On July 2, 2019, BMW Brilliance sent out the first batch of freight trains under the new cooperation framework with China Railway Special Cargo Logistics Co., Ltd. from Tiexi Plant. China Railway Special Cargo Logistics Co., Ltd. is a professional transportation enterprise directly under China State Railway Group Co., Ltd. The five-year contract makes BMW Brilliance the first luxury automaker in China to directly sign a national front-end transportation contract with China Railway Special Cargo Logistics Co., Ltd. This close cooperation will prompt the two parties to continuously optimize the operation process and improve logistics efficiency. This move demonstrates BMW Brilliance’s commitment to further comprehensively improve its green logistics network, actively promote sustainable development and take root in China.
BMW Brilliance has always regarded sustainable development as a core of its corporate strategy, and has a clear goal: to become a leader in the sustainable development of high-end personal mobility based on China’s auto industry and industrial chain. Therefore, reducing the impact on the environment through green logistics has become one of the strategic priorities of BMW Brilliance’s corporate development. In response to the call of the Chinese government, BMW Brilliance implemented multimodal transportation and prioritized the use of low-carbon transportation methods including boats and trains. Since 2014, BMW Brilliance has reduced the average carbon emissions per vehicle by 50% by significantly increasing shipping and train freight. At the same time, the company also adopted more environmentally friendly liquefied gas-powered trucks for some local transportation routes.
At present, 78% of BMW Brilliance vehicles have been delivered by railway, making it the company with the highest proportion of railway transportation among Chinese automakers. Compared with road transportation, rail transportation saves energy, relieves traffic congestion, reduces carbon dioxide emissions, and is less restricted by weather and traffic conditions. These well-preserved finished vehicles are directly transported by rail from BMW Brilliance’s Tiexi plant to Dalian (and then to the southern region), Xi’an, Chengdu and Zhengzhou four vehicle distribution centers. In the future, the Dadong plant will also open direct railway transportation, which is expected to be completed in 2022. This railway connection will further enhance the efficiency of BMW Brilliance’s railway transportation, reduce carbon dioxide emissions, and replace more than three quarters of local trucks in the Dadong plant. Transportation has greatly eased the traffic congestion in Shenyang City. Since the systematic use of railways to replace trucks in 2015, BMW Brilliance has reduced a total of 40,000 tons of carbon emissions, which is equivalent to the carbon emissions of 6,500 three-person families for more than a year. At the same time, BMW Brilliance has reduced the mileage of trucks by more than 100 million kilometers, which is equivalent to 260 round trips from the earth to the moon.
Although in-plant logistics still requires a greater proportion of trucking, BMW Brilliance is actively looking for alternatives to green operations and reduce carbon emissions, including gathering leading suppliers in Shenyang to reduce driving distances, thereby enhancing the efficiency of the supply chain, boost the local economy. At the same time, BMW Brilliance is also significantly reducing the use of single-use packaging in in-plant logistics. Currently, more than 90% of the company’s components are packaged in reusable packaging.
BMW Brilliance has always fulfilled its commitment to sustainable development. In the next few years, it will further strengthen its green logistics and seek innovative ways to reduce its impact on the environment along its value chain. At the same time, the company will continue to provide customers with the highest quality products and services.