Development of International Dry Port in China

Expert Group Meeting on the Draft Regional Framework for the Development of Dry Ports of International Importance

June 6, 2017

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The Role of Dry Ports in The Development of The

National Transport System in China Part 1

Overview of Current Operations of Dry Ports and

Plans for Further Development in China Part 2

Policy Measures, Legislation and Solutions to

Support Dry Port Development in China Part 3

Practical Options for Financing Development and

Operation of Dry Ports in China Part 4

Part 1

The Role of Dry Ports in The Development of The

National Transport System

The role of dry port in China

An important component of comprehensive

transport system.

Facilitate development of international trade

and international logisticsran.

Plays an important role in improving investment

environment in the west, central China and

northeast China, serving “The Belt and Road”

strategy and promoting trade contacts between

China and Asian-Pacific region.

Part 2

Overview of Current Operations of Dry Ports and

Plans for Further Development

Late commencement and rapid

development of dry port construction in

China

On October 22, 2002, Beijing and Tianjin jointly

signed Direct Connection Agreement between

Beijing Chaoyang Port and Tianjin Harbor Port.

The Chaoyang Dry Port was the first dry port in

China.

Overview of Current Operations

of Dry Ports and Plans for

Further Development

Late commencement but rapid development

of dry port construction in China

Dry port in China also develops rapidly both in

quantity and in scale.

The amount of dry ports in china has reached more

than 100. e.g. Tianjin, Qingdao, Dalian, Yingkou,

Ningbo, Shenzhen, Xiamen, Lianyungang, etc.

Table 1 Distribution of Main International Dry Ports of China and

Total Export and Import Volume in Location of Dry Ports

Overview of Current Operations

of Dry Ports and Plans for

Further Development

No. Seaport Dry Port City No. Seaport Dry Port City

1

Tianjing Seaport

Pinggu,Beijing 40

Dalian Seaport

Harbin

2 Shijiazhuang 41 Changchun

3 Zhengzhou 42 Jilin

4 Dezhou 43 Tonghua

5 Huinong, Shizuishan 44 Shenyang

6 Baotou 45 Tongliao

7 Taiyuan 46 Yingkou Seaport Shenyang

8 Anyang 47

Ningbo Seaport

Shangrao

9 Zhangjiakou 48 Tanying

10 Yinchuan 49 Nanchang

11 Zibo 50 Yiwu

12 Chaoyang，Beijing 51 Shaoxing

13 Hebi 52 Quzhou

14 Huhehaote 53 Jinhua

15 Xingtai 54 Yuyao

16 Chifeng 55 Xiaoshan

17 Handan 56 Xiangyang

18 Bayanzuoer 57

Xiamen Seaport

Sanming

19 Hanzhong 58 Nanchang

20 Baoding 59 Ganzhou

21 Jiayuguan 60 Ji’an

22 Erlianhaote 61 Yingtan

23 Dulata，Xinjiang 62 Xinyu

24 Urumqi 63 Dehua

25 Xi’an 64 Nanan

26

Qingdao Seaport

Zibo 65 Nanping

27 Luoyang 66 Jinjiang

28 Zhengzhou 67 Longyan

29 Chengdu 68

Guangzhou Seaport

Kunming

30 Lanzhou 69 Heshan，Jiangmen

31 Urumqi 70 Guiyang

32 Xi’an 71 Hengyang

33 Taiyuan 72

Shenzhen Seaport

Changsha

34 Houma 73 Chenzhou

35 Qingzhou 74 Ji’an

36 Rizhao Seaport

Linyi 75 Ganzhou

37 Juxian 76 Nanchang

38 Lianyungang Seaport

houma 77 Zhanjiang Seaport Yongzhou

39 Luoyang

East dry

port group

Formation of four dry port groups in China

Overview of Current Operations

of Dry Ports and Plans for

Further Development

Type2: Work with frontier ports. China-Euro Railway Express. E.g. Chongqing, Chengdu,

Zhengzhou, Wuhan, etc.

Type1: Work with coastal ports.

Construction model of international dry port of China

1. Dry port is built to compete for initiative in source of goods from inland regions : Ningbo

Port and Tianjin Port

—— Relying on Ningbo Port: Jinhua, Yiwu, Shaoxing, Yuyao and Quzhou.

—— Relying on Tianjin Port: Urumchi, Shijiazhuang, Zhengzhou, etc.

2. Dry port is built to develop local economy on land areas: Xi'an dry port and Nanchang dry

port.

——Xi’an Dry Port : Cooperate with Qingdao, Tianjin, Lianyungang Ports.

——Nanchang Dry Port: Cooperate with Xiamen, Shenzhen, Ningbo Ports.

3. Dry port is built to meet the needs of development of coastal ports and inland areas

Dalian Port, in cooperation with the railway company and the local governments of inland

cities, build the dry ports in the northeast: Shenyang, Changchun, Harbin.

Overview of Current Operations

of Dry Ports and Plans for

Further Development

Dry ports in China

Scale: 50-500 hm2. Large-scale dry ports ( more than 500 hm2 ) mainly

distributed in the western region, e.g. Zhengzhou, Xi’an, Kunming city.

Function: basic cargo clearance, warehousing function,logistics,few dry

ports have value-added servicees function.

Overview of Current Operations

of Dry Ports and Plans for

Further Development

Management system of

international dry port in

China

Management system for the

dry ports in China is

composed of the central

government - local and the

main market operators from

top to bottom and mainly

participated in by the local

government.

Development of dry port planning, policies

and regulations of the central government

Ministry of Transport Ministry of Commerce General

Administration of Customs

Other ministries and

commissions

Provincial

governments

Municipal

government

Investment

pattern

Local

policy

Dry port operator

Coastal port Local customs Other partners

Direct control management

Relationship management

Market

Local

government

Central

government

Overview of Current Operations

of Dry Ports and Plans for

Further Development

Existing Issues of Dry Ports in China：

1. Lack of unified development planning and existence of blind construction.

2. The sevices of dry ports relatively simple.

3. Modern management level is relatively low.

Part 3

Policy Measures, Legislation and Solutions to

Support Dry Port Development

•the central government plays an increasingly critical role.

In March 2009, the State Council promulgated the Adjustment and Revitalization

Planning for Logistics Industry.

Local governments also promulgate the corresponding policies:

Guangxi：Suggestion on Construction of Dry Port to Accelerate Development of

Bonded Logistics System（2010）;

Kunming： Implementation Plan for Promotion of Construction of Dry Ports in

Kunming City （2010）.

Policy Measures, Legislation and

Solutions to Support Dry Port

Development

•the central government plays an increasingly critical role.

In 2013, the General Secretary Xi Jinping proposed the strategic concept of the “The Belt

and Road”.

In September 2014, the State Council issued the Medium-and Long-term Planning for

Logistics Industry Development (from 2014 to 2020).

On December 26, 2014, the General Administration of Customs proposed the Scheme for

the Implementation of “Three-mutual” and Construction and Reform of Faster Going

Through Customs.

In the Vision and Action for Promoting the Co-construction of The Belt and Road jointly

issued by the National Development and Reform Commission, Ministry of Foreign Affairs

and Ministry of Commerce in March 2015.

Policy Measures, Legislation and

Solutions to Support Dry Port

Development

•The Ministry of Transport also successively issues documents.

Freight Hub (Logistics Park) Construction Scheme during the “13th Five-Year Plan”

Action Plan for Promoting the Construction of Large Logistics Channel (from 2016 to

2020)

Construction Scheme for the Collection and Distribution System for the Ports during the

“13th Five-Year Plan”

Several Opinions on the promotion of Supply-side Structural Reform and “Cost

Decreasing and Benefit Increasing” in the Logistics Industry and Opinions on the

Implementation of the “The Belt and Road” Proposal and Acceleration of International

Road Transport Facilitation.

Policy Measures, Legislation and

Solutions to Support Dry Port

Development

Social organization:

In May 2014, Chinese Ports Association officially established the dry port branch and

convoked the seminar for the development of dry ports in China

Policy Measures, Legislation and

Solutions to Support Dry Port

Development

Part 4

Practical Options for Financing Development and

Operation of Dry Ports in China

Construction subject of international dry port in China

The investors of dry ports in China mainly include: port, local enterprise,

railways company, local government and etc.

The majority of dry ports rely mainly on port investment and local enterprise

investment. In some cities far away from harbors, the railway company also

participates in the construction of dry ports, such as the dry ports in Chengdu,

Harbin and Urumchi; a few dry ports are directly invested by the local

government, such as the dry ports in Xi'an and Luoyang.

Practical Options for Financing

Development and Operation of

Dry Ports in China

Financing mode of International dry port in China

PPP financing mode is usually developed in the constuction of dry ports.

Government

department

Subsidy

Policy support

Dry port

Investment

Operation

management

Social

investor

Practical Options for Financing

Development and Operation of

Dry Ports in China

Development prospect of international dry port in China

The strategic conception of the “The Belt and Road” in China provides new

opportunities for further development of the dry ports. One of the focal points of

“The Belt and Road” is the interconnection of transport infrastructure, and the

dry ports, as a bridge connecting the inland areas with coastal ports and border

ports, it will play a key role in implementation of the strategic concept of “The

Belt and Road” in the future.

THE END THANK YOU FOR YOUR ATTENTION