ASIA-EUROPE/CHINA-EU LAND TRANSPORT AND TRADEROUTES AND THE POTENTIAL OF THE MIDDLE CORRIDOR

Abstract

As China emerged as a major manufacturing powerhouse and trade between China and the EU expanded, the transport and trade routes linking Asia/China with Europe/EU gained geoeconomic and geopolitical importance. The strategic relevance of these routes has been further intensified by Russia's invasion of Ukraine in February 2022, which prompted Western sanctions aimed at isolating Russia and undermining its military, political, and economic strength. This geopolitical shift has highlighted the Trans-Caspian International Transport Route (TITR)— the Middle Corridor—as an alternative to the Eurasian Land Bridge Economic Corridor- the Northern Corridor, which connects China with Europe via Russia. Initially conceptualized in 2013 and operational since 2017, the Middle Corridor has demonstrated notable growth in recent years. However, it faces significant infrastructural challenges, both hard and soft, that negatively affect its competitiveness relative to the Northern Corridor. To fully realize the Middle Corridor’s potential and position it as aprimary land route between Asia and Europe, substantial investment and extensive improvements are required. Opportunely, recent developments suggest a growing interest from international stakeholders in investing in the Middle Corridor, indicating its potential to become the dominant intercontinental land transport and trade route between Asia and Europe.