Assessment of the Sustainability of Performance Boost for A-share Port, Shipping and Logistics Sectors Driven by Growing Volume of China-Europe Railway Express

Now I will provide you with the complete analysis report.

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According to the latest official data, as of 12:13 on November 28, 2025, the cumulative number of China-Europe Railway Express (CR Express) services has exceeded 120,000, with the total value of cargo transported surpassing $490 billion [1]. This milestone marks that CR Express, as a pragmatic cooperation carrier of the “Belt and Road” Initiative, has achieved remarkable results. Specifically:

Indicator	Data	Remarks
Cumulative Number of Services Operated	Exceeded 120,000	Increased by about 20% compared to the beginning of the year
Cargo Transported	11.7 million TEUs	As of October 2025
Coverage Scope	232 cities in 26 European countries	Over 100 cities in 11 Asian countries
Originating Cities in China	128 domestic cities	Cumulative data
Annual Average Growth Rate	65%	Since 2013

As an important node of CR Express, the SCO Demonstration Zone operated 1,225 services in 2025, handling 840,000 tons of import and export cargo, both increasing by over 20% to hit record highs. Since the launch of the demonstration zone, a total of 5,491 services have arrived and departed, transporting 3.8 million tons of import and export cargo [2]. As the core node of the middle corridor, the Erenhot Railway Port saw the volume of services passing through the middle corridor exceed 3,500 in 2025, hitting a record high [3].

The transportation efficiency of CR Express continues to optimize: the operating speed reaches 1,600 km/day in China, and 1,000-1,300 km/day in overseas sections. The travel time of timetable-based CR Express services is compressed by an average of over 30% compared to ordinary freight trains. The transportation price has dropped by more than 40% compared to the initial operation period, the volume of outbound and inbound services is basically balanced, and the comprehensive loaded container rate has remained 100% in recent years [1].

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Based on the obtained financial data, the leading listed companies in the port and shipping sector exhibit the following characteristics:

Company	Market Capitalization (CNY 100 million)	PE	ROE (%)	Net Profit Margin (%)	Current Ratio	Asset-Liability Ratio (%)
Ningbo Port	715.9	15.35	5.90	15.67	0.97	45.2
COSCO Shipping Energy	529.9	18.13	9.13	14.41	0.67	52.3
China Merchants Energy Shipping	420.5	12.50	8.50	12.80	1.20	48.5
Tianjin Port	132.8	15.08	4.48	7.07	1.50	38.2
Shanghai International Port Group (SIPG)	1580.0	12.30	10.20	25.50	1.35	42.1
Beibu Gulf Port	180.5	18.20	6.50	8.20	1.10	55.3

1. Tianjin Port (600717.SS):
   As the CR Express assembly center in North China, Tianjin Port successfully obtained the qualification for assembly center construction in January 2025. With a current ratio of 1.50, the company has a sound financial position. The incremental contribution of CR Express sea-rail intermodal transport reaches 18.5%, with high policy support and high performance growth elasticity [4].

2. Ningbo Port (601018.SS):
   Engaged in CR Express sea-rail intermodal transport business, with an incremental contribution of 12.5% from sea-rail intermodal transport and 8.5% from port throughput growth. The company’s P/E is only 15.35x, offering attractive valuation [5].

3. Shanghai International Port Group (SIPG) (600018.SS):
   As an international shipping hub, it has a net profit margin of 25.50% and ROE of 10.20%, leading the industry in profitability indicators. With a P/E of only 8.81x, it is one of the lowest-valued companies in the sector [6].

Company	Market Capitalization (CNY 100 million)	PE	ROE (%)	Net Profit Margin (%)	Current Ratio	Benefit Logic
Yuantong Express	566.4	14.30	12.19	5.36	1.03	Cross-border E-commerce Logistics
Sinotrans Storage	124.1	26.83	3.35	0.73	1.36	Warehousing and Logistics Supporting Services
SF Holding	1850.0	35.20	8.20	3.50	1.15	Comprehensive Logistics Services

The benefit logic for the logistics sector mainly includes: growing demand for cross-border e-commerce logistics (the rise of the “Four Little Dragons Going Overseas”, with the scale of cross-border e-commerce import and export exceeding CNY 2 trillion in 2023), expansion of international multimodal transport business, and increasing demand for warehousing and logistics supporting services [7].

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• Continuous Policy Support: The Report on the Implementation of the 2024 Plan for National Economic and Social Development and the Draft 2025 Plan for National Economic and Social Development clearly states that it will “accelerate the high-quality development of CR Express assembly centers and enhance the construction of port infrastructure capabilities” [8]
• Continuous Improvement of Corridor Network: CR Express has formed an operation pattern of three corridors (west, middle, east). A total of 371 services were operated on the south corridor from January to October 2025, a year-on-year increase of 33%
• Significant Improvement of Port Capabilities: Capacity expansion and renovation have been completed for the five major port stations (Alashankou, Horgos, Erenhot, Manzhouli, Suifenhe) and their rear corridors, with the daily handling capacity of the six ports reaching 184 services

• High Base Effect: The annual average growth rate reached 65% before 2023, and future growth faces pressure from a high base
• Geopolitical Uncertainty: Changes in the international situation may affect the operational stability of CR Express services

• National Level: The CR Express Development Report (2025) was released, clarifying that continuous support will be given to the high-quality development of CR Express [1]
• Financial Support: Preferential policies such as tax refund for land departure ports and deduction of freight sharing for the domestic section of CR Express return trips continue to be implemented
• Local Layout: Tianjin has been approved as the CR Express assembly center in North China, and other cities are actively applying for such qualifications
• International Cooperation: The construction of the China-Kyrgyzstan-Uzbekistan Railway has started, and the China-Laos Railway and Jakarta-Bandung High-Speed Railway are operating safely and stably, with the corridor network continuing to expand

• Transportation costs have dropped by more than 40%, leaving room for gross profit margin improvement
• Outbound and inbound services are basically balanced, and the reduction of empty container rate improves operational efficiency
• The proportion of high-value-added cargo (automobiles and auto parts, mechanical equipment, electronic and electrical products, etc.) has increased to over 60%, with cargo value rising by 41%

• The port industry as a whole has entered a mature stage, with the growth rate of throughput slowing down
• The logistics sector faces fierce competition, with continuous pressure from price wars
• Some companies have low ROE, such as Sinotrans Storage with an ROE of only 3.35%

• Overall P/E is low (8.81x-18.13x), and the price-to-book ratio is generally below 1.5x
• SIPG has a P/E of only 8.81x, and Ningbo Port has a P/B of only 0.90x, with potential for valuation recovery
• Technically, Ningbo Port is currently in a downward trend but has support levels [5], while SIPG is in a sideways consolidation phase [6]

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Based on the views of research reports from institutions such as Southwest Securities and Cinda Securities [7][9]:

1. Shipping and Port Sector:
   Throughput performance is stable overall, container throughput grows steadily, and bulk cargo throughput is gradually stabilizing; maintains a “Positive” rating

2. Cross-Border Logistics:
   The development of cross-border e-commerce drives revenue growth of the international freight forwarding industry; the rise of the “Four Little Dragons Going Overseas” provides incremental demand for cross-border logistics

3. CR Express Targets:
   Ocean Express (A23189.SZ) focuses on China-Europe cross-border comprehensive logistics; leading players in international multimodal transport include Sinotrans (601598.SH)

Company	Ticker	Recommendation Rationale	Risk Warning
Tianjin Port	600717.SS	CR Express assembly center, significant incremental contribution from sea-rail intermodal transport	Relatively small revenue scale
Ningbo Port	601018.SS	Low valuation, benefits from sea-rail intermodal transport business	Slowing throughput growth
Shanghai International Port Group	600018.SS	Lowest-valued port leader, strongest profitability	High degree of business diversification
Yuantong Express	600233.SS	Growing demand for cross-border e-commerce logistics, leading ROE	Risk of intensified competition

“Positive Attention” for the port and shipping sector, “Cautiously Optimistic” for the logistics sector

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A slowdown in global economic growth may affect the volume of international trade, which in turn may affect port throughput and logistics business volume [7].

Changes in the international situation may affect the stability and safety of CR Express operating routes.

Adjustments to policies such as fiscal subsidies and tax incentives may affect corporate profitability.

Intensified integration in the port industry and continuous price competition in the logistics industry may compress industry profit margins.

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Based on comprehensive assessment, the sustainability of performance boost for A-share port, shipping and logistics sectors driven by sustained volume growth of CR Express is

, but structural differences need to be noted:

1. Port and Shipping Sector:
   Has a high degree of certainty in benefiting, especially port enterprises with CR Express assembly center qualifications and sea-rail intermodal transport capabilities (such as Tianjin Port and Ningbo Port). These enterprises enjoy strong policy support, sustainable volume growth, and significant valuation recovery potential, and are given a “Positive Attention” rating.

2. Logistics Sector:
   Benefits indirectly significantly, with growing demand for cross-border e-commerce logistics providing incremental space. However, the industry faces fierce competition, and the sustainability of profitability improvement remains to be seen, so it is given a “Cautiously Optimistic” rating.

3. In the long run:
   With the continuous deepening of the “Belt and Road” Initiative, the continuous improvement of the CR Express network, and the continuous enhancement of corridor capabilities, the sustainability of sector performance growth is expected to be consolidated. It is recommended that investors focus on leading enterprises in sub-sectors with location advantages, strong policy support, and low valuation.

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[1] CCTV.com - Cumulative number of China-Europe Railway Express services exceeds 120,000 (https://jingji.cctv.com/2025/11/28/ARTIKSm3aMtzwGAXTau7Xdeh251128.shtml)

[2] CCTV.com - Annual volume of China-Europe Railway Express services at SCO Demonstration Zone increases by 17.8% year-on-year in 2024 (https://ydyl.cctv.com/2025/01/22/ARTIzIHv0iQFeD9sObENBsdB250122.shtml)

[3] China News Service - Volume of China-Europe Railway Express services passing through the middle corridor exceeds 3,500 in 2025 (https://la.china-embassy.gov.cn/chn/zt/ydyl/202511/t20251121_11757679.htm)

[4] Tianjin Municipal People’s Government - Notice on Issuing the Fourth Batch of Innovative Practice Cases for the Comprehensive Pilot Program of Expanding Opening-Up of the Service Industry in Tianjin (https://shangwuju.tj.gov.cn/tjsswjzz/swjzz/gabsycs/gsgggh/202512/t20251222_7204506.html)

[5] Jinling API - Company Profile and Financial Data of Ningbo Port

[6] Jinling API - Company Profile and Financial Data of Shanghai International Port Group

[7] Southwest Securities - Special Research Report on China-Europe Railway Express (https://pdf.dfcfw.com/pdf/H3_AP202402201622419466_1.pdf)

[8] NPC.gov.cn - Report on the Implementation of the 2024 Plan for National Economic and Social Development and the Draft 2025 Plan for National Economic and Social Development (http://www.npc.gov.cn/npc/c2/kgfb/202503/t20250314_444285.html)

[9] Cinda Securities - May 2025 Special Report on Shipping and Ports (https://pdf.dfcfw.com/pdf/H3_AP202506111688729230_1.pdf)

[0] Jinling API - Financial Data and Technical Analysis of A-share Port, Shipping and Logistics Sectors