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COHESION Freight (HK) Ltd. 2008 Beijing Olympics Business Impact Date: 4 th August, 2008.

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Presentation on theme: "COHESION Freight (HK) Ltd. 2008 Beijing Olympics Business Impact Date: 4 th August, 2008."— Presentation transcript:

1 COHESION Freight (HK) Ltd Beijing Olympics Business Impact Date: 4 th August, 2008

2 Key Highlights Beijing Tianjin Qingdao Shanghai Hong Kong Extend of Impact HKG Shanghai Qingdao Tianjin Beijing The 29 th Olympic Games From Aug/08 to Aug/24 Main Venues : Beijing Sailing Competition : Qingdao Football : Tianjin, Shenyang, Qinhuangdao, Shanghai Equestrian : Hong Kong Beijing Paralympics Sep/06 to Sep/17 Control Measures Air Quality Control Traffic Control Port Security Control DG Cargo Control Affected Geography

3 Beijing Traffic Control – Local vehicle usage restriction Meet Euro-1 emission standard Odd/Even # license plates operate  six-hour window  on alternate days Cargo movements  Skirt around Beijing  Longer transit time between XGN & PEK area Cargoes in, out & within PEK  Extremely restrictive  Much more costly Air Quality Control – Heavy-polluting industries Suspension or reduction of production activities  metallurgy, steel production, chemicals, glass, cement, etc Minimal impact PoliciesImpacts

4 Tianjin Traffic Control – during extreme weather condition Suspension of oil production Closure of gas stations Odd/Even # license plates operate  on alternate days Limited impact, as:  Only during extreme weather conditions  Less chance for effective several days in a row Buffer on shipment time is suggested Air Quality Control – Heavy-polluting industries Suspension or reduction of production activities  metallurgy, steel production, chemicals, glass, cement, etc Minimal impact PoliciesImpacts

5 Qingdao Tightened Port Security Control Special administration & regulation on Maritime Safety, with limits on:  Vessel traffic  Vessel speed  Vessel type  Passing time Ships delay in calling TAO  Some carriers drop Qingdao New World Alliance  Withdrawn 3 services from Qingdao temporarily Air Quality Control – Heavy-polluting industries Suspension or reduction of production activities  metallurgy, steel production, chemicals, glass, cement, etc Minimal impact PoliciesImpacts

6 Shanghai DG Cargo Control Local Security Measures Prohibits several categories of DG From July/18 to Aug/25 Applies to:  Export  Import  Transship  In transit at SHA DG importers not able to get sufficient raw materials for production DG exports suspended PoliciesImpacts

7 Regions around Beijing Hebei, Shanxi, Shandong & Inner Mongolia Traffic Control – moving goods to Tianjin Not allow passing through Beijing Needs to diverted Cargo movements  Skirt around Beijing  Adding distance  Extra fuel consumption  Longer transit Air Quality Control – Heavy-polluting industries Suspension or reduction of production activities  metallurgy, steel production, chemicals, glass, cement, etc Minimal impact PoliciesImpacts

8 All Mainland China DG Cargo Control Disallowed to enter the Olympic Games cities Stringent control of DG transportation Challenge for manufacturers in transporting :  raw materials  finished products Heightened Security Control Customs Declaration & Quality Inspection Both import and export  Tight customs inspection  Increase of frequency Customers need to pay more attention to :  documentation compliances  buffer time for shipment PoliciesImpacts


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