Digital Transformation of Cross-Border Logistics in Landlocked Countries: Drivers, Barriers, and Pathways

Landlocked developing countries (LLDCs) face structural disadvantages in cross-border logistics, with trade costs up to 74% higher than the global average and border crossing times twice as long as those of coastal countries. Digital transformation offers a pathway to overcome these geographic constraints, yet the drivers, barriers, and implementation pathways specific to LLDC contexts remain poorly understood. This study employs a mixed-methods research design combining quantitative survey data (n=127) from Mongolian logistics stakeholders with qualitative semi-structured interviews (n=18) and document analysis to investigate the digital transformation of cross-border logistics in Mongolia—a paradigmatic LLDC situated between China and Russia. Quantitative findings identify trade facilitation pressure (mean=4.21/5), cost reduction potential (mean=3.94), and regional integration commitments (mean=3.76) as the strongest drivers, while infrastructure limitations (mean=4.38), regulatory fragmentation (mean=4.02), and skills shortages (mean=3.87) emerge as dominant barriers. Qualitative analysis reveals four implementation pathways: incremental customs automation, corridor-level digital integration, platform-based logistics ecosystem development, and cross-border e-commerce enablement. A multi-stage pathway model is proposed, linking short-term customs digitalization to long-term multimodal digital corridor integration. The study contributes a context-sensitive framework for understanding digital transformation in LLDC logistics and provides actionable insights for policymakers in Mongolia and comparable landlocked economies.