Shandong Port Group is eyeing more reefer shipping links between Shandong province’s largest port, Qingdao, and Southeast Asia, amid growing Chinese demand for Southeast Asian tropical fruits.
On 4 May 2020, Chinese intra-Asia carrier SITC Container Lines launched such a service, the Qingdao-South East Asia Reefer Express. The Hyundai Unity departed Qingdao Qianwan Container Terminal, with its next ports of call being Shanghai, Hong Kong, Port Klang, Pasir Gudang (Johor) and Singapore.
The development of the Belt and Road initiative has seen more Southeast Asian fruit exports to China. These cargoes are primarily trucked through Thailand and Vietnam, but seaborne transportation can reduce the journey time by two days to five days. Shandong Port Group is therefore expecting more cargo volumes by expanding into cold chain services.
Shandong Port Group, which has integrated the major ports in the province, including Qingdao, Yantai, Rizhao, and the Bohai Bay Port Group, plans to intensify cooperation with 16 provincial cities to boost the local port economy.
Shandong Port Group’s chairman and Communist Party secretary, Huo Gaoyuan, said, “We want to reinvent ourselves, from being a port that primarily handles raw materials, to a port that handles a wide range of goods, such as lifestyle products and semi-finished goods. We’re developing our cold chain capabilities to gain international influence to ensure a smooth supply chain for global industries.”
In April 2020, Shandong Port Group and Tianjin Port Group agreed to cooperate to promote their ports.
Under the cooperation agreement, the two port groups will pool their resources to work together in developing intelligent and green ports and improve logistics channels.
Martina Li
Asia Correspondent