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Keelung Port’s Strategies in Coping with the Competition of Taipei Port Container Terminal

Keelung Port’s Strategies in Coping with the Competition of Taipei Port Container Terminal Ms Madeleine Huang Chinese Taipei. Outline. Introduction of Taipei Port Market Share of TPCTC Impact on Keelung Port Strategies. 1. Introduction of Taipei Port. 1) Northern Taiwan

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Keelung Port’s Strategies in Coping with the Competition of Taipei Port Container Terminal

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  1. Keelung Port’s Strategies in Coping with the Competition of Taipei Port Container Terminal Ms Madeleine Huang Chinese Taipei

  2. Outline • Introduction of Taipei Port • Market Share of TPCTC • Impact on Keelung Port • Strategies

  3. 1. Introduction of Taipei Port 1) Northern Taiwan 2) Outside Metropolitan Taipei 3) At the influx of transpacific, northeast and southeast Asia Keelung port Taipei port

  4. Competition Natural limits of Keelung port 1) Water depth 2) Berths length 3) Room for container backyard Auxiliary port

  5. Taipei Port Container Terminal 1)First B. O. T. (build, operate, transfer) project applied in Chinese Taipei’s ports 2)Total investment US$ 600 million 3)7 berths with 2,366 meters in length and 110 hectares in area (12,508 TEU, Emma) 4)Successful bidder: Taipei Port Container Terminal Corp. (TPCTC), formed by Evergreen, Wanhai and Yangming shipping lines.

  6. Shareholders of TPCTC

  7. Taipei Port Container Terminal

  8. The estimated container handling volume of Taipei Port Unit: thousand TEU

  9. 2. Market share TPCTC in 2005 Unit: thousand TEU

  10. Target Market of TPCTC • Regional Import/Export Cargo • Oceangoing Container Trucked between North and South • Transshipment

  11. Estimate of Container Distribution Unit: thousand TEU

  12. 3. Impact on Keelung Port Unit: thousand TEU, thousand USD

  13. 4. Strategies for Keelung Port 1) Improvement of Infrastructure 2) Upgrade of Service Quality 3) Competitive and flexible port tariff 4) Cost Reduction 5) Reform of Port Organization and Operation System

  14. Improvement of Infrastructures • Extending eastern breakwater • Dredging program of main channel and container berth • ．Filling water area between w18-w19 ．Filling water area between w20-w23(in the long term) • Outward Connecting Road Scheme

  15. 200 m Extending Eastern Breakwater ．30 Million USD ．Finished by the end of 2008 1400 m Port of Keelung 5

  16.  港區範圍修訂(近程96～100年) -15.5M 650M -14.5M • Dredging program • - main channel and container berth

  17. W18 W19 364M 324M Filling water area to create backyard space Construction to finish: 2008.12.31 Create Land area: 1.8 Hectare(1860TEU).

  18. 62 Widening Changshang Road (92 Million USD) East Bank Outward Connecting Road (181 Million USD) Highway No.3 Highway No.1 Outward Connecting Road Scheme

  19. Upgrade of Service Quality • Guarantee of handling efficiency • Development of Free Trade Zone

  20. Keelung Free Trade Zone West Bank East Bank FTZ area: Wharf E6 to E22 and Wharf W11 to W33（68 hectare） 9 FTZ enterprises operating in FTZ Area.

  21. TK International Logistics Co. Ltd 1.Main Shareholder: Wan Hai Lines 2.Total Area: 7 hectares 3.Total Investment: 19.5 million USD

  22. Provide More Competitive Port Tariff • Service Contract • Release the Restriction of Discount

  23. Cost Reduction • Incentive Retirement Scheme • Outsourcing Low Profitable Businesses

  24. Corporatization Reform of Port Organization and Operation Systems • Shipping Administration • Harbor Administration • Business Operations

  25. Thank you for your attention

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