China pilots reform to reduce logistics cost
China has designated six provincial-level regions as pilot areas to reduce cost and increase efficiency in logistics as the country seeks to further boost the sector's growth.
Shanxi, Jiangsu, Zhejiang, Henan and Sichuan provinces and Chongqing Municipality will take reform measures based on local conditions from September 2019 to August 2021, according to a document by the country's top economic planner and transport ministry.
China has the world's largest logistics market, with a total logistics volume of 283.1 trillion yuan (US$39.61 trillion) in 2018. The ratio of total logistics expenses to GDP stood at 14.8 percent by the end of last year.
The total value of China's logistics in the Jan.-Aug. period grew 5.8 percent year on year to 188.6 trillion yuan, according to the China Federation of Logistics and Purchasing.
In the first eight months, total logistics costs came in at 8.9 trillion yuan, up 7.8 percent year on year.