Report: Hong Kong Slides to Seventh Place in Container Volumes

Drewry has confirmed that Hong Kong slid to 7th place for TEU volume in 2018, the 1st time it has fallen out of the top 5. Bloomberg reached a similar conclusion in Jan. HKG now ranks behind SHA, SIN, NGB, SZX, CAN, PUS. TAO and TSN are just behind HKG.

The increasing dominance of mainland Chinese ports for direct shipments from China's factories has gradually reduced the importance of Hong Kong's transshipment business within east Asia, and the competitiveness of nearby ports in the Pearl River Delta has directly siphoned off business.

Hong Kong's private terminal operators have formed a consortium to coordinate the management of their facilities but has come under scrutiny by anti-monopoly regulators. They are also more constrained than their regional counterparts in their ability to expand capacity, as the city is densely populated and commercial developers compete for the same waterfront land. By comparision, SIN is building a new 65 million TEU terminal at Tuas, which will open in phases over the coming decades.

(MarEx)