New investment for Burgeoning Logistics sets up BRI success

In recent years, the Belt and Road Initiative (BRI) has been one of the main focuses for China and the new warehouse facilities in Poland could just be the tipping point that paves the way for its success. After being opened in Gdansk, its main intention is the service Chunxing Group’s needs because the aluminium company wants to expand throughout Europe. As Poland’s main port and fourth largest city, this could be the investment needed to make the BRI happen.

In terms of the new building itself, it marks a change in strategy because they previously only got involved with acquisitions and mergers but this is the first time they have opened their own facility on Polish soil. Along with the huge investment, it will also open up a number of job opportunities for the locals.

For European clients of the aluminium company, this is good news because the Gdansk facility is set to focus on the European market and allow needs to be met in terms of shorter lead times. Currently, the warehouse is nearing completion and a full-scale production plant is set to follow this warehouse in the coming years.

With Gdansk being so close to Poland’s main port, this was one of the key reasons why the city was chosen over every other. With a Gdansk warehouse, it allows for direct connection with China and the road infrastructure to the rest of Europe is also enough to spread their product across the continent. As Poland also has links to the China Railway Express Network which has been up and running since June, this also adds another key element for the Suzhou-based company. On the line, freight trains run through both China and Poland with Warsaw being one of the stops and just 250 miles away from Gdansk. By 2020, there should also be an expressway linking the two together,

Poland and China have been growing closer in recent years and the Chinese President, Xi Jinping, even visited the country on a trade mission not so long ago. Whilst in Poland, he promised a level of commitment to building a closer relationship where both parties can benefit; he also suggested that further investment would spread to the rest of Eastern Europe. Jinping said “Central and Eastern Europe as a sub-region boasts the greatest potential for growth in all of Europe. We see Poland as being at the very heart of that. China is also ready to commit to Poland's re-industrialisation drive, particularly through greater cooperation with regards to production capacity."