IDEAS home Printed from https://ideas.repec.org/a/spr/italej/v9y2023i3d10.1007_s40797-023-00239-1.html
   My bibliography  Save this article

Connecting Eurasian Supply Chains the Impact of Covid-19 and the Russia–Ukraine War on the EU-China Rail Landbridge

Author

Listed:
  • Richard Pomfret

    (The Johns Hopkins University SAIS Europe
    University of Adelaide)

Abstract

International supply chains are dependent on ease of crossing borders and efficient connectivity in terms of price, speed, and reliability. Communication costs explain why intensification of international supply chains during the last 4 decades has occurred primarily within regional value chains (RVCs), centered on East Asia, Europe, and North America. Initially responding to demand from automobile and electronics firms to connect their European and Chinese supply chains with shorter and more reliable freight services than maritime shipping, the Eurasian rail Landbridge established in the 2010s was the first major overland link between RVCs. The Eurasian Landbridge was resilient through deteriorating EU-Russia relations after 2014 and the COVID-19 epidemic in 2020–21. However, following the Russian invasion of Ukraine and inclusion of the Russian rail company in western sanctions in February/March 2022, traffic along the main Landbridge routes stalled. This paper analyzes the evolution of the Landbridge as an exercise in choice of connectivity for Eurasian supply chains, the response of supply chain managers to the closure of routes in 2022, and the role of public policy in creating reliable alternatives.

Suggested Citation

  • Richard Pomfret, 2023. "Connecting Eurasian Supply Chains the Impact of Covid-19 and the Russia–Ukraine War on the EU-China Rail Landbridge," Italian Economic Journal: A Continuation of Rivista Italiana degli Economisti and Giornale degli Economisti, Springer;Società Italiana degli Economisti (Italian Economic Association), vol. 9(3), pages 1049-1062, November.
    • Handle: RePEc:spr:italej:v:9:y:2023:i:3:d:10.1007_s40797-023-00239-1
    DOI: 10.1007/s40797-023-00239-1
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s40797-023-00239-1
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s40797-023-00239-1?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. José Ansón & Jean‐François Arvis & Mauro Boffa & Matthias Helble & Ben Shepherd, 2020. "Time, uncertainty and trade flows," The World Economy, Wiley Blackwell, vol. 43(9), pages 2375-2392, September.
    2. Alexander Sandkamp & Vincent Stamer & Shuyao Yang, 2022. "Where has the rum gone? The impact of maritime piracy on trade and transport," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 158(3), pages 751-778, August.
    3. Pomfret, Richard & Sourdin, Patricia, 2018. "Value chains in Europe and Asia: Which countries participate?," International Economics, Elsevier, vol. 153(C), pages 34-41.
    4. Buchanan, James M & Yoon, Yong J, 2000. "Symmetric Tragedies: Commons and Anticommons," Journal of Law and Economics, University of Chicago Press, vol. 43(1), pages 1-13, April.
    5. Robert C. Johnson & Guillermo Noguera, 2017. "A Portrait of Trade in Value-Added over Four Decades," The Review of Economics and Statistics, MIT Press, vol. 99(5), pages 896-911, December.
    6. Karsten Mau & Rosalie Seuren, 2023. "One belt, one road, one way? Where European exporters benefit from the new silkroad," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 159(2), pages 257-297, May.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Giorgia Giovannetti & Enrico Marvasi & Giorgio Ricchiuti, 2023. "The Future of Global Value Chains and International Trade: An EU Perspective," Italian Economic Journal: A Continuation of Rivista Italiana degli Economisti and Giornale degli Economisti, Springer;Società Italiana degli Economisti (Italian Economic Association), vol. 9(3), pages 851-867, November.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Antonia López-Villavicencio & Valérie Mignon, 2021. "Does backward participation in global value chains affect countries’ current account position?," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 157(1), pages 65-86, February.
    2. Gaulier, Guillaume & Sztulman, Aude & Ünal, Deniz, 2020. "Are global value chains receding? The jury is still out. Key findings from the analysis of deflated world trade in parts and components," International Economics, Elsevier, vol. 161(C), pages 219-236.
    3. Aleksandra Parteka & Joanna Wolszczak-Derlacz, 2020. "Wage response to global production links: evidence for workers from 28 European countries (2005–2014)," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 156(4), pages 769-801, November.
    4. Evgeny N. SMIRNOV & Sergey A. LUKYANOV, 2019. "Assessment of the transforming impact of global value chains on international trade," Upravlenets, Ural State University of Economics, vol. 10(3), pages 36-46, July.
    5. Liu, Chen & Ma, Xiao, 2018. "China's Export Surge and the New Margins of Trade," MPRA Paper 103970, University Library of Munich, Germany, revised Oct 2020.
    6. B. James Deaton & Bethany Lipka, 2023. "Cooperation between First Nations and Municipalities: Do Water-Sharing Arrangements Improve Drinking Water Quality?," Land Economics, University of Wisconsin Press, vol. 99(3), pages 433-457.
    7. Kazunobu Hayakawa & Hiroshi Mukunoki, 2023. "The magnification effect in global value chains," Review of International Economics, Wiley Blackwell, vol. 31(1), pages 141-157, February.
    8. Yongke Yuan & Yitong Wang & Jialin Li & Mengwan Zhang, 2023. "Input-output Table and Input-output Model of Import and Export Internalization," Advances in Management and Applied Economics, SCIENPRESS Ltd, vol. 13(6), pages 1-15.
    9. Thomas Vendryes, 2014. "Peasants Against Private Property Rights: A Review Of The Literature," Journal of Economic Surveys, Wiley Blackwell, vol. 28(5), pages 971-995, December.
    10. Koch, Philipp, 2021. "Economic complexity and growth: Can value-added exports better explain the link?," Economics Letters, Elsevier, vol. 198(C).
    11. Xufang Zhang & Changyou Sun & Jason Gordon & Ian A. Munn, 2020. "Determinants of Temporary Trade Barriers in Global Forest Products Industry," Sustainability, MDPI, vol. 12(9), pages 1-13, May.
    12. Johnson, Robert C. & Moxnes, Andreas, 2023. "GVCs and trade elasticities with multistage production," Journal of International Economics, Elsevier, vol. 145(C).
    13. Inga Heiland & Patrik Šváb, 2024. "Estimating Gravity Equations for Trade in Value Added: A Structural Perspective," CESifo Working Paper Series 11480, CESifo.
    14. Adrian Amelung, 2016. "Das "Paris-Agreement": Durchbruch der Top-Down-Klimaschutzverhandlungen im Kreise der Vereinten Nationen," Otto-Wolff-Institut Discussion Paper Series 03/2016, Otto-Wolff-Institut für Wirtschaftsordnung, Köln, Deutschland.
    15. Depoorter, Ben & Parisi, Francesco, 2002. "Fair use and copyright protection: a price theory explanation," International Review of Law and Economics, Elsevier, vol. 21(4), pages 453-473, May.
    16. Kadner-Graziano, Alessandro S., 2023. "Mergers of Complements: On the Absence of Consumer Benefits," International Journal of Industrial Organization, Elsevier, vol. 89(C).
    17. Felbermayr Gabriel & Janeba Eckhard, 2024. "Improving Supply Security: Guidelines and Policy Proposals," Intereconomics: Review of European Economic Policy, Sciendo, vol. 59(3), pages 146-153.
    18. Heidrun C. Hoppe & Emre Ozdenoren, 2002. "Intermediation in Innovation," CIG Working Papers FS IV 02-11, Wissenschaftszentrum Berlin (WZB), Research Unit: Competition and Innovation (CIG).
    19. Matt Van Essen, 2013. "Regulating the Anticommons: Insights from Public‐Expenditure Theory," Southern Economic Journal, John Wiley & Sons, vol. 80(2), pages 523-539, October.
    20. Udo Kreickemeier & Zhan Qu, 2020. "International trade with sequential production," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 69(4), pages 1101-1125, June.

    More about this item

    Keywords

    Supply chains; Connectivity; Eurasia; Landbridge;
    All these keywords.

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • L92 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Railroads and Other Surface Transportation
    • O19 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - International Linkages to Development; Role of International Organizations
    • R41 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Transportation: Demand, Supply, and Congestion; Travel Time; Safety and Accidents; Transportation Noise

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:italej:v:9:y:2023:i:3:d:10.1007_s40797-023-00239-1. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.