Is Hong Kong Losing Its Competitiveness as a Logistic Hub?

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Recommended: The present situation in Hong Kong

Introduction

Hong Kong has been a leading logistic hub in Asia and the world for the past few decades. We are ranked the world's busiest ports for Hong Kong airport as well as the container port for more than ten years’ time. Yet in recent years Hong Kong has been facing an intense competition, especially from the nearby ports, namely Shenzhen. Despite Shanghai and Singapore are surpassing Hong Kong in terms of container volume, we are geographically separated, so we do not serve the same cargo source. Therefore this paper will be mainly focusing on comparing the nearby ports. I'll be analyzing Hong Kong's competitiveness as a logistic hub by following aspects cargo volume, government policy and the costing.

Analysis

Cargo Volume

Hong Kong is one of the busiest seaport and airport. Hong Kong sea ports handle 23.1 million TEUs in 2012. It's the third busiest container ports in the world. But the throughput has drop 0.7% from 24.4 million TEUs in 2011 to 23.1 million TEUs. And it's expected to continue to drop. Meanwhile Shenzhen is handled 22.9 million TEUs in 2012 and is steadily increasing. It's expected to overtake Hong Kong's port throughput in 2013. Beside Shenzhen, Singapore and Shanghai port's throughput are also steadily increasing.

In contrast, Hong Kong's airport throughput is ranked number one in 2012 at 4.03 million tonnes. We have doubled the throughputs when comparing to Shanghai and Singapore. The air cargo throughput has increase 2.2% in 2012. Hong Kong airport has a very solid lead in the world and in Pearl River Delta (PRD).

Despite, the seaport throughput decrease, the total trade value of Hong Kong has kept increasing, from nearly HKD$6 trillion in 2008 to HKD$8.2 trillion in 2013, and it's still growing...

... middle of paper ...

...to management ports in Hong Kong and to develop new policy. Thirdly to train more professional personnel for the logistic field.

Works Cited

1. Legco 香港港口競爭力 研究簡報 第1期 http://www.legco.gov.hk/yr13-14/chinese/sec/library/1314rb01-c.pdf 17/3/2014
2. HKGOV THE 2014-15 BUDGET http://www.budget.gov.hk/2014/eng/pdf/e_budgetspeech2014-15.pdf 17/3/2014
3. Census and Statistics Department Hong Kong Monthly Digest of Statistics: Air Cargo Statistics http://www.statistics.gov.hk/pub/B71401FA2014XXXXB0100.pdf 17/3/2014
4. Census and Statistics Department Hong Kong Monthly Digest of Statistics: Container Statistics http://www.statistics.gov.hk/pub/B71306FA2013XXXXB0100.pdf 17/3/2014
5. The Better Hong Kong Foundation Restoring Hong Kong’s Competitiveness as a Sea-trade Logistics Hub http://www.betterhongkong.org/mediaupload/D9805EC9-B0F2-4C50-B86CA0F57BAA17EF.pdf 17/3/2014

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