DB Cargo Eurasia Gmbh Your Strategic Partner on the Rail Corridor Between Europe and China – from 1000 to More and More Trains

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DB Cargo Eurasia Gmbh Your Strategic Partner on the Rail Corridor Between Europe and China – from 1000 to More and More Trains DB Cargo Eurasia GmbH Your strategic partner on the rail corridor between Europe and China – from 1000 to more and more trains. Together. Dr. Carsten Hinne | DB Cargo AG | October 2018 Chinas – „Belt and Road“-Initiative is a strong driver for growth on the rail corridor between Europe and China Great potential for rail freight transport between Europe and China New European Land Bridge 6,200 rides since 2011 70 % of the trains run from east to west 3,200 rides in 2017 only 50 % of the trains from west to east are empty 4,000 rides in 2018 expected Ca. 350,000 40-foot container each year 0,9 % share of rail freight transport contributes to the total freight x2 transport of Eurasia transport share of the rail in the next Cost: 200 % Cost: 25 % decade possible Duration: 15 – 20 d Duration: 25 % Duration: 200 % 3 DB Cargo AG | Dr. Carsten Hinne | DB Cargo Eurasia The first eastbound train from DB Cargo was operated in 2008 for Fujitsu Siemens Routing Fujitsu-Siemens Computers Example Fujitsu-Siemens train Company Train 12,000 km in 17 days – from Xiangtang to Hamburg Customer’s opinion Fujitsu-Siemens: “We save one third of transportation costs and 95 % of CO2 emissions compared to the air freight transport. This shows us that the rail transport is the best solution for us regarding economical as well as ecological perspective.” (Heribert Göggerle, Senior Vice President Supply Operations, Fujitsu Siemens Computers) 4 DB Cargo Eurasia | Dr. Carsten Hinne 5000 trains will be operated in 2020… No. of trains Until 2011 2012 + 2013 2014 + 2015 2016 + 2017 2018 - 2030 1st train started in 2008 Regular trains east- Growing number of 2200 trains WB and Rail potential from Beijing to Hamburg and westbound (CN- east- and westbound 1100 trains EB were according UIC*-study: EU v.v.) train services operated in 2017 by 2010: tests on Northern the end of November . 7756 trains in 2027 and Southern route Regular container DB Schenker enlarged (21 train daily) shipments from China service portfolio: ChinaRailways 2011: Company trains to CIS countries announced to . 9880 trains in 2030 Chongqing – Duisburg . Rail/Air increase number of First regular multi- (27 trains daily) and . LCL trains per year up to customer train Leipzig – Shenyang . Reefer shipments . 5000 trains in 2020 *presented August 2017 with Zhengzhou–Hamburg Roland Berger in Paris Source: DB Schenker 5 DB Cargo Eurasia | Dr. Carsten Hinne DB’s network of Land Transport is well ILLUSTRATIVE connected by New Silkroad rail system Key USP: leading networks of DB Cargo and DB Schenker Land Transport in Europe and China are seamless connected by Trans-Eurasian intermodal blocktrains RU UK PL BY DE CZ UA FR KAZ MN RO ES TR TM KR JP Northern route CN Southern route IR Tested routes Short Sea connected Gauge change (1435/1520/1668) Regular services Tested services Source: DB Schenker 6 DB Cargo Eurasia | Dr. Carsten Hinne DB is an international mobility and logistics company that was formed from several large, long-established companies Family tree of Deutsche Bahn AG (simplified) Acquisitions (selection) Acquisitions The beginning: Rail line Deutsche connecting Nuremberg Split into Deutsche Bahn AG and Fürth Bundesbahn established and Deutsche 1835 Reichsbahn 1931 1949 1991 1994 2000-2002 2005-2009 1872 German Imperial Railway buys Schenker 2010 International Schenker Schenker reacquired mobility established Majority stake in and Schenker sold to logistics Stinnes AG company 1938 1997 Arriva Today Cowie family opens Renamed acquired motorcycle shop "Arriva" 7 DB Cargo Eurasia | Dr. Carsten Hinne Through its eight business units1, DB operates in every segment of the transport market Passenger Transport: Freight Transport and Logistics: Infrastructure: Moving people from A to B – in Smart logistics by land, sea and air Efficient, future-oriented rail Germany and throughout Europe infrastructure in Germany DB Cargo DB Long Distance European rail freight transport DB Netze Track Long distance rail passenger Rail network DB Schenker transport2 Global logistics services DB Netze Stations DB Regional Passenger stations Regional and local passenger DB Netze Energy transport in Germany Traction power DB Arriva Regional and local passenger transport in Europe3 1 The former DB Services Business Unit has been dissolved and its responsibilities distributed across the DB divisions; 2 In Germany and cross-border transport 3 And long-distance rail transport in the UK, through CrossCountry, an Arriva subsidiary 8 DB Cargo Eurasia | Dr. Carsten Hinne DB holds leading market positions – in Europe and throughout the world Infrastructure No.1 Rail infrastructure Passenger Transport No. Freight Transport 1 No.1 and Logistics Operation of rail stations Regional and local rail passenger transport No.1 No. Rail freight transport 2 Long distance rail passenger No. 3 transport Air freight No. 1 No. Land transport No. 3 3 Ocean freight Public road transport No.5 Contract logistics 9 DB Cargo Eurasia | Dr. Carsten Hinne DB Cargo has a strong European network and is the number one in European rail freight transport Profile With some 4,200 private customer sidings in Europe, DB Cargo offers its customers access to one of the world's largest rail networks DB Cargo's international network follows the major European rail freight corridors DB Cargo offers European rail transport in the form of block train, single car and multimodal services DB Cargo in 2017 Tailor-made transport and logistics solutions are also available as Revenues EUR 4,528 bn additional services that can link the rail mode with road (trucking) and ocean freight service EBIT EUR -90 m The key industries served by DB Cargo are metals and coal, chemicals, automotive, building materials, industrial and consumer goods as well as Employees (FTEs) 28,257 intermodal transport Metric ton km 92,651 bn DB Cargo's customers are primarily key accounts Most of DB Cargo's services are carried out using its own fleet of Freight carried 271 million t locomotives and freight cars Fleet1 2,758 / 83,386 Avg. dist. transported 342 km 1 Locomotives / freight cars 10 DB Cargo Eurasia | Dr. Carsten Hinne DB Cargo offers its customers a comprehensive European network DB Cargo Your personal performance: Over 28.000 employees in 16 country- organizations DB Cargo UK DB Cargo Scandinavia Doncaster Tåstrup in Europe DB Cargo Polska DB Cargo Russija are at your service DB Cargo Nederland RBH Logistics Zabrze Moscow Utrecht Gladbeck RBH LogisticsMEG DB Cargo Czechia Schkopau DB Cargo DE MEG Ostrava Mainz ECR France DB Cargo Hungaria 1 Paris DB Cargo Györ DB Cargo Schweiz Frankfurt DB Cargo Romania Glattbrugg Bucharest DB Cargo Italia Transfesa Milan Madrid DB Cargo Bulgaria Etihad Rail DB Pirdop Abu Dhabi 1 European Headquarter 11 DB Cargo Eurasia | Dr. Carsten Hinne DB Cargo is clear No. 1 in European rail freight Leading position in Europe… … based on substantial strengths Market share 2016e, in % based on tkm1 22 8 Rail logistics solutions Products tuned to customer needs 7 7 Safety High safety 51 performance in operations Source: Eurostat, companies, UIC, L.CVE 12 DB Cargo Eurasia | Dr. Carsten Hinne Over 250 multimodal logistics centers: your door to Europe-wide logistics services 2 Our logistics services for you: Organization of collection and delivery by 33 truck 9 Transshipment Open-air and warehouse storage offers you more free space in your own warehouse 94 6 15 8 Order picking, delivery on call, regional just- in-time/just-in-sequence transport, 11 3 consignment tracking 6 8 Your advantages: 20 3 No private siding needed for combined 6 rail/road transport All aspects organized by us 18 2 Wide range of goods (including small volumes, e.g., palletized goods) 12 2 Fast, economically and environmental-friendly 1 transport 13 DB Cargo Eurasia | Dr. Carsten Hinne In 2018 Deutsche Bahn established DB Cargo Eurasia in order to move even more traffic between Europe and China With Offices in Berlin, Moscow and Shanghai • Permanent direct communication with the Chinese logistics platforms • We offer you: the best possible solution with best lead times based on DB Cargo's extensive rail network • Equipment in most European and Chinese cities: availability upon request • Tailored transport solutions (pre-/on-carriage, container stuffing, reefer container transports and more) • We will still remain neutral to provide the forwarders with the best available service. 14 DB Cargo Eurasia | Dr. Carsten Hinne Network of DB Cargo Eurasia – Main routes Our delivery network is one of the largest in the industry. Up to 10 weekly trains heading both directions Transit time starting from as low as 11 - 14 days Service available: Equipment Track and Trace Handling & Trucking 15 DB Cargo Eurasia | Dr. Carsten Hinne Alternative multimodal route: sea freight Baltiysk-Rostock-Baltiysk Your advantage compared to Hamburg Advantage Rostock Hamburg Rostock Seafreight/ Seadistance 300 nm 449 nm Frequency 3 calls per week 1 call perweek Locks and Kiel chanel RU risk for delay and Reliability No locks/ NoChanel Baltiysk more costly Rostock Leadtime DE seajourney 1-2 days 2-9 days Full control aboutsupply Dependend ofliner Independence chain, dedicatedloop service Hugh potential -> every As part ofan existing Costsaving add. container creates an liner service stable potential directimpact on rates rates Stand alone position, No stand alone, no Terminal short ramp upphase ramp up phase Dedicated by rail Shunting on highly operator, optimization frequented Distribution possible
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