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Shenzhen Port Update Shenzhen Port Update September 12, 2007 Andrew M. Pan North American Representative Office of Shenzhen, China (NAROS) Outline • Overview • Terminals: YICT, SCT & CCT • Domestic and Global Network • Transportation System • Technology, Efficiency and Security • Warehousing and Logistics Parks • Future Development Plan • Government Incentives 2 Overview 3 Shenzhen 4 5 6 7 8 Serving South China • Gateway to Pearl River Delta (PRD), China’s major economic powerhouse and one of the world largest manufacturing bases. • Serving South China, a region of 2.16 million km² area, 500 million population, US$ 1 trillion GDP, and US$ 640.7 billion total import & export, accounting for 23%, 38%, 34.4% and 36.4% of China respectively. 9 Shenzhen Port: Throughput in Past 10 Years (TEU) 20,000,000 18,000,000 16,000,000 14,000,000 12,000,000 10,000,000 8,000,000 6,000,000 4,000,000 2,000,000 0 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 (Source: Shenzhen Statistics 2006) 10 World’s Busiest Container Ports 11 (Source: UNCTAD) China’s Top 10 Container Ports 12 (Source: Ministry of Communications, China) Terminals: YICT, SCT & CCT 13 Yantian International Container Terminals (YICT) 14 Yantian International Container Terminals (YICT) (8.87 million TEU in 2006) Item Phases I, II, III Expansion Project Total Total Area 208 136 344 (hectare) Deep-water 9 6 15 Container Berth Total Quayside 3,750 3,297 7,047 Length (m) Water Depth 14-16 16 14-16 Alongside (m) Water Depth of 16 16 16 Waterways (m) Quay Crane 41 30 71 Yard Gantry 166 120 286 Crane 15 Shekou Container Terminals (SCT) 16 Shekou Container Terminals (SCT) (3.87 million TEU in 2006) Item Phases I, II, III Expansion Project Total Total Area 86 21 107 (hectare) Deep-water 6 1 7 Container Berth Total Quayside 2,175 375 2,550 Length (m) Water Depth 12.5-16 16 12.5-16 Alongside (m) Water Depth of 15.8 15.8 15.8 Waterways (m) Quay Crane 24 4 28 Yard Gantry 70 12 82 Crane 17 Chiwan Container Terminals (CCT) (5.26 million TEU in 2006) Item Total Total Area 125 (hectare) Deep-water 9 Container Berth Total Quayside 3,100 Length (m) Water Depth 14.5-16 Alongside (m) Water Depth of 13.5-16 Waterways (m) Quay Crane 35 Yard Gantry 108 Crane 18 Domestic and Global Network 19 The Liner Companies Berthing at Shenzhen Port 20 Frequent Sailings to Global Destinations Destination YICT SCT CCT Total North America 38 10 12 54 (6)* South America 3 1 5 9 Europe 27 9 18 49 (5)* Asia/Middle East 7 23 17 47 Australia 1 1 3 5 Africa 1 0 3 4 Total 77 44 58 168 (11)* (* The sailings of the same course line of the same liner company berthing at two or more terminals) 21 • Domestic Network 16 domestic course lines 25 South China shuttle service lines 21 Hong Kong shuttle service lines 22 Transportation System 23 Land Transport • The sophisticated highway system to help integrate the port with highways to satisfy transport demands between the port and the hinterland of the PRD. • Roads already constructed and still under construction around the terminals totaling a length of 95 miles by 2010. • Another US$ 4 billion to be invested into highway system in 10 years. 24 Shenzhen Highway System 25 Land Transport Traffic Capacity by 2010 Land Transport Current Status Two-directional Lanes Traffic Capacity Infrastructure Per Day (PCU)* Yanpai Expressway In service 6 100,000 Yanba Expressway In service 6 100,000 Huiyan Expressway In service 4 25,000 Wutongshan Tunnel In service 4 50,000 Second Access to Yantian Early 2008 6 100,000 107 Highway In service 6 100,000 Meiguan Expressway In service 6 100,000 Guangshen Expressway In service 6 100,000 Guangshen Riverside Expressway 2010 6 100,000 Total 50 775,000 26 (*PCU-passenger car unit. One container truck is equivalent to about 3 PCU) Inter-Modal Transport • Inter-modal transport with Pingyan Railway and Pingnan Railway, the dedicated rail facilities connecting Shenzhen Port. • Both railways joining Beijing-Guangzhou Railway and Beijing-Kowloon Railway via Guangzhou-Shenzhen Railway, extending port services to other places in the PRD and the inland areas of China, even the east and central Europe. Railway Current Status Length Traffic Capacity Infrastructure (mile) (mil. ton) Pingyan Railway In service 12.5 5 Pingnan Railway In service 31.3 2.9 27 Shuttle Service 28 Technology, Efficiency and Security 29 Technology • Next generation “Terminal Operation Management System”. • Easyport (www.easyport.com.cn ) – a Port Community System. • Radio Data System (RDS) – a Port Communication Skynet. • Port Community Card (PCC) – automatic gatehouse operation system. • E-seal, RFID and Weighbridge. • Stable, safe and secure IT system. 30 Efficiency • The cutting-edge technologies increase the operation efficiency. • Simplified and expedited declaration process. – Vessel pre-inspection allows immediate handling upon arrival. – Pre-declaration for import laden and empty containers. – International trans-shipment cargo can be released upon arrival. – X-ray machine for cargo inspection takes only 3 minutes to inspect one container. 31 Efficiency • Experienced port operators have achieved average quay crane rate of 35 moves per hour. 32 Security • Facility Security – ISPS Compliance • Container Security – Non-Intrusive Inspections (NII): X-ray machine, Life detector, Carbon dioxide detector, Metal detector, and CCTV • Supply Chain Security – E-Seal – Radio Frequency Identity (RFID) – Global Positioning System (GPS) 33 Warehousing and Logistics Parks 34 Warehousing Facilities • Customs supervisory warehouses – About 9 million square ft on site or near terminals (existing) • Bonded warehouses – About 2 million square ft on site (existing) • Free trade zone warehouses – About 6 million square ft in Futian Free Trade Zone (existing) 35 Logistics Parks in Shenzhen • Bonded logistics park – Occupying 0.96 square km of land, Yantian Bonded Logistics Park will build an estimate of 15 million square ft warehouses by 2010 • Logistics parks – 6 parks (including Yantian Bonded Logistics Park), 2 hubs in planning or under construction 36 Logistics Parks in Shenzhen LonggangLonggang AirportAirport LogisticsLogistics DistributionDistribution HubHub ParkPark PinghuPinghuLogistics Logistics ParkPark BaoBao’an’an DistributionDistribution HubHub LonghuaLonghuaLogistics Logistics ParkPark YantianYantianBonded Bonded LogisticsLogistics ParkPark SungangSungang-Qingshuihe-Qingshuihe LogisticsLogistics ParkPark QianhaiQianhaiLogistics Logistics 37 ParkPark Future Development Plan 38 Forecast for Shenzhen Port 24.9 2 5255 22.4 20.4 18.6 2 0200 16.7 13.6 1 5155 Unit: Mil. TEU 10.6 Shenzhen Port 1 0100 555 000 2003 2004 2004 2005 2005 2006 2006 2007E 2007E2008E 2008E2009E 2009E E = Morgan Stanley Research estimates (Source: China Port Association, Morgan Stanley Research) 39 Expansion Projects • YICT Phase IV Project – 6 berths – 1.7 million TEU per year capacity • YICT Phase V Project – 9 berths – 6.64 million TEU per year capacity • SCT and CCT expansion projects – 9 bulk berths – 1 cruise berth… 40 New Project: Da Chan Bay Terminals 41 Da Chan Bay Terminal One – Terminal One is under construction and to be put in service in early 2008. – Another 3 terminals with 8 container berths will be built by 2013. Item Total Total Area 112 (hectare) Deep-water 7 Container Berth Total Quayside 2,430 Length (m) Water Depth 15.5-18 Alongside (m) Water Depth of 15.5-18 Waterways (m) Quay Crane 26 Yard Gantry 108 42 Crane Government Incentives 43 Incentives for Shenzhen Port and Logistics Development • Up to US$ 500K relocation subsidy and office rental discount to shipping companies setting up regional headquarters or operation center in Shenzhen. • Up to US$ 650K bonus to liner companies adding a new international, domestic or shuttle course line with certain criteria met. • Up to US$ 400K relocation subsidy and other financial support to international logistics companies and freight forwarders setting up regional headquarters in Shenzhen. • Bonuses to shipping companies or agents transferring laden containers to Shenzhen Port for export. • Subsidies to inter-modal transport operators. 44 Thank You! For more information, please contact North American Representative Office of Shenzhen, China (NAROS). Add: 350 South Figueroa Street, Suite 288 Los Angeles, CA 90071, USA Tel: 213-628-9888 Fax: 213-628-8383 E-mail: [email protected] Web: www.shenzhenoffice.org.
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