The Yiwu-Madrid railway boosts EU-China trade

World
Europe

02:47

This year marks the fourth anniversary of the inauguration of the world's longest freight-carrying train line, which connects the world's largest wholesale market for small consumer goods in East China's Yiwu city of Jiangsu Province with the European commodity center of Madrid.

Over the past four years, the line has helped boost economic cooperation between China and Europe. Under the Belt and Road logistic system, over 70,000 small merchants in Yiwu sell some 1.8 million goods to over 200 countries and regions in the world.

Yu Lingli is a small merchant in this market who sells handmade dolls to many countries around the world. She said thanks to the Yiwu-Madrid railway line, the transit time has been shortened greatly and the cargo is safer than before. One of her customers also said that it relieves cash flow pressure and brings big savings when it comes to delivery.

Handmade dolls at Yiwu International Trade Market./CGTN Photo

As part of the Belt and Road Initiative, all customs and inspections are completed inside the Yiwu Railway Station. After the checks, small commodities and other cargo are on their way to overseas markets along the silk route railway.

This freight railway between China and Spain takes only one-third the travel time of shipping by sea and costs one-fifth that of air freight. By the end of October, trains have made over 500 trips in both directions, carrying some 45,000 containers.

The journeys in the first half of 2018 were double compared to the same period last year. There are currently two trains a week with both countries exporting different products. It takes a little bit more than two weeks to complete a journey.

Freight trains in Yiwu, east China's Jiangsu province, China./CGTN Photo

Some in Spain say the Yiwu-Madrid Railway is bringing enormous benefits to their country. Maite Diez, a partner of Baker & Mckenzie Madrid S.L.P., said China is one of the largest investors in Spain, and Spain can benefit from the growing demand from Chinese consumers for quality European products.

“Spain has been exporting large amounts of meat, olive oil and wine and other food and beverage products, so it will represent a big opportunity for Spanish companies to use this transport to China,” she told CGTN.

The total import and export value directly generated by the railway line has reached more than 3.5 billion US dollars. Mao Wenjin, president of Yiwu to Spain Foundation, said the time of the train has been greatly shortened, but they are making more efforts to speed up the trip and provide greater services to the customers.

Apart from economic cooperation, the train line also serves as a platform for cultural exchanges between the two nations.

On November 18, around 500 people participated in a five km mini-marathon in Madrid to honor the four-year-long rail link. Runners passed some emblematic sites like the Prado Museum, the Atocha railway station and the Neptuno and Cibeles fountains. The city's officials also said the event contributed to integration of the Chinese community in Spain.

In the future, the Yiwu-Madrid Railway is sure to boost more economic cooperation between China and Europe under the Belt and Road Initiative framework.