As the global shipping industry faces multiple challenges and downturn, the construction of Shanghai as an international shipping center becomes particularly crucial for China's economic development. In the next five years, comprehensive efforts must be made across multiple dimensions to achieve breakthroughs and realize Shanghai's elevation as a global shipping hub.
Enhancing Port Efficiency Through Market Reforms
Improving port environment and shipping services stands as the top priority. Currently, Shanghai Port's transshipment ratio remains at just 10%, a relatively low figure in both domestic and international operations. Significant improvement potential exists, especially when compared with major ports in Southeast Asia, Europe, and America.
A new strategic initiative proposes market liberalization for coastal shipping services, allowing all liner companies to participate. This profound market reform aims to leverage the free trade zone's open policies to enhance both international and domestic cargo transfer efficiency.
Industry analysts suggest that broader participation in this new business model could significantly boost Shanghai Port's throughput capacity, increasing vessel numbers and frequency. This would create a virtuous cycle attracting more international clients. Data indicates customers respond positively to preferential policies, suggesting expanded tax rebate programs could further strengthen Shanghai's competitiveness.
Building World-Class Port Infrastructure
The development of modern shipping services requires focused attention on port environment construction and institutional innovation. Efforts will concentrate on creating high-efficiency, low-cost, and convenient port operations while advancing shipping finance, insurance, and index development.
The recent formation of China COSCO Shipping Group exemplifies the industry consolidation trend, with its fleet capacity now ranking first globally. Such resource integration demonstrates growing international competitiveness and signals a new era for shipping development.
Leveraging Aviation Potential
Shanghai must capitalize on its aviation advantages in transportation, manufacturing, and service sectors to develop as a comprehensive international aviation hub. China Eastern Airlines reported 2.6 million transfer passengers at Pudong Airport in 2015 alone, demonstrating strong growth momentum that supports broader shipping center development.
However, airport expansion has become urgent as Pudong and Hongqiao airports already lead the nation in flight movements and passenger volume. Challenges remain in airspace resource allocation and route network optimization.
Proposals include establishing a Shanghai International Aviation Development Pilot Zone and relaxing market access to encourage private investment in aviation sectors. Such public-private partnerships could enhance Shanghai's position as an international aviation hub.
Coordinated Development Strategy
The dual-engine approach combining maritime and air transportation aims to elevate Shanghai's global shipping status. Through institutional innovation, policy support, and resource integration, Shanghai seeks to achieve breakthroughs that will benefit both local economic development and China's overall shipping competitiveness.
Success requires coordinated efforts from ports, airlines, freight forwarders, government agencies, and financial institutions. Each policy implementation, service improvement, and operational integration contributes to Shanghai's journey toward global shipping leadership.
