11-10-2008 11:42

Special Report:   Global Financial Crisis

China's shipping industry is experiencing a decline after five years of continuous growth, with some small and medium companies even facing bankruptcy.

China's shipping industry is experiencing a decline after five years of continuous growth.
China's shipping industry is experiencing a decline after 
five years of continuous growth.

Ningbo Port, China's second largest port, is usually quite busy during this time, a peak season for the shipping industry. All of its 32 suspension bridges used to be needed, but only ten of them are in use now.

Jiang Tao, official of Ningbo Port Group said "The port used to be full of boats, and many boats used to anchor here, but that hasn't happened this year. Shipping along routes to the US and Europe has dropped dramatically."

Along with the decline in throughput, transportation prices have also fallen sharply.

Zhang Shouguo, official of Ministry of Transport said "The price for a box of standard goods along the China-US shipping route dropped from more than one thousand US dollars to 200 to 300 dollars now. Such a dramatic drop has never happened in history, this is the very first time."

Chinese shipping companies are strengthening their cooperation to cope with the crisis; many of them are trying to find allies in these tough times.

Tao Qinyun, VP of Sinotrans said "It's indeed a low season, and companies are preparing to facing it. We've done lots of work to cope with the crisis, to control the scale of it."

Wu Jinkun, President of Ningbo Port Group said "Our way to face such a crisis is to figuratively get warm by staying together in 'winter.' We help each other, take advantage of everyone's strengths, in order to minimize the impact to our port."

The government has just approved the reforms of Sinotrans and China National Changjiang Shipping Group. Meanwhile China Shipping Group has just signed a long-term framework agreement with Dalian Port.


Editor:Xiong Qu