Historical Changes in the Port and Shipping Industry in Hong Kong
Shipping is a major contributor to total global carbon dioxide emissions. In recent years, various operational and technical measures have been put in place to counter this problem.
The port and shipping industry has experienced three development stages: rapid growth from the 1970s – 1990s, solid growth from 2000 – 2005, and slow/sluggish growth from 2006 – 2015. Hong Kong’s maritime roots are tied to its role as a conduit for trade even from the 1800s because of its strategic location at the southern tip of China and because of its natural deep-water harbor.
From 1972 to 2012 the port is said to have expanded to 18 times its original size compared with a growth factor of 10 in Singapore. Containers throughout Hong Kong and Singapore were similar between the 1980s and 1990s. But in the 2000s Hong Kong was dominating the world stage in terms of container volumes as mainland China opened its economy and became the world’s factory. At that time ports in Yantian, Nansha was not well developed, and they did not have the systems and laws to support shipping; therefore, the manufacturing industries shipped everything to Hong Kong, and then out to the rest of the world contributing to the rapid growth of the port.
For ten years, the government did not implement measures to stay competitive. It was content at being the world’s best thus during the second half to the 2000s it lost pace being forced out of first place by Singapore followed by Shanghai which has remained the world’s best since.
If you are interested in starting your maritime business in Singapore, feel free to consult us as well. Paul Hype Page has the experience you need in establishing your company and connect you with the specific target markets to meet your needs.
Maritime is an international industry with markets all over the world. Building various hubs around the ASEAN region will be of utmost importance for your business to prosper. Speak to our consultants today if you are interested in incorporation in both Hong Kong and Singapore.
Covid-19 and the Maritime Industry
Coronavirus restrictions mean that thousands of seafarers are unable to return home. The seafarers manage the merchant ships that keep the global trade flowing. These seafarers are working extended periods, risking their well-being and the supply chain. After months at sea, stress, fatigue and time away from loved ones are taking its toll.
The Future of Maritime In Hong Kong
Under the GBA plan, the government will inject funds into the Maritime and Aviation Training Fund to nurture talents for the sectors and introduce tax measures to promote the development of ship leasing and marine insurance businesses.
The industry is also embracing technologies to address ongoing management challenges and improve efficiencies. Truck platooning is being tested in which a series of automated trucks will follow a lead vehicle and travel closely together, thus achieving a smoother traffic flow.