Jointly Create a New Era for Carriers and Ports Partnership by Building a Community of Shared Future:COSCO SHIPPING Releases Boao Declaration with 16 Carriers and Ports
Hosted by COSCO SHIPPING, the Convention between Carriers and Ports for OCEAN Alliance 2018 – the Forum on "Jointly Create a New Era for Carriers and Ports Partnership by Building a Community of Shared Future" was convened in Boao, Hainan Province on November 29, 2017. Representatives of 16 carriers and ports from both home and abroad had an in-depth discussion on the new situation, new mode and new path of carriers and ports cooperation, and reached a consensus on further strengthening carriers and ports partnership by co-building a community of shared future. Their joint release of “Jointly Create a New Era for Carriers and Ports Partnership by Building a Community of Shared Future: Boao Declaration” marked the beginning of a new era for carriers and ports partnership.
Participants of the event include Capt. Xu Lirong, Chairman of COSCO SHIPPING, Mr. Chen Xuyuan, Chairman of Shanghai International Port Group, Mr. Zheng Minghui, Chairman of Qingdao Port Group, Mr. Gong Liming, President of Ningbo Zhoushan Port, Mr. Zhang Ruigang, Chairman of Tianjin Port Group, Mr. Cai Jinlong, Chairman of Guangzhou Port Group, Mr. Xu Song, President of Port of Dalian, Mr. Chen Dingyu, Chairman of Xiamen Port Holding Group, Mr. Li Hezhong, Chairman of Yingkou Port Group, Mr. Ding Rui, Chairman of Lianyungang Port Group, Mr. Rodolphe Saadé, Chairman of the Board and CEO of CMA CGM Group, Mr. Eric Ip, Managing Director of Hutchison Ports, Mr. Lawrence Lee, President of Evergreen Marine Group, Mr. Ong Kim Pong, Regional CEO of PSA Southeast Asia, Mr. Andy Tung, CEO and Senior Managing Director of OOCL, and Mr. Matthew Leech, COO of DP World. The meeting was chaired by Mr. Wan Min, Director of the Board and President of COSCO SHIPPING. Mr. Wang Haimin, Managing Director of COSCO SHIPPING Lines, and Mr. Zhang Wei, Managing Director of COSCO SHIPPING Ports were also present at the meeting.
During the meeting, Capt. Xu Lirong said that, thanks to the support of global ports, the service provided by OCEAN Alliance has witnessed significant improvement, and the Alliance reputation is widely recognized by its global clients. Apart from the Alliance’s own efforts, all such progress should also be credited to the support of ports around the world, as well as the constantly deepened carriers and ports partnership. “Boao Consensus” was reached among various parties during last year’s conference, and then yielded remarkable results over the past one year. The carriers and ports cooperation saw profound changes, which included not only mutual business cooperation and support, but also deeper strategic equity cooperation. The all-round partnership between carriers and ports entered a new era. At present, the tenuous global economic recovery is very likely to continue, while the mismatch between supply and demand in the shipping market remains outstanding. At the starting point of development in a new era, the carriers and ports community should forge ahead hand in hand, and actively respond to the Belt and Road Initiative by further deepening their partnership and expanding the scope of cooperation. The specific measures include: first, enhance strategic cooperation in all respects and jointly enhance market competitiveness in the principle of mutual understanding and in pursuit of better services; second, further enhance mutual service assurance, as efficient port service will not only win customers’ trust for the ship enterprises, but also bring greater rewards to the ports; third, establish a new cooperation mechanism for information sharing. Leverage big data to accurately grasp the customer needs, innovate the cooperation methods, and enhance the core competitiveness; and fourth, increase collaboration on logistics. The foundation of carriers and ports partnership lies in logistics. Therefore, carriers and ports shall give play to their own advantages and strengthen cooperation on logistics supply chain in order to provide end-to-end integrated logistics solution to and create higher value for their global clients.
The participants shared their opinions freely during the meeting, and carried out an in-depth discussion on: (1) the outcomes and personal observations of carriers and ports partnership over the past year; (2) the new situation, new trend and new direction of technological development currently faced by the industry; (3) how to build a community of shared future; (4) how to improve the ability of serving global economic and trade development; and (5) how to build a data, information and service stream sharing and development system in the big data era.
Mr. Chen Xuyuan, Chairman of Shanghai International Port Group, said since 2017, carriers and ports partnership has achieved fruitful results. We’ve successfully adapted to the new services after new shipping alliances were put into operation and deepened cooperation on the capital front. We are expanding our cooperation in more fields. The year 2017 is a fruitful one, and we expect that in 2018, carriers and ports will step up cooperation, co-create value and share development achievements in the construction of free trade ports, implementation of the Belt and Road Initiative and serving the economic development of the Yangtze River Economic Belt.
Mr. Eric Ip, Managing Director of Hutchison Ports, said that it is the common aspiration of carriers and ports to pull shipping and related industries back to the track of sustainable growth. The shipping industry, which involves massive funds and numerous practitioners, plays a major role in boosting global trade and is a key driver behind global economic growth. Hutchison Ports has many investment projects along the Belt and Road and it will play a better role in land-sea intermodal transportation. The past 10 to 15 years have witnessed the rapid development of the shipping industry, while the development in the next decade will be critical. Rising to future challenges and keeping up with the trends of technological progress, big data and smart ports will provide a opportunity for port and shipping industries to achieve sustainable development and usher in a new era.
Mr. Rodolphe Saadé, Chief Executive Officer and Chairman of the Board of Directors of CMA CGM Group, said CMA CGM welcomes the initiative of COSCO SHIPPING to organize a forum in Bo’ao to enhance the cooperation between the ocean carriers and the ports from and outside China. Container shipping is a vital activity for the world trade and it requires a smooth supply of goods. It requires ocean carriers to further invest in vessels and provide competitive network. It also requires ports to operate efficiently to speed up the dispatch of containers and the distribution to inland destinations.
As a key deliverable of this meeting, 16 carriers and ports (collectively referring to as ‘All Parties’) jointly released Jointly Create a New Era for Carriers and Ports Partnership by Building a Community of Shared Future: Boao Declaration to maintain the stability and order of international port and shipping markets.
All Parties jointly declared:
—We reiterate that, we will commit ourselves to pulling shipping and related industries back to the track of sustainable growth, promoting economic globalization and trade facilitation, and giving full play to the role of shipping and port industries in driving global trade and economic growth;
—We advocate that, carriers and ports shall forge stable, equitable, and mutually beneficial strategic partnerships in the principle of practicability and win-win. This kind of relations is in the fundamental interests of all parties involved;
—We support that, carriers and ports shall uphold the concept of achieving shared growth through discussion and collaboration. We will continue to provide globally influential and open platform for exchanges and matchmaking between carriers and ports, thus to foster a sustainable industrial ecology that benefits all;
—We encourage that, carriers and ports shall explore innovative model of cooperation featuring openness and integration, deepen vertical cooperation through the entire industrial chain by forging business synergy and capital linkage, jointly implementing projects, etc., as well as expand horizontal cooperation opportunities in the areas of information, technology, human resource, asset, management, etc.;
—We advocate that, carriers and ports shall fulfill social responsibilities for sustainable development. We will develop green shipping and build smart ports, by adopting new technologies and products regarding the internet, big data, artificial intelligence, energy conservation and emission reduction, playing a leading and exemplary role in global shipping and port industries;
—We call for and welcome more partners from the industry to join us. Let us all work together to further expand the depth and breadth of our collaboration, and jointly write a new chapter for carriers and ports partnership.
The Convention between Carriers and Ports for OCEAN Alliance 2018 was held in Boao on the afternoon of November 30. Representatives of the National Port Administration Office, China Railway, OCEAN Alliance member organizations, well-known international port operators and China’s domestic port groups and container terminals, together with the heads of various carrier and port companies under COSCO SHIPPING, were present at the event. Mr. Huang Xiaowen, Executive Vice President of COSCO SHIPPING, and Ms. Cai Qing, Deputy Director General of the National Port Administration Office delivered speeches, respectively. The four founding parties of OCEAN Alliance briefed the participants on the “OCEAN Alliance Shipping Route Arrangements and Products in 2018”, as well as their own non-alliance products. Mr. Wen Kexue, Deputy Director of the Freight Department of China Railway, Mr. Yan Jun, President of Shanghai International Port Group, Mr. Gong Liming, President of Ningbo Zhoushan Port, Mr. Zhang Jiangnan, Vice President of Port of Qingdao, Mr. Eric Ip, Managing Director of Hutchison Ports, Mr. Ong Kim Pong, Regional CEO of PSA Southeast Asia, and Mr. Zhang Wei, Managing Director of COSCO SHIPPING Ports also made remarks during the event.
The Shipping Business Workshop of COSCO SHIPPING 2018 was convened on the morning of the same day. Mr. Huang Xiaowen attended and presided over the meeting. Mr. Yang Huaxiong, Deputy Director of the Water Transport Bureau of the Ministry of Transport introduced the shipping policies and regulations under the new situation. Mr. Ding Shuang, head of Greater China economic research at Standard Chartered, reported on the prospect of China’s macro-economic and trade development. Mr. Han Ning, Chinese Director and Chief Representative with Drewry, a British maritime research and advisory firm, analyzed the international shipping and port market development trend in 2018.
During the workshop, COSCO SHIPPING Logistics, COSCO SHIPPING Development, Qingdao Port International and Qingdao Port Financial Holdings signed agreements on strategic cooperation, respectively. In addition, COSCO SHIPPING Ports and PSA also signed an MOU on cooperation relating to the newly-added berths of COSCO-PSA Terminal Pte Ltd (CPT).
Sources: China COSCO Shipping Corporation Limited
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