloud economy” we are talking about today mainly defines the business trend of enterprises and society under the massive application of cloud computing.

Since the country put forward the “Internet +” action plan in 2015, “Internet +” has been widely integrated into all walks of life, and the continuous innovation and integration of online scenes and offline scenes has promoted retail, finance, culture and entertainment, medical care, government affairs and other fields The rapid development and the “Internet +” that incorporates artificial intelligence technology is a technology cluster application. From pure software intelligence in the past to hard and soft intelligence today, it has changed people’s daily life and the overall industrial structure. Promoting the consumption upgrade of the market has also played a positive role and has become one of the signs leading the innovation and development of enterprises and society. In this special period of epidemic prevention and control, people rely on online work and life. It is generally believed that this is another rapid development trend in the Internet industry after SARS, which may provide more opportunities for entrepreneurship and employment, or even form new ones. The economic outlet of China-“Cloud Economy”.

Whether it is facial recognition and body temperature measurement equipment, or online check-in and attendance systems, all walks of life are launching various “cloud”-related products. When the market is advancing by leaps and bounds, we should maintain a rational mindset and be cautious and objective about the “cloud economy”. The popularity of the “cloud economy” during this period is mainly affected by the isolation of people at home during special periods, but the most fundamental driving factor is the rapid development of my country’s Internet and logistics industries in recent years. After the epidemic is over, it is a question mark whether the “cloud economy” can continue to be prosperous after being separated from the consumption environment of everyone’s home. In a short period of time, its impact on economic development and entrepreneurship and employment is still limited.

However, it should be noted that during this epidemic, consumers at home took the initiative to apply various “cloud economy” products, which I believe has provided a lot of support for the development of the “cloud economy” industry. The epidemic brings short-term pressure, but also brings opportunities for changes in the industry structure. Take “Cloud Classroom” as an example. The “Suspension of Classes without Suspension” this time is a test of online education. Some pain points such as poor self-control of students in online education have been exposed, and it is believed that the promotion of solving these pain points will become ” The next focus of “wisdom education”. In addition, the formulation and improvement of the “cloud economy” development policy will bring benefits to the better promotion of the development of the “cloud economy” in the future.

After this epidemic, we must not only see the reasons behind the “cloud economy”, but also find new “outlets” from the aspects of economic and social development and lifestyle changes. The government, enterprises and other diversified entities should increase integration and innovation mechanisms to truly endow this new economic form with more vitality and impetus.