The customer is understood to be E-Commodities Holdings Limited, which was formerly known as Winsway Enterprises and provides coal trading and logistics services between Mongolia and China. As Winsway, it established an ‘integrated end-to-end service platform’ of logistics parks, border crossing infrastructure and road and rail transport assets. In 2021 the company’s integrated supply chain services recorded sales revenue of HK$982M.

For the cross-border journey, Winsway implemented a containerised bulk supply chain, and in 2020 and 2021 purchased and leased over 1,000 truck trailers and 13,000 20ft containers. It recruited nearly 800 Mongolian truck drivers and started operating the containerised supply chain in October 2020.

In addition, the company “proposed to implement China’s leading automated guided vehicle [AGV] unmanned crossborder transportation project at Sino-Mongolian ports, which has been put into construction and successfully tested, and submitted for approval by relevant authorities”, it said.

Moving ahead with the AGV project has become more pressing due to the coronavirus pandemic. In 2021, stricter border control measures were implemented on both sides of the border, and Chinese authorities restricted the number of trucks that could cross each day. E-Commodities subsequently booked impairment losses of HK$177M on reduced utilisation of its trucking assets.

AGVs could keep the supply chain flowing. “The AGV unmanned cross-border transportation project will realise an intelligent upgrade on the traditional mode of automobile transportation and customs clearance, greatly improving transportation efficiency,” said E-Commodities. “Its features of ‘non-contact, green, intelligent, safe and efficient’ provide a potent solution for the cross-border trade between China and Mongolia under the ongoing COVID-19 pandemic, and will further drive the cross-border transportation at Sino-Mongolian ports to be more efficient and environmentally friendly.”

The ZPMC AGVs are eight-wheel machines – presumably required for carrying two 20ft containers of heavy coal – with a hybrid drive system featuring a diesel engine and a lithium-ion battery. ZPMC said the hybrid drive system saves 1.8-2.2 litres of fuel consumption per hour. The project could be the start of an important new market for the company. “We believe it can help take a step further in global green development and boost the application of AGVs to more fields,” it said.