BMW logistics eyes more rail express freight to China

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BMW plans to utilize more China railway services to transfer goods eastbound, BMW logistics manager said on Wednesday.

The German luxury automaker has been using China Railway Express (CRE) since 2011 as an alternative way to carry their goods to their plants in China, including production materials, engine parts and after-sales components, BMW's logistics and transportation planner Nobert Dierks told Xinhua.

Dierks said BMW opted for CRE as it is time-saving when compared to maritime transportation, and it is cost-saving when compared to airlift.

"We used to carry our components to nearby harbors and transfer them via sea route, but we had some punctuality issues. And that's why we chose CRE as an alternative. It is always in time," Dierks said.

He noted the delivery time via CRE, from BMW's German plants to China's industrial district in the northeast region, in 2011 was about 30 days. But now in 2017 it takes around 17 days.

The trans-continental freight provides services to 28 European cities. Since March 2011, more than 3,500 trips have been made and the figure is expected to rise to 5,000 by 2020, according to the China Railway Corporation.

Dierks added that BMW will utilize the services more in the future, not only for cost-efficient reasons but also out of environment-protection thoughts.

BMW estimates that CRE had helped reduce its carbon emission by around 15,000 tons in 2016, Dierks said.

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