China’s Growth Could Boost Shipping

Press Release
Thursday, December 13, 2012

China’s shift towards a domestic consumer demand-oriented economy could provide a significant boost to the global shipping industry, as the world’s second largest economy targets more sustainable growth.


“2013 will be another peak year of new vessel deliveries. Oversupply of capacity is still an obstacle for the shipping industry to overcome, but with the improvement of the world economy, the shipping sector is expected to experience moderate growth,” said Mr Xu Lirong, President of China Shipping (Group) Company.


Mr Xu will examine this key issue affecting China, and the nation’s pivotal position in the international maritime arena, in a conference summit at Sea Asia, the region’s leading maritime event, in Singapore next April.


Sea Asia’s co-organisers, Seatrade and the Singapore Maritime Foundation (SMF), have invited leading industry figures, alongside Mr Xu, to spearhead a senior level debate on the future of China’s maritime sector. These include Andy Tung, Chief Executive Officer of Hong Kong’s Orient Overseas Container Line, and Chen Bin, Deputy General Manager, Transport Finance Department, China EximBank.


China’s domestic economy is expected to hit the authorities’ target of 7-7.5% annual growth this year. It is estimated that if the economy continues to grow at 7% per year, about half of the country’s population (circa 700 million) will join the Middle Classes by 2020. Annual income is projected between $7,000 and $23,000 (according to statistics issued by the Boston Consulting Group).


Some economists have forecast 2012’s growth as strong as 8%, with China’s manufacturing sector performing especially well. In particular, commentators say China’s container shipping industry, despite the current oversupply of capacity, will keep expanding in the longer term.

Questions the Chinese leadership are currently grappling with include the issue of finance and to what extent domestic banks can fill the void left by foreign lenders.


Industry insiders are also mulling the puzzle of exactly how China’s shipping fleet may develop, in the next few years, to best meet the demands of its economy.


Accordingly, Mr Xu, Mr Tung, and Mr Chen, among others, will set their minds to tackle these and other key questions at Sea Asia 2013. In Sea Asia’s dry & liquid bulk cargo discussion (scheduled for Day One, 9 April 2013), the matter for address will be China’s growth, the growth of other major Asian economies, and what these may mean for tonnage demand. The ship finance session (Day Two, 10 April) will include a think tank discussion of the role of Chinese banks in ship finance, plus their overall outlook and attitudes to industry lending. During the offshore sector discussion (also Day Two), there will be a comparative session on China’s investment in offshore exploration, both domestic and international.

Christopher Hayman, Chairman of Seatrade, explained the rationale: “In constructing major topics for discussion at Sea Asia 2013, we took the decision to focus significantly on the role of China since it is arguably the most influential Asian economy right now.”


This year has seen many domestic shipping lines report higher imports into China as the economy transforms. Most commentators believe this is a positive trend for world shipping. “We also know China’s economy is transforming. International shipping, and its own domestic sector, must adapt to that,” said Mr Hayman. “Sea Asia 2013 is the ideal forum for business leaders to listen to views from experts on China, and participate in debate about a nation and economy that is sure to shape the global landscape for years to come.”

Sea Asia 2013 is the fourth edition of this global event showcasing the maritime industries in Asia. Sea Asia has grown by 70% since it began, in 2007, and around 14,000 visitors from around the world are expect when it returns, 9-11 April. 


Offshore

US Offshore Lease Sale Yields $18 Mln in High Bids

Today’s U.S. oil and gas Lease Sale 248 garnered $18,067,020 in high bids for 24 tracts covering 138,240 acres in the Western Gulf of Mexico Planning Area, announced

Canada May Ask Far-offshore Drillers to Pay Extra

Canada may ask oil companies to contribute to the hundreds of millions of dollars or more the country has to pay to an international body if they drill far offshore,

MISC Enters Thai Offshore O&G Market

Energy related maritime solutions and services provider MISC Berhad (MISC) has made inroads into Thailand’s offshore oil and gas market for the first time.

Finance

Hellenic Petroleum Profits Rise on Higher Exports

Hellenic Petroleum, Greece's biggest oil refiner, posted a 20 percent rise in second-quarter core profit on Thursday, with higher exports offseting lower refining margins.

China COSCO Falls to H1 Net Loss

China COSCO Holdings Co Ltd fell to a first-half loss hurt by a persistent slump in the global container market, the world's fourth largest container shipper said on Thursday.

Weak Freight Rates push Grindrod to H1 loss

Africa's biggest shipping group Grindrod reported a first-half loss on Thursday, pressured by low global growth and declining dry bulk shipping rates but it expects

News

NOAA Engineers a Better Current Sensor for Mariners

Navigating into seaports is now safer and more efficient for mariners thanks to improved NOAA technology that ships rely on to give them information about currents.

Matson Orders Two ConRo Ships from NASSCO

Matson Navigation Company, Inc., a subsidiary of container shipper Matson, Inc., has signed a contract with U.S. shipbuilder General Dynamics NASSCO to build two

Iran Vessels Make 'High Speed Intercept' of US Ship

Four of Iran's Islamic Revolutionary Guard Corps (IRGC) vessels "harassed" a U.S. warship on Tuesday near the Strait of Hormuz, a U.S. defense official said, amid

Vessels

Matson Orders Two ConRo Ships from NASSCO

Matson Navigation Company, Inc., a subsidiary of container shipper Matson, Inc., has signed a contract with U.S. shipbuilder General Dynamics NASSCO to build two

Former HMS Illustrious Sold for Scrap

The former aircraft carrier HMS Illustrious will be recycled after 32 years of service, announced the U.K. Ministry of Defense (MOD) who sold the ship to Turkish

Tuco’s New Arctic Workboat to Debut at SMM

Danish producer Tuco Marine said it will reveal a new Arctic workboat daughter craft at next month’s SMM in Hamburg.   Many arctic patrol vessels, icebrakers

Intermodal

China COSCO Falls to H1 Net Loss

China COSCO Holdings Co Ltd fell to a first-half loss hurt by a persistent slump in the global container market, the world's fourth largest container shipper said on Thursday.

Indian Shipping Seeks Road Fund for Development of Waterways

The Shipping Ministry of India has mooted a proposal to utilize part of the fuel cess collected for building national highways for expansion of National Waterways as well.

NordLB to Shed Shipping Loans to KKR

German state-owned lender NordLB and KKR Credit said they had reached an agreement by which KKR Credit will acquire a $1.5 billion portfolio of shipping loans from

Logistics

MN100: TPG Marine Enterprises, LLC

The Company: TPG Marine Enterprises, LLC is an operations, logistics and consulting company that specializes in all aspects of cargo movement on the Inland Waterways System.

Heavy Lifting: Giant Pipe Racks Shipped for New FPSO

From Brazil to China and then back to Brazil, five pipe racks and three modules weighing a total of 1,871.51 metric tons and measuring 24,075 m³ will be transported

SMM 2016: World Premieres from around the Globe

Some 50,000 trade visitors from the whole of the world are expected in Hamburg for the start of SMM in less than two weeks. And once again, it is fully booked – with a total of more than 2,

 
 
Maritime Security Maritime Standards Naval Architecture Navigation Offshore Oil Port Authority Salvage Ship Simulators Shipbuilding / Vessel Construction Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1377 sec (7 req/sec)