Excerpt from: China Supply Chain and Logistics Strategy
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| October 25, 2005 | | Latest Trend to Use Coastal Waterways in China | The latest trend for companies shipping on a north/south basis (ie. Shanghai to Guangzhou, Shanghai to Tianjin) is to use coastal intermodal waterway transport. This method of transport is more efficient and reliable as compared with over the road transport. Considering the rising cost of fuel , companies are more motivated to find alternative transport modes in China. However, the transit time is longer (3-5 days by water compared to 2-3 days for truck). The price is 50% the cost of road transport. For example, it costs about 500 RMB/ton to ship from Shanghai to Tianjing by truck, compared with 250-300/RMB/ton (door-to-door) by coastal water transport. Companies with cargo at coastal ports that must be moved in a north to south or south to north direction may want to consider utilizing such services in China.
It is also important to assess potential intermodal gridlocks as China's import infrastructure continues to lag behind the export infrastructure. Companies can compare port capacity vs road capacity at major shipping points. Infrastructure constraints have the potential to lead to gridlock. Is cargo being delayed, if so how for how many days? | | |
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