SHENZHEN, China — While overall container volumes in the Pearl River Delta region struggle to maintain rapid growth amid shifting trade patterns, Shenzhen’s Da Chan Bay Terminal One is surging after attracting several new services this year. Two new weekly trans-Pacific and two intra-Asian services that began calling in August and September will enable the terminal’s volume to grow more than 50 percent by 2013.
The trans-Pacific services now calling Da Chan Bay are the Super Shuttle Express operated by Grand Alliance members Hapag-Lloyd, NYK Line and OOCL, and the Pacific North West Express operated by the Grand Alliance together with Zim Integrated Shipping Services. The intra-Asia services new to Da Chan Bay are the Haiphong Feeder Service 2 and Philippines Feeder 2, both operated by OOCL. A total of 15 services now call at Da Chan Bay Terminal One.
“Da Chan Bay has finally established itself as a major player in the western Shenzhen market, which will be good for carriers, and good for volume growth in the Pearl River Delta,” said Peter Levesque, chief commercial officer for Hong Kong-based Modern Terminals.
Da Chan Bay, operated by Modern Terminals, opened in 2008 and handled 86,000 20-foot-equivalent units in its first year. It built its volumes to 1 million TEUs by 2011 and projects volumes to grow to 1.5 million TEUs in 2013. With a planned four phases — the current one being the first — the terminal can grow significantly in coming years. Modern Terminals, Hong Kong’s oldest terminal operator, owns 65 percent of Da Chan Bay Terminal One, with the Shenzhen government holding the rest.
Da Chan Bay’s growth comes as Shenzhen overall continues to feel the effects of halting growth in South China. Shenzhen ports overall grew only 0.6 percent in the first seven months of this year, according to Alphaliner data, while Ningbo grew 10.5 percent, Qingdao expanded 11.2 percent and Tianjin grew 26 percent. Shanghai grew 3 percent.
The new services calling at Da Chan Bay will affect the competitive balance in western Shenzhen, a region traditionally dominated by the larger Chiwan Container Terminal and Shekou Container Terminals, both operated by China Merchants Holdings. CCT and SCT have traditionally held the lion’s share of the western Shenzhen market (the largest Shenzhen terminal, Yantian International Container Terminals, is located in eastern Shenzhen).
Yet Da Chan Bay has been making inroads due to its ability to offer carriers capacity growth in the western Shenzhen market, which includes the Pearl River Delta. Da Chan Bay’s location provides access to barge traffic from around the Pearl River Delta region. Last year 43 percent of Da Chan Bay’s volumes arrived or departed via barge, 48 percent by truck and 9 percent via transshipment.
Contact Peter Tirschwell at email@example.com.