China-Laos railway exceeds 56m tons in cargo volume, boosting international trade

The China-Laos Railway's "Lancang-Mekong Express" international freight train (Photo/China Railway Kunming Group Co)

The China-Laos Railway's "Lancang-Mekong Express" international freight train arrived at Wangjiaying West Station in Kunming, the capital city of Southwest China's Yunnan Province, on Sunday, reaching a milestone in total freight volume since its launch in December 2021, according to a statement that China Railway Kunming Group Co sent to the Global Times.

Since the start of operations of the China-Laos Railway, the total freight volume exceeded 56 million tons as of Sunday, including 13 million tons of cross-border cargo. Mohan Port in Yunnan, bordering Laos, has maintained a daily average of 18 international freight trains, underscoring its growing significance as a key logistics corridor, according to the statement.

"Since its opening, the China-Laos Railway has quickly advanced from basic connectivity to smooth, rapid and thriving operations, significantly boosting trade, investment and financial ties between China and ASEAN countries," a representative of China Railway Kunming Group Co told the Global Times on Sunday.

Freight activity on the China-Laos Railway has been robust this year, driven by rising demand. From January 1 to March 30, total cargo volume reached 6.1 million tons, with cross-border shipments reaching 1.5 million tons - a year-on-year increase of 10 percent. Imports included more than 12,000 tons of fruit, while Yunnan-grown products such as vegetables, potatoes and apples have become increasingly popular in Laos, Thailand and other Southeast Asian markets, boosting both the variety and quantity of exports, according to the statement.

High-tech integration has boosted efficiency along the China-Laos Railway. China Railway authorities introduced advanced customs declarations, express rail clearance, multimodal "single-document" logistics and railway-waybill financing, attracting 71 corporate clients with a combined credit line of 700 million yuan ($96.45 million). At Mohan Port, the integration of 5G, BeiDou, and artificial intelligence technology has created a smarter freight yard, significantly speeding up cargo handling, China Railway Kunming Group Co said.

Closer collaboration between China and Laos has also greatly enhanced Mohan Port's capacity and digital infrastructure. Cargo clearance times have dropped by more than 60 percent for imports and 90 percent for exports since operations began, significantly boosting regional trade and setting a new benchmark for win-win cooperation under the Belt and Road Initiative.

Leveraging the China-Laos Railway, China Railway authorities launched innovative cross-border services. They've also developed new logistics models, such as connecting China-Laos Railway routes with the China-Europe freight trains, cutting transit times from Laos and Thailand to Europe to just 15 days. Cross-border shipments now cover 31 Chinese provinces, municipalities, and autonomous regions and 19 countries and regions, including Laos, Thailand, Vietnam, and Singapore, with the variety of transported goods exceeding 3,000 products.

"The China-Laos Railway has boosted global demand for Lao iron ore, tapioca starch, rubber and bananas, and Thai fruits like durians and mangosteen, now exported widely via China-Europe freight trains and the New International Land-Sea Trade Corridor, a key logistics network connecting China's western regions to global markets," the representative said. "At the same time, Chinese machinery, tech products, and temperate produce efficiently enter Southeast Asia, supporting industrial growth and regional economic development."

Cargo transported via the China-Laos Railway reached 11.2 million tons in 2022, rising to 17.81 million tons in 2023 and further increasing to 19.64 million tons in 2024, according to China Railway Kunming Group Co.