The Port of Shanghai has developed at an astonishing pace, with capacity ballooning from 14 million TEU in 2004 to 36.5 million TEU in 2015. This rapid expansion was largely thanks to the construction of the Yangshan Deepwater Port, which opened in 2005 and can handle the world’s largest container vessels. SIPG reported a net profit of USD1.01 billion for 2015, down 3% from USD1.042 billion in 2014. While profit dipped, the Chinese port operator reported a 2.5% year-on-year increase in annual revenue to USD4.54 billion. The higher revenue was mainly due to increased container throughput, even as China’s economic growth is slowing down. Shanghai offers container terminals located in Yangshan, Waigaoqiao and Wusong with over 13km of quay length, 43 berths, 156 quay cranes and container yards totalling 6,730,000m2. Yangshan Deepwater Port handles vessels serving trades to/from Europe, the Mediterranean, East US, South America and Africa. It is equipped with twenty-seven 40-foot twin-lift quay cranes with a recorded quay crane handling efficiency of 196.64 moves/hour and vessel productivity of 850.53 moves/hour. Waigaoqiao Port area mainly deals with vessels serving Southeast Asia, Japan, South Korea, Australia, West US and the Middle East, whilst Wusong Port area handles boxes serving domestic trade. Overall, the Port of Shanghai reports an average crane handling efficiency rate of 30-35 moves/hour. The beginning of 2016 showed container throughput taking a slight hit with the port handling 5.53 million TEUs in the first two months, down 3.5% compared to the corresponding period the previous year. However, figures were marginally higher in February compared to the same month in 2014, with throughput recorded at 2.59 million TEUs – representing a small rise of 0.8%. Container volumes continued to creep up in April, reflecting a year-on-year 0.3% increase to 3.12 million TEUs, overall however, the first four months of 2016 showed a decrease of 1% in total throughput coming in at 11.66 million TEUs. In May, container traffic was down both year-on-year and month-on-month, recorded at 3.09 million TEUs dipping by 2.2% compared to 3.16 million TEUs last year. In the first five months 2016, Shanghai moved a total throughput of 14.75m TEUs, a decrease of 1.3% from 14.94 million TEUs registered in the same period of 2015. The port recorded a 2.2% year-on-year increase in June container volumes to 3.14 million TEUs, while on a month-to-month basis, a 1.8% increase was experienced in June compared to the month prior. The general trend of a decline in foreign demand for China-made products may certainly be a factor in the fluctuating throughput numbers. China’s top-eight container ports handled fewer containers in October 2015 compared with the same month in 2014. China’s economy grew 6.9% in the third quarter of last year, dropping below 7% for the first time since the global financial crisis. Combined exports and imports were down 8.5% for the first ten months of the year, well below the full-year official target for growth of 6%. Looking towards the future, SIPG’s vision is to become an outstanding global terminal operator and further develop their home port while expanding around the world. Their goal was realised earlier this year when they won the bid for the concession of Bayport Terminal at the Port of Haifa. Expected to be in full operation in 2021, SIPG will be responsible for construction of the facilities at the back terminal and deployment and installation of the equipment, as well as the daily running and operation of the terminal. With a total 1.5km of quay length, a 78ha surface and a 17.3m draught, Bayport New Terminal will handle an annual container throughput of 1.86 million TEUs. Furthermore, in order to maintain rapid and healthy development in containerisation – in addition to consolidating Shanghai’s position as the pivotal port of international shipping – SIPG are implementing the Yangtze River strategy, Northeast Asia strategy and Internationalisation strategy focusing on cargo handling, port logistics, port services and port commerce. As the direct hinterland for Port of Shanghai, the Yangtze River valley is a critical area for sustainable growth and the cornerstone of development plans for SIPG.
Thursday, January 9, 2025
