E-YUAN INTERNATIONAL LOGISTICS LIMITED

Deepen Logistics Cost Reduction and Efficiency Enhancement, Stabilize Economic Operation Chassis

The logistics industry is characterized by a large number of employees, a wide range of service industries, and deep integration of consumption. It is a key area for achieving "six stability" and implementing "six guarantees". In particular, the coordinated promotion of normalized epidemic prevention and control and economic and social development has put forward new requirements for stabilizing logistics costs and improving logistics quality.

Recently, the General Office of the State Council forwarded the "Implementation Opinions on Further Reducing Logistics Costs" (referred to as the "Implementation Opinions") issued by the National Development and Reform Commission and the Ministry of Transport. Based on the achievements made in reducing costs and increasing efficiency in the logistics industry, the General Office further focused on fundamental issues and proposed practical measures to deeply promote cost reduction and efficiency in the logistics industry, which is crucial for accelerating the restoration of production and living order Building a modern economic system has very important practical significance and long-term impact.

Based on the current and long-term perspective

Logistics Cost Reduction Promotes High Economic Quality

From the current national economic operation situation, although the epidemic has been effectively contained, the strong impact of the epidemic on consumption, investment, and production is still in the digestion stage. In addition, the widespread spread of the epidemic globally has led to cross-border trade suspension, financial futures turbulence, and obstruction of international logistics flow, severely impacting the global industrial division of labor and trade pattern, and adding more uncertainty in addition to economic structural and cyclical factors.

The logistics industry is a fundamental and strategic industry that supports the development of the national economy. The promulgation of the "Implementation Opinions" will inject new impetus and point out new directions for the logistics industry to further reduce costs and increase efficiency. On the one hand, it can accelerate the stability of the international logistics market and effectively alleviate the current difficulties of rising international freight prices and declining service efficiency. On the other hand, through the transmission mechanism of cost reduction, reducing the logistics costs of real economy enterprises can create space for the transformation, upgrading, and innovative development of real economy enterprises, tap the potential of "new supply" and "new demand", and expand the domestic market.

Transportation is the fundamental link and important carrier of the logistics industry. In recent years, the transportation industry has made reducing logistics costs a key task, taking multiple measures from structural costs, institutional costs, management costs, technical costs, and service costs. A series of policy measures have been implemented to achieve positive results in reducing logistics costs. The issuance of the "Implementation Opinions" is not only the continuation and deepening of the work of promoting logistics cost reduction and efficiency in transportation, but also a practical measure to build a "global 123 fast freight logistics circle" and promote "efficient and economic multimodal transportation of goods" after the construction of a strong transportation country is launched, and to fulfill the historical mission of being a "pioneer".

In addition, the development of China's logistics industry has long been constrained by the market's "scattered and small" pattern, with logistics enterprises of Class A and above accounting for less than 0.2% of the country. Under the impact of the epidemic, although the logistics industry has undergone a positive adjustment of survival of the fittest, the objective characteristics of "seeking survival with minimal profits" and "focusing on small businesses" have led to a lack of momentum for the stable development of the logistics industry. The implementation of the "Implementation Opinions" has released a positive signal for the market, effectively reducing burden and cost for enterprises. It is not only conducive to social employment stability, but also accelerates the integration and transformation of the logistics market.

Multi party cooperation and full chain efforts

Logistics Cost Reduction Enters a New Stage of Collaboration

The "Implementation Opinions" focus on the "bottleneck" issue in the logistics industry, proposing 24 practical measures from six aspects: deepening key link reforms, strengthening land and financial security, implementing tax and fee reduction measures, strengthening information openness and sharing, promoting efficient connection of logistics facilities, and promoting logistics quality and efficiency improvement. They strive to reduce the institutional cost, factor cost, tax cost, information cost, and intermodal cost of logistics, It has the distinct characteristics of "abundance, comprehensiveness, practicality, and novelty".

Multi departmental collaboration. The measures of the Implementation Opinions involve a total of 13 relevant departments, including not only the National Development and Reform Commission, the Ministry of Transport, the Ministry of Commerce, the Ministry of Public Security and other relevant departments closely related to logistics business, but also the Ministry of Natural Resources, the Ministry of Housing and Urban Rural Development, the Ministry of Finance, the People's Bank of China, the China Banking and Insurance Regulatory Commission, the China Development Bank and other relevant departments that are not deeply related to logistics business but have a significant impact. Through departmental collaboration and division of labor, jointly promote the reduction of logistics costs.

Full chain collaboration. The Implementation Opinions start from the entire logistics chain and propose measures that cover various elements of the logistics chain, such as systems, funds, land, information, transportation, and facilities. They clearly extend the perspective of reducing logistics costs from a single link or field to the overall cost of the logistics chain, which is conducive to unifying and improving the accurate understanding of logistics costs from all sectors of society.

Take practical measures to solve the problem. The measures proposed in the Implementation Opinions are pragmatic and concise, proposing specific paths to further reduce logistics costs. In response to old problems such as urban distribution, road access, and difficult land use, Proposed "clarifying the conceptual scope of urban distribution vehicles, relaxing the traffic restrictions of standardized light and micro distribution vehicles", "researching the inclusion of the construction of parking and unloading sites for urban distribution vehicles in urban construction and architectural design standards", "effectively reducing the transportation cost of fresh and cold pork and other fresh agricultural products", and "for the national and relevant departments, provinces (autonomous regions, municipalities directly under the central government) Effective measures such as providing key guarantees in terms of construction land indicators for major logistics infrastructure projects such as national logistics hubs, railway dedicated lines, and cold chain logistics facilities have been identified.

New direction guidance. The Implementation Opinions innovatively summarize the system of factor costs and information costs as an important direction for cost reduction, Innovative measures such as "guiding local governments to reasonably set performance evaluation indicators for logistics land", "fully leveraging the role of the national comprehensive credit service platform for small and medium-sized enterprise financing, promoting the" Xinyi Loan "model", and "ensuring information security, transportation, public security and traffic management, railways, ports, aviation and other units should open up public information related to logistics to society" have been proposed, It is conducive to mobilizing more social forces to participate in promoting the reduction of logistics costs.

Multi party linkage for long-term benefits

System Planning Logistics Cost Reduction Combination Fist

Reducing logistics costs is a sustained and systematic project that must adhere to high-quality development, with supply side structural reform as the main line, actively mobilize all social forces, identify key areas, and work together from multiple perspectives. With the positive response from various sectors of society after the issuance of the Implementation Opinions, the transportation industry should continue to vigorously promote logistics cost reduction and efficiency improvement. It should focus on measures related to the transportation industry, promote the "three collaborations", do a good job in the "three combinations", achieve the "three breakthroughs", and use transportation to promote the prosperity of logistics and the prosperity of various industries.

One is to strengthen the "three collaborations" between ministries, central and local governments, and government enterprises, and leverage the joint efforts of multiple parties. Make full use of the national interministerial joint meeting system for modern logistics work, strengthen communication, coordination, and division of labor among departments, and ensure the implementation of the "Implementation Opinions" measures. Further mobilize local enthusiasm, especially in areas such as "strengthening land and financial security, reducing logistics factor costs", fully mobilize local government initiative, and ensure that enterprises achieve practical results. Establish a smooth communication mechanism between government and enterprises, strengthen policy promotion and effectiveness tracking evaluation, and ensure policy accuracy, effectiveness, and timely optimization.

The second is to do a good job in the "three combinations" with strong transportation, new infrastructure, and new business formats, and transform the cost reduction effect into development achievements. In conjunction with the pilot implementation of the construction of a strong transportation country, support and encourage pilot areas and enterprises to implement and innovate measures to reduce logistics costs, and establish a modern transportation logistics system based on more economical and efficient logistics costs. Promote the combination of reducing logistics costs with new infrastructure, accelerate the construction of integrated infrastructure such as the new generation national traffic control network, smart roads, smart ports, and smart logistics parks, promote the use of emerging technologies such as 5G, the Internet of Things, artificial intelligence, and blockchain, and promote the full process online visualization and real-time control of goods, tools, stations, documents, and other elements transported, leading logistics cost reduction through information flow optimization. In addition, reducing logistics costs should be combined with the development trend of new formats, in accordance with the regulatory principles of "encouraging innovation, inclusiveness, and prudence", encourage innovation in logistics market entities, and guide logistics to "huddle together for warmth" through business models such as online freight and supply chain.

The third is to achieve the "three breakthroughs" in multimodal transportation, credit system, and platform construction, and enhance the sustained drive to reduce logistics costs. Using multimodal transportation as a breakthrough point for structural adjustment, establish a transportation situation of "suitable for railway, public transportation, and water", and advocate for more economical transportation behavior. Taking the construction of a credit system as a breakthrough point for environmental optimization, establishing and improving the integrity archives of market entities and market exit mechanisms, strengthening the effectiveness of credit incentives and penalties for dishonesty, and reducing transaction costs for enterprises. Taking platform construction as a breakthrough point for information interconnection, we will further strengthen the exchange and sharing of transportation information resources and open application platforms at the ministerial and provincial levels, break information silos, and solve the problems of insufficient information sharing, difficult business collaboration, and low convenience.