Excerpt from:  China Supply Chain and Logistics Strategy
.
July 27, 2005

Alternative to Waigaoqiao Bonded Logistics Park (WBLP)

The Zhangjiagang port and Bonded Logistics Park may offer a competitive advantage over the Shanghai port and park.

Since Shanghai has imposed artificial tariffs in the FTZ area, operational costs in the Shanghai Waigaoqiao Bonded Logistics Park (WBLP) are roughly twice as high as the BLP in the nearby port of Zhangjiagang (1.5 hours from Shanghai). Warehousing storage costs in the Zhangjiagang BLP are roughly 0.3 RMB/sqm/day, compared to about 2 RMB/sqm/day in the Waigaoqiao FTZ.

The Zhangjiagang port is on the Yangtze River.

* 144km from the mouth of the Yangtze River
* 33 Berths for Over-10,000-ton-Steamer (max. 40,000 tons )
* About 64,000,000 tons including 500,000 TEU throughput last year
* One of the top ten ports and, so far, the largest inland port in China
* Transshipment port for Shanghai Port – daily feeder vessels

Zhangjiagang City

* A City under Suzhou Municipality, Jiangsu Province, within The Yangtze River Delta
* 98km to Shanghai; 200km to Nanjing; 98km to Shanghai Hongqiao Airport
* 150km to Shanghai Pudong Airport; 200km to Nanjing Lukou Airport
* 30km to Nantong, 40km to Wuxi, 58km to Suzhou by very good highway
* Last year’s avg. GDP over USD8000/person with a Population of 850,000 people

 
When selecting a BLP location companies must determine whether they can reduce overall supply chain costs and improve flexibility of the supply chain. BLPs may currently be the only viable option for establishing a regional distribution center in China. The port of Zhangjiagang may be a potential solution, particularly for companies with the majority of their shipments shipping through Jiangsu province.


Syndication OptionsRSS (Rich Site Summary) Feed Atom Feed OPML (Outline Processor Language) Feed MYST-ML (MyST Markup Language) Content Feed MS-Office Smart Tag Subscription