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Xinjiang new economic hub

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THE Urumqi International Land Port Area, located in Northwest China’s Xinjiang Uygur Autonomous Region, has been playing a vital role in constructing the region as a core area of the Silk Road Economic Belt while contributing to the development of China Belt and Road Initiative. The rapid growth of the region will further enrich the Belt and Road Initiative and fuel the region’s opening-up. The land port area will witness the construction this year of multiple projects, including an international grain and oil trading centre, cold chain warehouses, and a 5G technology-based smart land port management system, which will facilitate the growth of China-Europe freight train services. Together with these new projects, the land port area, supported by other facilities, such as a multimodal transportation centre and an international express centre, will help Xinjiang build a transportation and business hub in the core area of the Silk Road Economic Belt, gathering strategic resources and consolidating global supply chains. With a planned area of 67 square kilometres, containing the Urumqi China-Europe railway express hub and a comprehensive bonded zone, the land port area is a landmark project in the construction of the core area of the Silk Road Economic Belt.

Since its construction began in 2015, the land port area has attracted over 30 billion yuan ($4.45 billion) in investment and attracted more than 340 companies. A cross-border e-commerce project has also been established there. The land port area had operated more than 5,900 China-Europe freight train trips via 21 routes linking 26 cities in 19 European and Asian countries and regions by June 2022. The trains carry over 200 categories of goods, ranging from daily necessities and garments to mechanical equipment and building materials, according to China Railway Urumqi Group Co Ltd, a regional branch of China State Railway Group Co Ltd, the national railway operator.

When visiting the Urumqi International Land Port Area during his inspection tour in Xinjiang last week, President Xi Jinping noted that the region has transformed from a relatively enclosed hinterland into the forefront of opening-up, as the country promotes the expansion of opening-up, the development of the western regions and the joint building of the BRI. China’s westward opening-up policy has greatly benefited Xinjiang’s development.

Maritime transportation aside, the company has already used the China-Europe freight train service to import raw materials from Europe, such as motors and wiring harnesses, to support its production in China. Demand for key industrial parts and material, driven by Chinese automakers’ orders, especially new energy vehicle makers, will keep soaring in the coming months. Since the opening of the China-Europe and China-Central Asia freight train services, Horgos Port and Alataw Pass, both major rail ports in Xinjiang, have recorded a combined number of more than 50,000 inbound and outbound freight train trips.

China will continue to deepen its cooperation to encourage more companies from economies participating in the BRI to join certification programs such as the Authorized Economic Operator agreements and other policy initiatives. Under the program, advocated by the World Customs Organization, customs authorities from various regions form partnerships with industry to jointly reduce barriers to customs procedures and enhance international trade efficiency. Urumqi International Land Port is a vital hub in constructing Silk Road Economic Belt. The land port with a planned area of 67 square kilometres is an important hub connecting the two economic belts of Asia and Europe as well as the closest logistics hub of the China Railway Express to Europe (Urumqi) route to Central and Western Asia and Europe.

In the first ten months of 2023, the number of China-Europe freight train trips rose by five percent to 10,575. More than 1,100 trips were made from Xinjiang through the China-Europe (Central Asia) freight trains, with 887 trains departing from the Urumqi International Land Port Area during the period. Among the 887 trips made, around 810 were bound for Central Asia, with the rest of the trains heading to destinations across Europe. Local cargos from Xinjiang are typically steel, PVC and agricultural products. The trains also deliver domestic cargos transported from the rest of the country such as home appliances and clothing.

The major destinations across Europe include Germany and Italy with Holland being the furthest destination. More than 7,300 China-Europe freight trips were made by trains departing from the Urumqi International Land Port Area, with 21 routes reaching 19 countries and 26 cities. Total trade of Xinjiang from January 2023 to October have reached 219.19 billion Yuan ($30.02 billion), recording a year-on-year increase of 51.2 percent. Chinese exports have reached 184.71 billion Yuan while the imports topped 34.48 billion Yuan. I am witness to this massive development of China. The difference between exports and imports of China reflects level of its economic stability. Every time when I visit China I find its development touching new horizons. Pakistan needs to learn from Chinese economic model of development.

—The writer is editor, book ambassador political analyst and author of several books based in Islamabad.

Email: [email protected]

 

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