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Russia's Vladivostok Port is becoming a hub port for cross-border transportation of domestic trade goods in China

24 May 2023

By Jennifer Chang.    Photo:Griffin Wooldridge

China's General Administration of Customs announced recently that Russia's Vladivostok Port is becoming a hub port for cross-border transportation of domestic trade goods in China  and Jilin and Heilongjiang provinces can use this to shorten the distance of cargo transportation. Jilin Province has further expanded the business scope of cross-border transportation of domestic trade goods, adding Russia's Vladivostok Port as a transit port for domestic trade goods, and Zhoushan Yongzhou Container Terminal and Jiaxing Zhapu Port in Zhejiang Province as ports of entry for cross-border transportation of domestic trade goods. This announcement will be implemented from June 1, 2023, which will promote trade between China and Russia while reducing land transportation costs.

 

Cross-border transportation of domestic trade goods refers to the mode of transportation in which China's domestic trade goods are shipped from a port in China's customs territory and shipped overseas to another port in China's customs territory. Northeast China is an important production and storage center for energy, raw materials, and food crops in mainland China. However, due to limited transportation capacity, it is difficult to transport materials from Northeast China to the South in a timely manner. It is difficult for other parts of the mainland to effectively use these important resources.  Jilin Province and Heilongjiang Province have no sea outlets for a long time, and they need to go through transit to deliver goods. The overland distance between the two provinces to reach the port of Liaoning is usually more than 1,000 kilometers, and the transportation cost is very high. This mode of transportation not only increases the cost and time cost, but also restricts the economic development of these provinces. The distance to Vladivostok is only about 200 kilometers, which can significantly reduce transportation costs. After a long period of seeking communication with Russia, the General Administration of Customs of China finally announced that Vladivostok, Russia will become a transit port for cross-border transportation of domestic goods in the mainland. This great news has brought important opportunities for the economic development of Jilin and Heilongjiang provinces.

 

Vladivostok  was once a part of Chinese territory and is now one of Russia's important port cities. It is located in the northeast of the Eurasian continent and at the southernmost tip of the Amur Peninsula. It is relatively close to Northeast China, and it is also one of the important channels for Chinese trade to and from Europe and other places. The report pointed out that since 2022, the trade volume between China and Russia has increased greatly, the capacity of container ships from ports in southeast China to the port of Vladivostok has increased, and the return cargo capacity of ships has increased.  The conflict between Russia and Ukraine broke out, Russia was decoupled from the European and American world, and was continuously sanctioned by many countries. Moscow’s dependence on Beijing increased again, so Russia agreed to provide Vladivostok  to China for transit, which is also After a lapse of more than 100 years, the Chinese regained possession of this important seaport.   Ocean freight has indeed become one of the most important modes of transport for international trade in modern society, as it is often more cost-effective than other modes of transport. Having a good seaport can really have a positive impact on the economic development of an area, as it means that goods can be moved in and out of the area more easily, thus facilitating trade and commerce. The Far East is becoming the center of world economy and trade, and the Russian Far East region  has the most abundant resources in the entire East Asia region. In the face of future resource shortages, the Russian Far East region will be the most advantageous region in Asia

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