Blockchain Solutions for International Logistics Networks along the New Silk Road between Europe and Asia

Abstract

The primary research that underpins this paper seeks to explore the applications of blockchain technology on a specific international corridor and to draw policy implications for decision makers. To analyze the bottlenecks of operating on the New Silk Road and to identify opportunities for applying the blockchain technology on this corridor, a survey was conducted among main train operators and experts working on this route. These responses provide insight into the issues related to the adoption of blockchain technology from front-line actors. The top three challenges are lack of capacities, congestion at transshipment terminals, and slow border crossing. Through the application of blockchain technology, the operators are presented with opportunities for improved accuracy in the processing of data and information, higher reliability of information flows through failure-free transfer of information, and improved traceability of supply chains through irrevocable input of status information. Currently, 50% of the respondents have started to implement blockchain applications or have an actual interest to apply blockchain solutions. For a wider implementation of blockchain solutions, business models need to be developed allowing private and permissioned access that is accepted and open for parties involved. Policy makers should facilitate these digital innovations through flexible and harmonized legal regulations on an international level.

Keywords

• New Silk Road
• blockchain
• international logistics networks
• supply chains