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Multimodal Transport: The Vanguard Force of Global Logistics Innovation

In the process of accelerated iteration in the global logistics industry, multimodal transport is booming as a core engine to reconstruct the industry landscape. This innovative logistics model integrating two or more modes of transport (including road, rail, water, and air) is redefining the operational paradigm of global supply chains with its unique advantages, opening up unprecedented development opportunities for enterprises and markets.

 

Operational Models and Remarkable Advantages of Multimodal Transport

1. Seamless Transport Chain: Integrating multiple modes of transport such as sea, rail, and road. For example, in "sea-rail intermodal transport", goods are first transported by sea to the port and then transferred to rail for in-depth inland transport. This process completely breaks the limitations of single-mode transport and fully unleashes the advantageous potential of various transport means.

2. Complementary Advantage Mechanism:

    • Sea transport: Large capacity (capable of transporting tens of thousands of TEUs at a time) and low cost (ton-kilometer cost is only 1/3 of road transport), suitable for long-distance ocean transport.
    • Rail transport: Punctuality rate exceeding 98%, less affected by weather, ensuring the stability of inland transport.
    • Road transport: Flexibly implement "door-to-door" delivery, combined with rail transport to effectively solve the "first mile" and "last mile" transport challenges.
    • Air transport: Fast speed, suitable for high-value and time-sensitive goods, matching with land transport to meet diversified logistics needs.

According to authoritative industry statistics, every 1 percentage point increase in the proportion of multimodal transport in total social freight volume can reduce social logistics costs by about 0.9 percentage points, saving up to approximately 100 billion yuan in cost expenditure.

 

Global Successful Practices of Multimodal Transport: Multimodal transport has created many remarkable success stories worldwide.

In Europe, relying on its dense and efficient railway network and developed inland waterway shipping system, multimodal transport thrives. For instance, Germany has meticulously built an efficient logistics corridor connecting inland industrial cities and seaports like Rotterdam in the Netherlands by integrating water transport on the Rhine River and rail transport, greatly enhancing the global competitiveness of European manufacturing.

In Asia, China actively promotes the development of multimodal transport under the Belt and Road Initiative. Since the opening of the Western Land-Sea New Corridor sea-rail intermodal train in 2017, the number of trains has continued to rise, with an annual growth rate ranking first in the country, surging from the initial 178 trains to 8,800 trains in 2022—a staggering 48-fold increase.

 

Two-Wheel Drive of Technological Innovation and Policy Support: Technological innovation and policy support constitute two powerful driving forces for promoting the development of multimodal transport.

1. Application of Technological Innovation:

    • Internet of Things (IoT): Real-time monitoring of the entire cargo transport process, enabling enterprises to accurately grasp key information such as cargo location and transport status.
    • AI Algorithms: Big data and AI are widely used to optimize transport route planning, predict potential risks such as traffic congestion and adverse weather through in-depth analysis of massive transport data, and adjust transport plans in a timely manner.

2. Policy Support System:

    • The EU has invested 24 billion euros to upgrade multimodal transport hubs.
    • China's multi-ministerial joint issuance of the Action Plan for Promoting High-Quality Development of Iron-Water Intermodal Transport (2023-2025) provides a solid policy guarantee for the development of multimodal transport.

 

Far-Reaching Impacts of Multimodal Transport on Global Logistics

1.  Strengthened Supply Chain Resilience

  • Emergency switching mechanism: When road transport is interrupted by extreme weather, goods can be quickly transferred to rail/water transport.
  • Case: During the 2024 California wildfires, an enterprise used "sea-rail" transport to replace road transport, ensuring on-time delivery of chips.

2.  Promotion of Green Logistics

  • Emission reduction data:
    • Carbon emissions of China-Europe Railway Express are only 1/7 of road transport.
    • A British supermarket reduced carbon emissions by 8,000 tons annually (equivalent to 450,000 trees) after adopting multimodal transport.
  • Policy orientation: 67% of multinational enterprises include carbon emissions in the assessment of logistics suppliers.

3. Expansion of Market Boundaries: Remote areas that are difficult to reach due to poor transportation can, with the unique advantages of multimodal transport, be conveniently integrated into the global supply chain system, bringing new business growth opportunities for enterprises.

  • Typical scenarios:
    • Inland countries in Africa access the global supply chain through "port-rail" transport.
    • Tomatoes from Xinjiang, China, are exported to Europe via "rail-sea" transport, with transport costs reduced by 20%.

 

Challenges and Countermeasures Faced by Multimodal Transport

1.  Core Challenges

  • Non-uniform standards: Differences in container specifications, cargo handling standards, and information interface specifications lead to low efficiency in cargo transfer.
  • High coordination difficulty: Multimodal transport involves multiple transport enterprises and departments, with poor information sharing, prone to transport delays and cargo loss.

2. Breakthrough path

  • Standardization construction:
    • ISO unified container specifications (adopted by 192 countries).
    • The China-Laos Railway has achieved "one-time inspection", reducing customs clearance time from 48 hours to 4 hours.
  • Technological empowerment:
    • Blockchain platforms (such as TradeLens) realize real-time sharing of logistics data.
    • Guangxi's "single window" system reduces customs declaration time from 2 days to 2 hours.

 

Conclusion

As the global supply chain undergoes dual transformations of "efficiency revolution" and "green transition", multimodal transport has evolved from an innovative model to an industry standard. From the iron-water intermodal hubs along the Rhine River in Germany to the sea-rail trains whistling through western China, this logistics system integrating multiple modes of transport is not only a tool to reduce costs but also infrastructure to reconstruct the global trade landscape.

 

For enterprises, embracing multimodal transportation means gaining threefold competitiveness: enhancing supply chain resilience through diversified transportation routes, responding to ESG development requirements by leveraging low-carbon transportation methods, and using technological empowerment to break through geographical boundaries and explore new markets. As demonstrated by the 48-fold growth miracle of the New International Land-Sea Trade Corridor in western China, in this era of "logistics as a service", whoever takes the lead in mastering the operational code of multimodal transportation will gain the initiative in the restructuring of the global supply chain.

 

Extrans—— The Global Practitioner of Multimodal Transport Solutions
As an innovative pioneer in the industry, Extrans has established an intelligent transportation network covering the three major economic circles of Asia, Europe, and the United States. It has formed unique advantages especially in the field of intermodal transportation within the Asian region:
• Cross - border special line services:
✅ China - Vietnam border intermodal transport solutions (road/rail + air freight): Achieve seamless multimodal transport of cross - border goods between China and Vietnam.
✅ Zhengzhou - Europe freight train service: Rely on the China - Europe freight train to provide rail transport services from Zhengzhou to Europe.
✅ China - South Korea Sea & Air combined transport: Integrate sea and air freight resources to provide flexible transport solutions for cross - border goods between China and South Korea.
• Regional logistics services:
Provide regional logistics services such as freight transportation on the China - Vietnam border and long - distance freight transportation within Vietnam, helping enterprises meet their logistics needs in the Southeast Asian market.

 

For more details of multimodal transport services, you can visit the Extrans official website: https://www.extransglobal.com to learn about specific solutions such as China - South Korea sea - air services and China - Vietnam border freight transportation.

 

Contact us now to obtain an exclusive multimodal transport solution. Let Extrans, with multimodal transport as a bridge, help you overcome geographical barriers and connect to global business opportunities.

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