New DB Cargo subsidiary to increase rail freight transport between China and Europe
Climate-friendly and reliable rail freight transport is becoming increasingly important for global supply chains. Demand is booming on the New Silk Road, the rail route connecting Europe and China. Europe's largest freight railroad has established DB Cargo Transasia, giving its services in Asia a major boost. That's because DB Cargo is the only provider able to connect traffic on the New Silk Road to the European DB Cargo network. This link means there are now direct train connections to 18 European countries. A variety of services in conjunction with the more than 10,000 kilometer supply chain can now be offered in China more quickly and from a single source thanks to DB Cargo Transasia. This will make rail freight an even more attractive option. Transport along the trans-Eurasian corridor is significantly faster than by container ship and costs only a tenth of comparable air freight services.
DB Cargo Eurasia has opened several new routes between China and Europe this year, most recently the new Shanghai – Hamburg – Shanghai connection at the end of September. DB Cargo Eurasia currently handles transport on more than ten routes.
China was Germany's most important trading partner in 2020 – for the fifth year in a row. According to industry estimates, more than 12,000 trains traveled on the Eurasian corridor in 2020. Recent growth rates put the increase at 3,000 trains per year. DB also wants to further increase its transport capacity, from over 200,000 containers (TEU) on the Eurasian corridor in 2020 to 500,000 containers by 2025. It makes good economic and environmental sense: Freight trains generate roughly 95% lower carbon emissions than airplanes and nearly 80% to 100% lower emissions than comparable road transport.
DB Cargo Eurasia has made a few organizational changes to further explore this potential. Andreas Lübs has been at the helm of the company as its new CEO since September of this year. As of December 1, Tabea Klang will assume the role of Managing Director for Sales (CSO).
Andreas Lübs joined DB Cargo Eurasia in 2018 and has been instrumental in developing and expanding business on the Eurasian corridor. Prior to being appointed CEO, he served as the company's CFO.
Tabea Klang gained important professional experience with the OECD in Central Asia and through her studies in Moscow. She will contribute in-depth knowledge of the DB Group from her work as Executive Assistant to the Member of the Deutsche Bahn AG Management Board for Freight Transport/Chair of the Management Board of DB Cargo AG. In addition, she speaks five languages and is therefore in an excellent position to further advance DB Cargo AG's global network and international business as CSO.
