Gebrüder Weiss Turns to Alternative Routes Amidst Russia-Kazakhstan Transport Chaos
Gebrüder Weiss, a leading logistics company, has shifted focus to alternative transport routes for goods between Russia and Kazakhstan due to unreliable traditional routes and increased pressure on railway transportation. The move comes amidst strict border controls and congestion, leading to significant delays and cost increases.
The company is exploring options like the New Silk Road, Manzhouli-Zabaikalsk, and routes through Mongolia to bypass congestion. This shift is necessary as up to 7,500 units of transport can accumulate at border crossings due to tightened checks, with multi-kilometer queues persisting for weeks. Both Chinese and Russian authorities are cracking down on dishonest shippers and carriers, exacerbating the situation.
These measures have led to a significant increase in average delivery times, now standing at 13-14 days, a 1.8-fold increase over the past two and a half years. Border delays directly impact transportation costs, with congestion adding up to 15% per trip. Businesses are already facing millions of dollars in losses due to seven-day queues. Goods primarily subject to inspection include electronics, drones, and clothing, with up to 99% of batches being checked.
Gebrüder Weiss's focus on alternative routes aims to mitigate the challenges posed by unreliable traditional routes and intense border controls. However, the situation continues to evolve, with businesses facing increased costs and delays due to the ongoing crackdown on grey imports.
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