The launching of the Regional Comprehensive Economic Partnership (RCEP) by 15 of the Asia-Pacific nations on Jan. 1 showed its impact in a doubling of China-Vietnam rail trade in the first quarter. Global Times on April 23 noted that this demonstrates “a stable supply chain for Southeast Asia boosted by the regional economic partnership.” Chinese customs data showed that trade by train between China and ASEAN as a whole increased three-and-a-half times in the first quarter. That includes the now functioning China-Laos rail line.
In the past, it would take several weeks for the goods to arrive by sea, but now, it will only take around two weeks to pick up the goods, while the rising shipping fees are also making more companies shift to freight trains.
Trade between China and Vietnam exceeded $230 billion last year, and China has remained Vietnam’s largest trading partner for many years, while Vietnam continues to be China’s largest trading partner in the Association of Southeast Asian Nations (ASEAN).
