Reverse shipping disruptions! China\'s port cargo volume surged 13.2 percent, with a monthly output of 500,000 teUS
In the first half of this year, China's exports performed strongly, with cargo and container throughput at major ports rising sharply, reversing the global trend of shipping disruptions caused by the epidemic.
1. In the first half of the year, China's port cargo throughput exceeded the pre-epidemic level, and paperless logistics shortened 90% of the time
In the first half of this year, Chinese ports handled 7.64 billion tons of cargo, up 13.2 percent from the same period last year. Foreign trade accounted for 30 percent of the total cargo passing through the port, about 2.36 billion tons. The figure was up 9.2 percent from the same period last year and 11.53 percent from the same period in 2019.
Container throughput in the first six months of this year was also up 15 per cent on the same period last year to 138 million TEUs. The surge in cargo and container throughput over the past six months reflects rapid growth in Chinese trade.
In the first half of this year, China's exports rose 38.6 percent year on year to $1.52 trillion, while imports rose 36 percent year on year to $1.27 trillion, according to the General Administration of Customs.
Ningbo - Zhoushan port in Zhejiang province has the largest cargo throughput, accounting for more than 12% of China's total foreign trade cargo throughput. It was followed by the ports of Qingdao and Shanghai in Shandong province, which handled 10 percent and 8.7 percent of imports and exports respectively.
Shenzhen Port, which includes several ports in the Pearl River Delta, reported that its busiest Yantian port was closed for three weeks in the second quarter after the outbreak, but its total foreign trade cargo throughput rose 23.4 percent year on year to 101 million tons.
Chinese ports have improved efficiency during the outbreak, including the adoption of a paperless logistics system. Bertrand Chen, CEO of the Global Shipping Business Network, said that paperless is crucial for the global shipping industry given the devastation caused by the current epidemic, and could help major Chinese ports cut cargo release times from two days to four hours through blockchain technology.
2. The stagnation of exports from North America and Europe makes it difficult to find a container, and the monthly output of China is 500,000 teU
China's buoyant figures are in stark contrast to many other ports around the world. While global demand for logistics services remains strong, COVID-19 related shipping disruptions, including container shortages and longer stays outside ports, continue to cause disruptions, according to the latest market outlook from Danish shipping giant Maersk.
As exports from North America and Europe fall, empty containers are piling up at ports, delaying their return to Asia and causing shortages in China. Maersk said a range of containers at major Chinese ports had suffered equipment shortages as of July.
In response, Chinese authorities have coordinated with domestic container manufacturers to increase production, which in July brought container production to a record high of more than 500,000 teUs, about 2.5 times normal capacity, the Ministry of Transport said.
While China reported its 12th straight month of export growth in June, the outlook for the second half of the year is increasingly uncertain. The new export orders component of the manufacturing PMI fell for the fourth consecutive month, to 47.7 in July.
However, Zhong Zhengsheng, chief economist at Ping An Securities, said China's export growth showed signs of resilience, though the pace may slow. "There is room for further repair in exports to Europe, and exports to countries along the Belt and Road effectively increased," Zhong said in a report last month.
New trade data will be released this week, but expectations are mixed. Some analysts believe the high base in July 2020 led to a slowdown in exports, while others believe pent-up blockade demand will continue to drive shipments higher.
