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12Dec

International Business News | Changjiu Logitstics Successful Debut of SAIC-GM-Wuling Cross-Border Road Transportation to Uzbekistan

Author Changjiu Logistics Categories International Services

International Business News | Changjiu Logitstics Successful Debut of SAIC-GM-Wuling Cross-Border Road Transportation to Uzbekistan

Dec 12, 2023, 15:23 p.m. EDT

In early December, Changjiu Logistics’ staff were diligently executing professional operations at SAIC-GM-Wuling’s Liuzhou plant. There, Wuling passenger cars were carefully loaded onto medium-axle double-deck car carrier trailers, prepared for shipment on its upcoming cross-border transport to Uzbekistan.Changjiu Logistics is undertaking SAIC-GM-Wuling’s cross-border road transport business for the first time. Almost 500 vehicles will be dispatched from the Liuzhou plant sequentially, departing from Kashgar port in Xinjiang (China) and arriving in Tashkent (Uzbekistan). Cross-border road transport offers fast delivery, cost-effectiveness, and flexibility. It is expected that the successful execution of this shipment will greatly bolster SAIC-GM-Wuling’s market expansion in Uzbekistan.

As a leading third-party automotive logistics enterprise in China, Changjiu Logistics is dedicated to providing customers with efficient and convenient solutions. The success of our first shipment marks a significant milestone in Changjiu Logistics’s international automotive logistics service capability. We are determined to fully leverage our strengths in the automotive logistics sector, continually optimize transport routes, and enhance service excellence to deliver top-tier logistics services to an expanding customer base. Furthermore, our group remains committed to supporting the national “One Belt, One Road” initiative, which facilitates the global expansion of China’s auto industry by enabling more national brand-name automobiles to thrive internationally.
04Dec

Exclusive Interview | Bo Shijiu: Starting the “Second Rise” on the Changjiu Three Business Sector “Troika” (Part 2)

Author Changjiu Logistics Categories International Services, Multimodal Transportation, New Energy, Rail Transportation, Water Transportation

Exclusive Interview | Bo Shijiu: Starting the “Second Rise” on the Changjiu Three Business Sector “Troika” (Part 2)

Dec 4, 2023, 14:17 p.m. EDT
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Accelerate the expansion of international markets
Helping Domestic Automobiles “Go Global”
This year marks the 10th anniversary of the “One Belt, One Road” initiative. Changjiu Logistics has consistently led the automotive logistics industry in countries along this initiative. With our unmatched expertise, we have played a pivotal role in helping Chinese automotive brands expand globally and facilitate the import of international brands.
The international block train(Harbin-Zeebrugge) arrives in Belgium in 2017
“Changjiu Logistics has been proactively assessing customer preferences and driving advancements in serving Chinese auto brands going global and facilitating international brand imports.” Bo Shijiu cited the debut of the Harbin-European liner, the layout of international Ro-Ro ships, the cross-border car carrier wagon program, and other innovations, all of which are important expansions made by Changjiu Logistics based on customers’ demands and business needs to satisfy the different needs of customers in a timely and efficient manner through a richer range of logistics solutions.
2023 Changjiu Logistics “Jiuyang Fortune” North America Service in Mexico
There has been a significant increase in the export demand for new energy vehicles, along with the remarkable expansion of independent brands overseas. This demand extends beyond traditional fuel vehicles, with a growing logistics need for KD parts exports and other related activities stemming from the establishment of overseas factories. Additionally, the new energy industry chain is rapidly expanding its presence in Europe and other regions, where major battery factories and raw material factories are gathering. As a result, there is a considerable demand for cross-border logistics in the new energy sector.Customers today are mainly worried about international logistics delivery time, alternative routing solutions, and supply chain resilience due to geopolitical issues and other factors. These are the areas where Changjiu Logistics excels.
Taking Ro-Ro business as an example, in 2020, Changjiu Logistics observed that the Ro-Ro market had entered the low point of the Ro-Ro shipping market cycle. At the same time, many partners are also planning to increase their efforts to expand overseas markets. Therefore, after in-depth research, Bo Shijiu decided to lay out the Ro-Ro business in advance and purchased the ocean-going Ro-Ro ship “Jiuyang Fortune” that year.
The photo of Changjiu Logistics “Jiuyang Fortune” Ro-Ro Ship
“The Jiuyang Fortune is the first ocean-going Ro-Ro ship invested by Changjiu Logistics, which is of strategic significance for our company’s international logistics business segment and is a milestone for the opening of Changjiu Logistics’ international Ro-Ro shipping.” Bo Shijiu further introduced that in the past few years, we have also been actively acquiring space resources from our partners, seizing the opportunity of the outbreak of the export of Chinese-branded cars in the past two years.

This year, the export volume of Chinese brand cars broke through a new high again, with more than 400,000 cars exported in a consecutive month. Changjiu Logistics once again expanded its international shipping capacity according to its business needs and purchased a 7,000-car Ro-Ro ship, which significantly increased its own capacity. Expanding on our previous achievements, our company will remain committed to partnering with other entities in order to expand our customer base and further promote the success of domestic vehicles on a global scale.

Changjiu Logistics is committed to the development of a comprehensive international logistics intermodal transport system. This includes enhancing the infrastructure for maritime, railway, cross-border highway, and international air transport, ensuring seamless connectivity and efficiency. By expanding our capabilities in these areas, we aim to provide a truly holistic solution for our clients’ logistics needs on a global scale.

Chnagjiu Logistics Finished Vehicle Yard in Chengdu—International Business Segment
In terms of cross-border highways, Changjiu Logistics will deepen the use of the logistics and transport resources of Adampol S.A., a subsidiary of Changjiu Logistics, in Europe and the Far East and give full play to its geographic location advantage of radiating the European market so as to expand the local distribution and cross-border transport services in the European region. In addition, the company is also expanding its business in Central Asia. “Not long ago, Changjiu Logistics acquired a cross-border highway order for SAIC-GM-Wuling’s export to Uzbekistan. “The company plans to support the high-quality development of the ‘Belt and Road’ in the next decade, responding to the national call and tapping into the great potential of the Central Asian market.”Bo Shijiu said.
Changjiu Logistics Successfully Entered Uzbekistan Market in 2023
(Source:China Securities Journal)
In terms of airfreight, Changjiu Logistics has recently officially become a member of the International Air Transport Association (IATA). “After obtaining the IATA qualification, we can co-operate directly with airlines.” Bo Shijiu said that this is an affirmation of Changjiu Logistics’ airfreight service capability and the company’s longstanding and continuous efforts, and that Changjiu Logistics will work hand in hand with its customers.
Changjiu Logistics officially became a member of IATA International Air Transport Association
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Focus on New Energy Business
Creating the “second growth curve”
From the domestic automotive logistics market pattern, the leading enterprises and the similarity among automobile manufacturers in the market emphasize the strong dependence of automotive logistics on these upstream manufacturers. Consequently, automotive logistics managers are faced with the challenge of devising strategies to stand out in the stock market.
The Ministry of Industry and Information Technology, along with eight other departments, has recently released a notice regarding the pilot work of the comprehensive electrification of public sector vehicles. This initiative aims to expedite the adoption of electric vehicles in the public sector, thereby providing a significant impetus for the rapid growth of new energy vehicles. Additionally, this effort, coupled with the bolstering of consumer demand, will propel the development of the electric vehicle industry even further.

The exponential growth of new energy vehicles will greatly boost the advancement of the new energy vehicle industry chain in the aftermarket. According to Bo Shijiu, the distinct characteristics of new energy vehicle power batteries will trigger a “retirement wave” within the next two to three years. If these retired batteries are not handled properly, it will not only result in the squandering of valuable resources but also contribute to environmental pollution and various other concerns.

Changjiu Logistics 2023: New Energy Strategy Launch
How to properly deal with retired power batteries is not only an industrial and technical issue but also a major social issue that, in the future, will also give rise to a huge volume of the market. “Whether from the perspective of the company’s development or as a listed company to assume social responsibility, the power battery recycling cut into the new energy market is the optimal choice.” Bo Shijiu firmly believes that in this new track of new energy business, Changjiu Logistics will draw its own “second growth curve.”
In addition, Bo Shijiu predicted that with the rapid development of technology, the range of new energy vehicles will continue to increase, and the popularity of supercharging and fast charging will be a general trend, which will impose a great burden on the power grid. After sorting out and researching, Changjiu Logistics decided to launch in-depth cooperation with LYNKVERTX (www.linkutec.com) in the field of V2G (vehicle to grid). Specifically, Changjiu Logistics will take advantage of the group’s 4S dealership store resources to participate in the distributed energy storage segment with the C-suite’s offline outlets and big data system. While expanding the company’s business, this initiative is also bound to be able to contribute to the construction of the country’s new power grid.
However, it is worth noting that the power battery recycling industry is savagely expanding at the same time due to the lack of relevant legal norms caused by a number of hidden problems that are also gradually exposed. For example, “small workshops” have become one of the main recycling channels due to their low cost, but there is no guarantee for safety and environmental protection, which has become a new social problem.
“As a listed company that actively undertakes social responsibility, Longevity Logistics also hopes to promote the high-quality development of the industry and subsequently expects the relevant departments to continue to promote the introduction of more management methods and related rules, leading the industry towards healthy, standardized, and intensive development.” According to Bo Shijiu, based on the large amount of practical experience accumulated in power battery recycling and reverse logistics, Changjiu Logistics is well aware of the industry’s pain points. Therefore, our company participated in the preparation of the “Requirements for Logistics Traceability Information Management of Used Power Storage Batteries for New Energy Vehicles,” which has already been enacted, in the hope of enhancing the level of logistics traceability information management of used power storage batteries in China, ensuring that these batteries can be recycled and processed safely and effectively, and boosting the development of the industry in a standardised manner.
01Dec

Exclusive Interview | Bo Shijiu: Starting the “Second Rise” on the Changjiu Three Business Sector “Troika” (Part 1)

Author Changjiu Logistics Categories International Services, Multimodal Transportation, New Energy, Rail Transportation, Water Transportation

Exclusive Interview | Bo Shijiu: Starting the “Second Rise” on Changjiu Three Business Sector “Troika” (Part 1)

Original Yang Yunfei China Journal of Logistics & Purchasing 2023-11-28 12:55

Dec 1, 2023, 10:45 a.m. EDT

Mr. Bo Shijiu Chairman of the Changjiu Logistics Group

 

Established in 1992, ChangJiu Logistics (CJL) has dedicated over three decades to serving the automotive industry. Throughout this time, CJL has experienced remarkable growth and played a pivotal role in shaping China’s automobile sector.

Group photo of the 30th anniversary of the establishment of the company

In 2016, Changjiu Logistics made history as the first A-share-listed third-party automotive logistics company in China. As a leader in the industry, CJL has consistently delivered exceptional performance. According to the latest financial report, the company achieved an impressive operating income of 2.858 billion yuan in the first three quarters of 2023, along with a net profit of 89.82 million yuan, marking a staggering nearly 30-fold increase year-on-year.

Changjiu Logistics was successfully listed on the Shanghai Stock Exchange in 2016

Between 2019 and 2022, CJL faced numerous challenges in the market, including the combined pressures of highway control, epidemics, and OEMs’ cost reductions. However, the company successfully navigated these obstacles and continued to thrive despite the circumstances, further solidifying its position as a reliable partner in the ever-evolving landscape of vehicle logistics.

“This year, 2023, the company has experienced a significant increase in net profit, primarily due to the gradual recovery of market vitality.” Recently, Mr. Bo, chairman of Changjiu Logistics, said in an interview with China Logistics & Purchasing Magazine that under the layout of its own railway, sea transport, air transport, and other kinds of capacity, we have seized the windfall of the export of automobile complete vehicles as well as the export of spare parts to push up the substantial profit growth.

Changjiu Logistics Finished Vehicles Warehouse

In the ever-evolving market environment, it takes entrepreneurs with a sharp strategic vision to navigate the right path for enterprise development. This year, in May, Bo Shijiu spearheaded a remarkable strategic upgrade for CJL. The company is determined to uphold its corporate vision of becoming a top-tier service provider in the automotive industry. With a clear focus on three major business segments, “Troika”—vehicle  business, international business, and new energy business—Changjiu Logistics is ready to embrace the future with unwavering determination.

This transformation is defined by Bo Shijiu as the “Second Rise” of Changjiu Logitics.

1. Insight into Market Trends
Diversified layout of vehicle logistics business
The boom in the automotive logistics industry is linked to the production and sales of automobiles. According to the National Bureau of Statistics, the value added of the automobile manufacturing industry above scale in 2022 increased by 6.3% over the previous year, higher than the growth rate of value added of the manufacturing industry in the same period by 3.3 percentage points. Also, according to the China Association of Automobile Manufacturers data, in the first three quarters of this year, China’s automobile exports reached 3.388 million, higher than last year’s total exports.
The double rise in production and sales means that the demand for vehicle logistics will also gradually become larger. “China’s auto market is slowly recovering its vigor after being affected by various factors, including the shock of the epidemic and tension in the global supply chain.” Bo Shijiu emphasized that the government’s implementation of various stimulus policies, such as purchase tax reductions and subsidies for new energy vehicles, has greatly contributed to the flourishing development of the automotive industry. This, in turn, has presented immense business prospects for the whole-vehicle logistics sector.
However, both opportunities and challenges exist. According to the International Automobile Manufacturers Association (OICA), since 2021, the automotive logistics market size has declined to the level of 2015, and the competition within the industry has been transformed from incremental market competition to stock market competition, which is characterised by both sides of the equation. This means that the industry has entered a phase of elimination.
In terms of the current competitive landscape of the domestic automotive logistics industry, firstly, there are large automotive manufacturers holding or participating enterprises; secondly, there are third-party automotive logistics enterprises that are independent of automotive manufacturers and have a considerable scale; and lastly, there are numerous small and medium-sized transport enterprises.
In addition, it is worth noting that in the whole car transport industry, although the state implemented GB1589 in 2017 to regulate the size of the road transport coupe and the number of loading units, but with the increasing cost of road transport, the soaring price of fuel, making the whole car logistics road transport costs further increase, in order to be able to increase profits, some unscrupulous companies are desperate to take the risk of lengthening and modifying the vehicle, illegal The circulation of modified vehicles in the market hinders the healthy development of the industry, causes bad money to expel good money, and triggers vicious competition in the transport industry.
Changjiu Logistics Vehicle Yard
“Compared with the automotive supply chain enterprises of the OEM system, the ‘three-party’ attribute of Changjiu Logistics (CJL) is particularly prominent.” Bo Shijiu admitted that based on the attribute of “third party,” the business scale and business categories of LCA are in the leading position in the field of automotive logistics. It is also based on these advantages that CJL is able to take a step ahead of the automotive supply chain enterprises in the system of OEMs in the layout of diversified businesses.
Changjiu Logistics currently covers most of the OEMs in the market, serves more than 60 brands, and has an annual shipping volume of up to 3 million vehicles. It can be said that it is in a leading position in the domestic third-party automotive logistics industry.
Changjiu Logistics carries out international railway transport of finished vehicles projects
“With the rapid development of new energy vehicles and the increasing penetration rate of new energy vehicles, the company is serving more and more new energy and new power brands, and the proportion of new energy vehicles carried is also increasing, which is one of the most obvious changes in the customer structure.” Bo Shijiu further introduced that, in addition to this, CJL has followed the development trend of the new energy industry and made use of its transport qualification for large and dangerous goods to expand the business of large logistics such as wind turbines and blades, as well as the logistics related to dangerous goods such as raw materials for power batteries, and it is expected to gain more customers in the future in the new segmentation field.
22Nov

Summit & Forum | Changjiu Logistics Attends 2023 China Automotive Logistics Industry Annual Conference and Returns with Honours

Author Changjiu Logistics Categories International Services

Summit & Forum | Changjiu Logistics Attends 2023 China Automotive Logistics Industry Annual Conference And Returns With Honours

Nov 22, 2023, 16:26 p.m. EDT

On 16th November, “2023 China  Automotive Logistics Industry Annual Conference” was held in Shiyan, hosted by China Federation of Logistics and Purchasing (CFLP) and Dongfeng Automobile Group Corporation (DFMC), and undertaken by the Automotive Logistics Branch of CFLP, Dongfeng Logistics Group Corporation (DFLG), and Shiyan Municipal Government. More than 800 representatives from government departments, research institutes, colleges and universities, industry associations, and nearly 300 automobile production, parts and component manufacturing, automobile logistics, logistics equipment, and other enterprises gathered in Shiyan and made wonderful speeches and enthusiastic exchanges around the policies of the logistics industry, the automobile market situation, the sharing of logistics experience, the application of technological innovation in logistics equipment. Yan Chao, the rotating president of Changjiu Logistics; Zhu Jingwei and Lu Yuliang, the vice presidents; and Wang Jichun, the general manager of the international business division, attended the conference.

Industry Honours
The conference honoured outstanding enterprises and individuals who have made contributions to the automotive logistics industry, and ChangjiuLogistics won a number of enterprise and individual awards.

Individual Award:
Bo Shijiu, Chairman of Changjiu Logistics, won the honour of “Entrepreneur with Outstanding Contribution to the Automotive Logistics Industry in 2023”;

Enterprise Award:
The “Innovative Solution and Application of Customised Recycling Apparatus Combined with Multimodal Railway Transportation in International Automobile Logistics” of LCA was awarded the “Outstanding Innovation Case in the Automobile Logistics Industry”.


C-Level Media Salon Event
Yan Chao, the rotating president of Changjiu Logistics, was invited to the stage to have an in-depth exchange and discussion with many industry partners on hot topics such as changes in the industry under the trend of new energy, change and transformation of enterprises and upgrading of supply chain management, the development strategy of globalisation of enterprises, the construction of automotive logistics industry’s intelligence and digitisation, and the new challenges and opportunities in the automotive logistics industry.

Yan Chao, Rotating President, Beijing Changjiu Logistics Group

Keynote Speech

Zhu Jingwei, Vice President of Beijing Changjiu Logistics, delivered a speech on the theme of “Focusing on the Automotive Market and Exploring High-Quality Development”, in which he analysed the challenges faced by China’s automotive industry. He analysed that China’s automobile industry is facing a positive trend of “a great change that has not occurred in a century”, and that Chinese automobile enterprises have entered the stage of localised development, and pointed out that “multimodal transportation is more in line with the trend of international automobile logistics”. It also pointed out that “multimodal transport is more in line with the trend of international automotive logistics”. From the aspects of “North-South structural differences, non-compliant capacity, irrational cost control”, he elaborated on the pain points in the development of the automotive industry, and called for departmental supervision to form a benign competitive environment. Changjiu Logistics is committed to providing whole industry chain services for China’s automotive industry, focusing on logistics and new energy to create a comprehensive ecological closed loop, adhering to the development concept of “openness, integration and sharing”, and is willing to promote the high-quality development of the automotive logistics industry together with its peers.

Zhu Jingwei, Vice President, Beijing Changjiu Logistics Gruop

09Nov

Company News | Xiaomo International Logistics Port Visited Changjiu Logistics

Author Changjiu Logistics Categories International Services, Water Transportation

Company News | Xiaomo International Logistics Port Visited Changjiu Logistics

Nov 9, 2023, 10:21 a.m. EDT

On October 26th, Li Yan, Deputy General Manager of Shenzhen Shanshan Port Operation Co., Ltd., and his delegation visited Changjiu Logistics on behalf of Xiaomo International Port. Mr. Lu Yuliang and Mr. Meng Qingwen, Vice Presidents of Changjiu Logistics, as well as the marketing and international business teams, gave a warm reception.

Mr. Lu Yuliang and Mr. Meng Qingwen extended a warm welcome to the guests and provided an insightful introduction to the development history, core business, and corporate culture of Changjiu Logistics. Currently, our company has three major business segments: vehicle business, international business, and new energy business. The demand for automobile exports is experiencing an unprecedented surge, and marine transportation serves as our most crucial avenue for exporting vehicles. Keenly aware of this, Changjiu Logistics made a strategic move in 2020 by acquiring the ocean-going ro-ro ship “Jiuyang Fortune” to strengthen our presence in international marine transportation. Through strong partnerships, we have secured a substantial amount of marine transportation capacity, enabling us to continuously enhance our domestic trade and international water transportation services. Our primary focus is on developing a robust multimodal transportation system. Looking ahead, we are committed to further bolstering our capabilities through collaborations and other proactive measures. Changjiu Logistics is thrilled to unveil its ambitious plans for the future, which include a concerted effort to enhance our capacity and expand our portfolio of port resources. By combining our own endeavors with strategic partnerships, we are dedicated to achieving even greater heights of success.
Mr. Li Yan, Deputy General Manager of Shenzhen-Shenzhen Port Operation Company, expressed his thanks for the reception of Changjiu Logistics and gave a detailed introduction of Xiaomo International Port, which is subordinate to Shenzhen Port Group Co., Ltd., the only world-class port industry group in Shenzhen, and is committed to building a core port for the development of the east wing of Shenzhen Port and a gateway port for the eastern part of Guangdong-Hong Kong-Macao Greater Bay Area, South China’s foreign trade automobile Ro-Ro hub port, function positioning to ro-ro terminal and container transportation, building a new logistics channel radiating the country, and access to the world. In terms of location, Shenzhen-Shantou Special Cooperation Zone is located at the eastern end of the Guangdong-Hong Kong-Macao Greater Bay Area, with a land area of 460 square kilometres, 100 kilometres away from Shenzhen. It aims to build a new generation of world-class automobile cities and construct an automobile industry ecological chain of “production, transportation, and trade”. Xiaomo International Port is about 55 nautical miles away from Yantian Port, about 68 nautical miles away from the Hong Kong port area, and 8 nautical miles away from the international main channel of the Pacific Ocean. It covers the regions of Guangdong, Guangxi, Jiangxi, Hunan, Hubei, and Fujian with the direct hinterland of Guangdong East. After extensive and in-depth exchanges and discussions, both sides agreed that there is a huge space for cooperation in international maritime transportation. In September, China’s automobile exports were 444,000 units, up 9% sequentially and 47.7% year-on-year. Monthly exports have been more than 400,000 units for several consecutive months, and there is an urgent demand for the automobile export market. We hope that both sides can take this meeting as a starting point, join hands for a win-win situation, and help develop the international market for national brand automobiles.
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