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Cargo shipping increases in Shanghai
(China Daily)
Updated: 2005-08-10 09:01

Ports in Shanghai observed a record monthly freight volume of 39.78 million tonnes in July, approximately a 14 per cent increase than in June.

Xu Peixing, director of Shanghai Municipal Port Administration Bureau, attributed the increase to the recent renminbi appreciation and the growing economy of the Yangtze Delta, which led to a rise in international cargo shipping.

It constituted about 44 per cent of all the freight the ports handled in the first seven months of this year.

"The modest adjustment of currency has lowered purchasing expenses, therefore encouraging importing," Xu said.

The freight Shanghai imported in July is approximately 15 per cent more than in June.

Among them, crude oil and iron ore experienced the fastest growth.

The volume of imported crude oil grew 51.5 per cent from June and 83.6 per cent from last July.

"China's rapid economic development has caused the rising consumption of crude oil," Xu said.

By the end of July, Shanghai ports sent abroad cargo of 48.15 million tonnes, a 28.7 per cent increase compared to last year.

Apart from textile products -- constituting more than 50 per cent of all exporting, exports of machinery and electronic products reached 9.31 million tonnes in the first seven months, nearly 20 per cent of all exported goods.

"Shanghai only shipped out 9 million tonnes of such products last year," said Ye Xing, an official from the bureau.

Xu said that industrial zones like Zhangjiang in Pudong and Caohejing near Xujiahui contributed most of the goods.

Shanghai also witnessed a record volume of 10.16 million TEUs (twenty-foot equivalent units) in the first seven months, a 26.8 per cent increase from last year.

Nearly 80 per cent of them (7.90 million TEUs) are international, a 28 per cent increase from 2004.

The United States remains the biggest trading partner, taking more than 24 per cent of all trading products. The European Union is the next at 18 per cent.

Shanghai, the largest commercial city in China, is endeavouring to build itself into an international shipping centre.

The Shanghai port has witnessed a container handling capacity of more than 14.50 million TEUs last year, and is expected to exceed 17 million TEUs in 2005.

An ongoing deepwater port project in Shanghai, the Yangshan Port is expected to line up 33 deepwater berths capable of holding large container ships upon completion in 2020.

It will finish its first-phase construction and open by the end of this year.

The port is supposed to become the shipping centre of northeastern Asia.

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