Release Date:
Release ID: 5273

DHL launches first door-to-door service linking Ulaanbaatar to Tianjin

· Genghis Khan Connection offers thrice-weekly rail services along one of world’s most challenging trade routes

Singapore/China, 24 May 2011: DHL, the world’s leading logistics company, celebrates five years of operations in fast-growing Mongolia with the launch of a new rail service – the Genghis Khan Connection, a scheduled tri-weekly cross border rail solution available during the high season from April to October linking Ulaanbaatar, Mongolia by rail to Tianjin, China and out to the rest of the world. DHL Global Forwarding is the only global logistics provider in Mongolia to offer scheduled services and reliable solutions to congested routes and complex customs processes.

The 30-day Genghis Khan Connection leverages Mongolia’s improving infrastructure to help customers avoid peak season congestion at regional border towns, seaports and airports which can sometimes delay shipments substantially. The service dovetails DHL Global Forwarding’s existing global network of connections to provide a new viable transport option for businesses particularly in consumer goods, fashion and accessories and equipment, machines and spare parts. Rail being a greener alternative to air and road options, the Genghis Khan Connection also helps reduce customers' CO2 footprint.

Kelvin Leung, CEO, North Asia Pacific, DHL Global Forwarding, said: “Despite having vast economic potential, Mongolia has hitherto suffered from limited routing options that include Russia and China for cargo from Europe, America and Asia. This has led to unreliable delivery, seasonal congestion that can delay shipments by up to 21 days as well as higher costs.”

Mongolia enjoyed a GDP growth of close to 10% in 2010[1] fuelled by the opening of new mining areas and its growth is expected to surge to as high as 23 percent in 2013[2]. The country is a fast-growing, raw materials provider with extensive natural resources including oil, coal, copper, gold, silver, iron and phosphate. Fastest-growing industries include mining (coal, copper, molybdenum, fluorspar, and gold), oil, construction materials, food and beverages and the processing of animal products into products like cashmere and woolen textiles. From China, Mongolia is also importing vast amounts of rare earth, a major component in automobile manufacturing and a key resource to the numerous high-tech companies setting up their manufacturing bases in Mongolia.

Ambrose Linn, Head of Road Freight & Multimodal, North Asia Pacific, DHL Global Forwarding, said: “Mongolia has untapped economic potential but realizing this potential requires integration with regional and global economies through international logistics networks as well as new transportation solutions. DHL Global Forwarding will continue to enhance connections between Mongolia and China, Japan and Korea to offer our customers first-mover advantage in this fast-developing country.”
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