Sphere No.43 (Oct 2017)

SPHERE #43 2017 11 >> China’s Belt and Road Initiative could be a game changer, reshaping the economic topography of the Eurasian continent, comprising around 60 per cent of the world’s population and 30 per cent of global GDP. This ambitious strategy of the government of the People’s Republic of China aims to financially, technologically and institutionally support the development of countries along the ancient Silk Road land route as well as the Maritime Silk Road, covering maritime routes from China to Europe. With more than USD1 trillion of infrastructure investment already pledged by the Chinese government to various projects over the next five years, the ambitious strategy will bring the vibrant East Asian economic zone closer to its European counterpart, while offering enormous growth opportunities to the developing countries along the two routes. It takes visionary leaders to help realise this grand initiative. Hutchison Ports began expanding the port businesses along the new Maritime Silk Road years ago. It now operates 24 locations in 19 countries along the route, with a combined annual throughput of 70.58 million TEUs in 2016, representing about 86.6 per cent of the company’s total throughput. As global trade grows and more opportunities for maritime logistics services arise in Asia and East Africa, Hutchison Ports is proactively rolling out plans to invest and expand its facilities and services. Expansion plans are already underway in the ports in Thailand and Oman, with advanced remote-control operation of the new quayside cranes designed to reap the full benefit of the fast- growing ASEAN and Middle East regions. “The Belt and Road Initiative is like a wheel … you can see that it is rolling out ... running faster and faster, and the wheel could give itself impetus now,” says Eric Ip, Group Managing Director of Hutchison Ports. “Hutchison Ports is always exploring new and existing terminal facilities to face the needs of the Belt and Road Initiative. We will develop our land and sea capacities in China, Southeast Asia, the Middle East and Europe to cope with the future growth of cargo transportation volumes.” The ports group is also looking into establishing a strong upstream business such as building warehouses, logistics parks and transportation services to meet the rising demand in countries like Pakistan, the UK, the Netherlands and Spain. The routes may be ancient, but the investment being made is modernising infrastructure and connecting people in a truly contemporary way! Smooth Sailing on the Maritime Silk Roads 1869 Construction of the Suez Canal completed, reducing maritime journey between the Mediterranean Sea and the Indian Ocean by approximately 7,000 kilometres. 2001 Hutchison Ports Middle East and Africa Division starts operation. 2017 Hutchison Ports operates 24 locations in 19 countries along the 21st century Maritime Silk Road, far more than any other port operators. Europe Africa China Indonesia Central and Western Asia Southeast Asia South Asia Indian Ocean Pacific Ocean Mediterranean Sea Hong Kong Hutchison Ports operations