Monday, December 8, 2014

Container Shipping Line Moves in Anticipation of Increased Trade

ASEAN Discussions Expected to Result in Rise in Bilateral Traffic Throughout Asia
Shipping News Feature

ASIA – PHILIPPINES – Recently ASEAN (the Association of Southeast Asian Nations) member states have held several rounds of trade talks with China, Japan, Korea, New Zealand, Australia and India to establish a Regional Comprehensive Economic Partnership (RCEP) and aim to conclude the negotiations by the end of 2015. As a positive indication of future trade growth, this initiative is expected to significantly benefit the further development of Intra-Asia trades. Additionally, for fear of losing out to the PRC which joined ASEAN as ‘10+1’ in 2010, Hong Kong is negotiating a Free Trade Agreement of its own which should be in place by 2016.

According to statistics published by China’s General Administration of Customs, the amount of bilateral trade between China and ASEAN increased by 8.9% during the first ten months of 2014. In particular, China’s imports and exports to/from the Philippines showed an even stronger growth of 17.1%.

The growth has already prompted one container shipping group to offer a more comprehensive service to shippers and importers in the Philippines as Evergreen Line has announced it is to team up with Cheng Lie Navigation (CNC) to launch a new China-Philippines Service (CPH).

Two ships of around 1,000 TEU will be deployed on the new weekly service, one each operated by the joint service partners. The first sailing on the CPH service will be from Shanghai on the 11th of December and the port rotation is as follows:

Shanghai – Ningbo – Xiamen – Shekou – Manila (south harbour) –Shanghai.

The new service is in addition to the four feeder loops, which Evergreen offers serving the Philippines. This coverage of all major ports in the Philippines, includes Manila (both north and south harbours), Cebu, Davao and General Santos, etc. All services connect to Evergreen’s global network via either Kaohsiung and/or Hong Kong.