Abstract
Currently, the trade volume between China and the European Union is experiencing rapid growth. However, there are many bottlenecks in the operation of the China Railway Express, such as imbalance in inbound and outbound transported containers in the Sino–European direction and a low profit margin. More than fifty-three rail routes in China provide rail transportation to European cities and have small traffic volumes. However, such a dramatic situation affects transportation costs, which are three times higher compared with maritime transportation, causing uncertainty related to the demand of Chinese customers. This study analyzes the shortcomings of previous research studies related to multicriteria decision-making (MCDM) models applied in the field of logistics and transportation. The study proposes a novel approach to determine the optimal locations of the CR Express international logistics centers. The proposed approach involves the application of a MCDM model using the DEMATEL-MAIRCA method. This technique finds the closest solution to the ideal one by identifying the value of the best alternative in line with the observed criterion, and by measuring the distances of other alternatives according to the observed criterion of the ideal value. Finally, we show the similarity of the proposed methodology to other MCMD methods, which is one of the key topics of the Symmetry Journal, to prove the validity of the applied DEMATEL-MAIRCA method. Preliminary results show that in view of increased container turnover between China and the European Union, the determination of optimal locations for CR Express international logistics centers should be carried out dynamically.
Highlights
The trade market between China and European countries in the framework of the “OneBelt, One Road” initiative has been rapidly developing
Since various diverse factors affecting the locations of logistics facilities mean the facility location problem (FLP) is a multidisciplinary problem requiring a complex selection procedure, we propose the application of the multicriteria decision-making (MCDM) method
To identify the criteria selected in affecting the CR Express international logistics centers (CILC) location [3,42] and presented in Table 1, we have provided interviews with international logistics companies, local government, and surveys with scholars in the field of logistics, supply chain management, and transportation
Summary
The trade market between China and European countries in the framework of the “One. Belt, One Road” initiative has been rapidly developing. According to experts’ forecasts, the number of containers will be increased by 800,000 TEU’s in 2020, which is five times more than in 2015. Despite efforts from governments and enterprises in both China and the countries along the route, the number of blocked trains and containers has increased dramatically. By the end of March 2019, the total number of operations on the CR Express had exceeded 7600 round trips, and the number of domestic routes in China had reached 61 across 43 cities, which are the current international logistics centers. The CR Express operates in 41 cities across 13 countries in Europe [1]
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