| Despite the global slowdown, China managed to | | | | railways in China. |
| show impressive growth in its logistics and freight | | | | For air freight transport too, there are many |
| transport infrastructure in 2009, according to the | | | | improvements happening right now in China. |
| China Logistics Development Report 2010. This is a | | | | FedEx has launched a new domestic transfer centre |
| beacon of hope in a freight forwarding industry that | | | | for freight services at Hangzhou Airport and UPS |
| has faced challenging times recently due to the | | | | plans to create an Asia-Pacific transfer centre at |
| difficult economic conditions worldwide. In particular, | | | | Shenzhen Airport. What's more, a new airport to be |
| China has suffered from a decline in demand for | | | | established at Kunming will create a major hub for |
| Chinese imports in the United States, Europe and | | | | international freight transport to South East Asia. |
| Japan. However, the long term prospects for China | | | | However, despite the impressive growth, there are |
| and international freight transport look promising, | | | | still considerable weaknesses in the Chinese logistics |
| when seen as part of a long term trend and in the | | | | and international freight transport infrastructure and |
| light of current levels of investment in freight | | | | these are now being addressed as a priority by the |
| services infrastructure. | | | | Chinese government, given the importance of fuelling |
| The total figure for all logistics activity in China was | | | | demand for China import. These weaknesses include |
| nearly Yuan 90 trillion, which is more than four times | | | | infrastructure that is sub-standard in some places, |
| the figure in 2000, showing growth right across the | | | | under-regulation of shipping companies, lack of |
| country.Investment by both the state and the | | | | standardisation and inadequate uptake of modern |
| private sector in freight transport infrastructure | | | | technology to enable streamlined freight services. |
| projects has given rise to new airports, railway | | | | Shaken by the global slowdown and its impact on |
| stations, roads, container ports and logistics centres | | | | China, Beijing is now focussing on addressing these |
| that set a new standard worldwide and have created | | | | weaknesses as well as upgrading the physical |
| advantage for shipping companies and freight | | | | infrastructure for international freight transport. |
| services companies. | | | | The structural reforms now under way are pervasive |
| Examples of the steps forward to create a better | | | | and include reducing market access barriers as well as |
| future for freight forwarding in China include the new | | | | increasing supervision of the freight transport market. |
| sea-rail inter modal service called the Coastal Express | | | | Another area that is being addressed is support for |
| which has been set up by the Shanghai Railway | | | | the development of modern shipping companies and |
| Administration, Ningbo Port group and China Railway | | | | freight services companies that adhere to strict |
| Container Transport Corp.. The service runs between | | | | standards for service and performance. |
| Ningbo Beilun Port Area Station and Wenzhou West, | | | | These improvements will be especially significant for |
| running at 100 km/ hr and making the journey in less | | | | the areas of China that are most dependent on |
| than four hours. | | | | markets for China imports, such as Shanghai and the |
| Indeed, rail is expected to become China's most high | | | | Pearl River Delta, which includes China's second |
| profile freight transport mode in the coming years as | | | | largest port at Shenzhen.The improvements also |
| China embraces high speed rail transport. This is now | | | | include items such as a reduction in inter-provincial |
| the subject of considerable government investment | | | | tolls. |
| and many a shipping company and freight company | | | | Benefits will also be seen in other areas such as |
| are keeping a close eye on the developments. A | | | | South West China, which has also greatly upgraded |
| Beijing scheme to build high speed links across the | | | | its transport infrastructure, and North East China, |
| country will free up existing lines for freight transport, | | | | which has become China's gateway to Russia, with |
| reducing freight forwarding costs for bulk cargo. | | | | ports such as Manzhouli benefiting from the |
| An example of this is the upgrade of the railway link | | | | resurgence in Russia, increased demand for China |
| between Jinhua and Wenzhou, which is to be | | | | imports and improved relations between the two |
| upgraded to a high speed link over the next four | | | | countries. |
| years, with speeds reaching 200km/hr. | | | | So although the economic climate has been tough |
| Meanwhile, the 189km Jinhua-Wenzhou line is | | | | due to the global slowdown, China continues to |
| exceeding its original projections for freight transport | | | | invest in its freight services infrastructure and this |
| and is one of the most profitable joint venture | | | | bodes well for the future. |