Singapore and China are working together on their third initiative together: Euro-Sino-Singapore Route!
Chong Qing (China) is working with Singapore to create a new freight line which will reduce the cost of transportation between Singapore and Germany by 60%.
Previously, European goods are mostly transported to Asia countries via air freight, which are 5 times more costly than rail freight!
How the Freight will Work:
1) European goods reaches Germany
2) Goods are loaded onto trains in Germany
3) Goods will travel by train to Chong Qing, China in approximately 12 days via Yuxinou Rail
4) Goods will then be sent to countries within 4 to 5 hours flight from Chong Qing (yes, by planes)
1) China and other Asia countries (Singapore, Hong Kong, Bangkok etc) will have access to cheaper European goods because cost of transporting them has fallen significantly.
2) This benefit works both ways: Asia goods in Europe will also be cheaper because of the reduced in overall freight cost. This opens up Singapore companies to a lot more opportunities because we can now sell our products to Europe more conveniently and cost-effectively!
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For those eyeing to buy European branded goods, there is another good news besides the lower transport costs: Prada creating more mid-price ranged products for sale!
Prada is reducing its product price in order to regain its market share and profitability after overpricing its product and over-expanding to Asia markets.
Prada announced on Monday (18/4/16) that they will make more products priced below €1,400 (SGD 2,130).
Prada will also get on social media and offer more of its products online.
Those who wishes to buy Prada goods can start saving up for the chance to splurge on once prices starts to look reasonable!
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