11 hours ago
- Business
- Business Recorder
Turkey's Pasifik Eurasia, China Railway unit sign rail transport deal
ISTANBUL: Pasifik Eurasia Lojistik said it has signed a railway transport agreement with a subsidiary of China Railway to launch cargo train services along a corridor from China passing through Turkey into Europe, bypassing Russia.
Ten train services will be operated initially, with the goal of reaching 1,000 services per year.
The partnership with the state-owned company overseeing railway logistics across China is expected to accelerate freight volumes along what is known as the Middle Corridor.
The Middle Corridor is a China-Europe cargo route promoted by the West as an alternative to shipments via Russia, and it includes Kazakhstan, Azerbaijan, Georgia and Turkey.
The agreement will ensure time and cost advantages when compared to the North Corridor via Russia, parent company Pasifik Holding Chairman Fatih Erdogan said.
'The cost of transporting through the Middle Corridor provides a 500-1000 dollar advantage per container compared to the Northern Corridor following the Ukraine-Russia war,' Erdogan said.
The agreement will also accelerate the current 25-35 days average duration from China to Europe, compared with 40-53 days through the other route.
