Container traffic at Shenzhen's ports is expected to grow by 20 per cent in 2002 to 6m teu, said Zhou Tianlin, director of the municipal port bureau. Throughput at Chi- wan is forecast to increase by 50-60 per cent, while Yantian has already reached full capacity, recording a 56 per cent increase to 1.77m teu in the first half of the year. However, traffic at Shenzhen's third main port of Shekou fell 10 per cent in the first six months after Cosco moved a shipping line to Chiwan.
By contrast Hong Kong's Kwai Chung Terminal, which handles about 60 per cent of the SAR's total container throughput, recorded a fall of 0.7 per cent in the first five months of 2002.
China's first port facility entirely owned by foreign investors was announced in July, when P&O Overseas, MTL, Swire and China Merchants combined to form a Yn1.74bn joint venture to build a container terminal in Shenzhen. They will develop the second phase of Shekou port. The developers will be the same as for Shekou phase one, apart from Cosco, which will not be included this time. China Merchants, which is considered foreign by the Chinese authorities, will take a 51 per cent stake in the project.