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Volvo Cars first to benefit from China’s ‘One Belt, One Road’

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The cars have been transported to Belgium via the recently opened, China-Europe railway link. Volvo Cars says that the connection brings down the time it takes to transport vehicles to Europe by two thirds compared with the naval route, meaning customers receive their car faster after ordering.

Swedish auto maker Volvo Cars has become the first automaker in the world to export China made cars to Europe by train via China’s new ‘One Belt, One Road’ trade initiative, said the company in a media statement.

The first set of Volvo S90 sedans, built at its Daqing plant in China, will arrive at a distribution centre in Zeebrugge, Belgium this week.

The cars have been transported to Belgium via the recently opened, China-Europe railway link. Volvo Cars says that the connection brings down the time it takes to transport vehicles to Europe by two thirds compared with the naval route, meaning customers receive their car faster after ordering.

The train route ties Volvo’s global manufacturing and logistics strategy to the multi-billion euro trade flows between China and Europe and the so-called One Belt, One Road initiative that seeks to revive the age old Silk Road trade route for a new era of global trade.
The railway link also illustrates how China is turning into a global manufacturing and export hub for high-end consumer products.

Volvo was the first Western car maker to export a China-made car to the US in 2015 with the S60 Inscription. In November of last year Volvo started building top-end variants of its S90 sedan in Daqing for global exports, and will soon be building all S90 vehicles in the factory for global export.

Each of the Volvo-dedicated trains traveling between Daqing and Zeebrugge carry around 225 Volvo cars, which are transported in specially designed containers.

One container holds three cars at different angles in order to maximize the use of space available inside. Special fixtures ensure that the cars are fastened during transport and do not move.

Initially, trains will depart from Daqing once a week. The plan is to increase this frequency in line with growing volumes.

The first S90 sedans will arrive in Zeebrugge on May 31, the same week as China’s Prime Minister Li Keqiang visits Belgium. In connection with his visit in the country, Li Keqiang is also scheduled to meet with Volvo Cars’ chairman Li Shufu and CEO Håkan Samuelsson.

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