Today, Hong Kong-based 3PL Kerry Logistics said it will expand its forwarding network to include Pakistan with a new subsidiary company, in a move that will address demand for South Asian trade stimulated by the China-Pakistan economic corridor (CPEC).
Kerry will offer block train and trucking services along the route, through Lanzhou Pacific Logistics, of which it acquired a 50 percent stake in July of 2017.
The CPEC trade lane, which is a part of the Chinese government’s “One Belt, One Road” infrastructure development initiative defined in 2013, is a multi-billion dollar project in itself, aiming to modernize Pakistani infrastructure and link China with Central and South Asian markets. It will span 3,000 kilometers, including roads, railways, and oil and gas pipelines running from Kashgar, Xinjiang, in northwestern China, to the Port of Gwadar in southern Pakistan.
The company has been actively moving forward with Belt-Road projects for more than a year. In June, it released plans for a new 18- to 20-day railway service connecting Europe and Asia, and a 12- to 14-day trucking service to connect China to the Caucasus region.