China, EU – Baltic States, Forum, Latvia, Legislation, Logistics, Transport

Uldis Augulis and Dai Dongchang. Riga, 16.05.2016. Photo: flickr.com

The ministry's representatives said that Latvian Transport Minister Uldis Augulis met with China's Deputy Transport Minister Dai Dongchang during a meeting of transport ministers of Central and Eastern Europe and China (16+1 format) in Riga on May 16th.

"During the meeting of the 16+1 transport ministers it is necessary to create a framework for further cooperation and agree on business-friendly conditions, which will make cooperation even closer and more pragmatic, and our side is ready to ensure this," said Dai. The Chinese government is interested in strengthening the existing cooperation and finding new opportunities because of Latvia's excellent geographic location and clear goals in the area of transport.

Augulis asserted Latvia's readiness for active cooperation with China in order to promote economically important transport projects and stressed that China is a highly important partner of Latvia's transport sector, as numerous visits of Chinese and Latvian officials and businesspeople have shown in recent years. Augulis is scheduled to make a visit to China in July 2016.

So far, Latvia has built the closest ties with the local government of the southwestern Chinese city of Chengdu. In September 2015, Latvia and Chengdu signed a memorandum of understanding on transport cooperation. Augulis also noted Latvia's visa centers that are opening in Chengdu, Beijing, Shanghai and Guangzhou on May 20 as a significant step promoting cooperation. Latvia plans to open visa centers in 11 other Chinese cities by the end of this year.

Since Latvia and China have good cooperation in aviation, there is a good potential for opening the Riga-Chengdu route, which would be operated by Latvia's airBaltic carrier in cooperation with Chengdu Airlines.

The Latvian transport minister indicated that talks are under way with the Port of Duisburg on cooperation with Latvian ports in handling Asian goods that are shipped to Scandinavian countries, given that the traffic of these goods is growing and the capacity of the Port of Duisburg. The Chinese deputy transport minister indicated that it would a perspective business area for Latvia which would help boost Latvia's position in the transit market and increase the shipping of container cargos by sea and rail.

"Cargo shipping by container trains between China and Europe is already growing in both directions, which is a very good and promising indication," the Chinese vice-minister said, adding that China wants to make this process even more active, ensuring greater economic benefits for all the parties concerned. "Latvia with its convenient geographic location, which provides advantages both in sea and land transport, is a considerable partner in developing logistics," said Dai.

Latvia also hopes for successful cooperation with China Merchants Group, which is developing a logistics park at Great Stone logistics park outside Belarus' capital Minsk where Latvia can offer its services in the distribution of goods in the Baltics and Scandinavia. The Chinese officials asserted readiness to promote this cooperation, saying that more active communication is needed to advance particular projects.

"We are interested in cooperation with Cosco Pacific, which after merger with China Shipping has become the world's largest contained shipping company. There are also other Chinese transport companies, like Hutchison and China Harbour Engineering Company, that have sent signals about their willingness to cooperate. We hope very much that we will succeed in this, because we are interested in creating new infrastructure at our ports," said Augulis.

The Latvian minister also urged the Chinese side to get involved in developing Rail Baltica II European-gauge railway project. "Considering Chinese engineers' know-hold and experience, I would like to encourage to participate in the tenders announced for the construction of Rail Baltica II," said Augulis.

The Latvian capital Riga is hosting the first 16+1 meeting of transport ministers. The aim of the meeting is to promote cooperation between the countries in transport and logistics.

Latvia has been given the role of logistics coordinator in the 16+1 cooperation format.

The 16+1 format is an initiative by the People’s Republic of China aimed at intensifying and expanding cooperation with 11 EU Member States and 5 Balkans countries (Albania, Bosnia and Herzegovina, Bulgaria, Croatia, the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Montenegro, Poland, Romania, Serbia, Slovakia, Slovenia, the former Yugoslav Republic of Macedonia) in the fields of investments, transport, finance, science, education, and culture.