Global trade slowdown cause overcapacity of china’s port

　　From the windows of Jessie Chung’s office, we can see a busy view of Hong Kong port. It transfer productions which made in china to the port over the world. But As the president of Hong Kong container terminal operators association, Jessie Chung says that Hong Kong hit hard by global trade slowdown, Low cost manufacturing decreasing and competition of bigger port from mainland.

　　The ports of china mainland hit hard by global trade slowdown also. China have 7 of the top ten most busy Container Port. Now the carriers are all seeking for Mergers and alliances to ease the downturn. The negotiating power of these alliances will make the port business harder.

　　The overcapacity of china’s port is another big problem. At 2013, the
Overcapacity is 50 million TEU, which is already bigger than entire throughput of Japan, Russia, South Korea and Taiwan. According to the date from International Transport Forum of OECD, china’s port will double the overcapacity before 2030.
Because the local government are busy in building bigger and bigger ports.

　　At the some time. The global trade slowdown and china’s transformation to high-end manufacturing industry decrease the shipments very much.
Chinese government now are putting a huge amount of money to support high-end manufacturing industry .The smart phones and computer chips they made take very fewer spaces on the ship than shoes and clothes . It was proved by 7% decrease of the export container volume in the beginning 5 month of 2016 compared with last year’ volume during the same period.