New transportation routes connecting Europe and Asia

In recent years the idea of the “Silk Road” has become more essential as a result of economic life center dislocation to Asia. Today this idea shapes up as a “New Silk Road” conception, advanced by the PRC Chairman as early as in 2013 under the slogan “One belt – one road”.  Therefore among the key topics discussed during the Astana economic forum held in Kazakhstan on May 25th -26th, 2016 there was not only establishment of economic affairs along the “Silk Road” but also construction of well-balanced economies in the Central Asian countries, developing on the basis of knowledge, innovations, creations of free-trade zones.     

The global strategy, including the projects “Economic belt of the Silk Road” and “Sea Silk Road of the XXI century”, intends the implementation of the scale plan of transportation infrastructure construction: rail and auto roads, pipelines, port terminals on the way from the China Western boundaries across Central Asia countries and Iran to Europe. Implementation of the project is to generate intensification of economic development of the Eurasia territories, as well as South and South-Eastern Asia, Middle East and Africa and correspondingly growth of winning trade relationships. 

In 2015 China suggested to create a joint China-Mongolia-Russia economic corridor. The main point of the corridor is to connect the Chinese idea of the Silk Road economic belt “One belt – one road” construction, Mongolian idea “Steppe road” and Russian idea of transeurasian corridor creation. In whole the conception is to include land part, comprising three rail road corridors, and the sea route. In the future the rail road corridors will be accompanied with the auto ones. It is possible that the arctic route will be introduced as well.

It is no wonder that the competition for the choice of the particular routes escalates around the abovementioned scale projects, despite unconfirmed payback of cargo transportation from China to Europe. Kazakhstan centers on construction of the gas pipeline Beinei-Bozoi-Shymkent, transit road Western Europe – Western China. Tadjikistan suggests alternative routes: supply of gas to China from Turkmenia and construction of the road from Iran to PRC. Singapore is interested in the development of sea transportations and integration of the Silk Road countries in financial sector. Estonia and Latvia got in line to offer services of cargo transshipment. Russia successfully reconstructs the Trans-Siberian Railway, which gives an opportunity to increase the freight traffic across the country, and creates transportation corridors “Primorye-1” and “Primorye-2”.

For the purposes of implementation of the “New Silk Road” conception the specific steps are taken:

• leaders of Russia and China signed the joint statement on cooperation of countries within EEU and transeurasian trade and infrastructure projects of economic belt “Silk Road”;  
• China created the investment fund Silk Road Company and Asian bank of infrastructure investments, where Russia has become a regular foundation-member;
• the longest in the world freight railway route Harbin-Hamburg brought into operation across Russia;
• on February 5th, 2016 the first container train from China arrived to Kaluga region carrying the parts for LLC Samsung Electronics Rus Kaluga;
• in the same month a new railway route between Harbin and Yekaterinburg was opened.

Participation of Russia in the “New Silk Road” project allows the increase of the freight transit growth across the country. It will contribute to the increase of transportation infrastructure investments’ payback, development of regions located in Asian part of Russia, strengthening of the position as a large transit country, a sort of “connecting bridge” between East and West.