As the US-Israel war on Iran stretches past its 80th day and continues to upend global naval shipping, a growing number of Chinese investors in Iran are turning to railway and overland transport routes to keep their businesses afloat.
While disruptions to ship traffic in the Strait of Hormuz show little sign of abating, many are hoping that transcontinental freight links across Eurasia could become a more reliable option.
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Chinese trader Han Yun has spent recent weeks travelling long distances between the province of Xinjiang and cities of Xian and Yiwu – a journey spanning thousands of kilometres across China’s vast interior. He has been racing to secure transport capacity in the hope of shipping goods back to Tehran once conditions improve.
To do that, Han has been comparing the costs of trucking routes and the China-Europe Railway Express.
“Rail slots for May are already fully booked, so we’re checking different places to see if we can get space in June,” he said. “If not, we may just send the goods out by truck.”
Han has been selling small household appliances in Iran since 2023. But after returning to China in January, his business income has effectively dried up.
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According to Han, only Iran Air cargo services remain partially operational for maritime-linked transport, while demand among Chinese traders for railway freight has surged.