Hong Kong Freight and Logistics Market- Introduction
Hong Kong is one of the major international trading hubs with a significant amount of logistics-related transport. The Port of Hong Kong was marked as the busiest trading region with its strategic location and well-established port infrastructure. Owing to the development of the Chinese mainland logistic infrastructure and the ease of the trade barriers, the industry has experienced a decreased trend during the period 2012-2016. For instance, the container throughput has decreased from 23.1 TEUs in 2012 to 19.8 TEUs in 2016. But the shipping industry has witnessed an increased trend in the past two years. For instance, the container throughput of the port of Hong Kong stood at 20.77 TEUs in 2017, which implies a growth of 4.8% from 2016. Additionally, the trading and logistics industry is the largest among the four economic pillars in Hong Kong, in terms of value-added and rate of employment.
Government Support in Propelling Logistics Industry
The government of Hong Kong has been supporting the transportation and storage sector with its initiatives and incentives. The country mostly involves in foreign shipments and operations, where shipping operators are more vulnerable to double taxation. Hence, the SAR government has focused on withdrawing the double taxation, which will attract major global logistics service providers to setting up their businesses in the country. In 2016, the HKSAR Government helped nearly 391 overseas and Mainland companies to set up or expand their presence in Hong Kong. These companies are involved in a variety of sectors, such as business and professional services, consumer products, creative industries, financial services, information and communications technology, innovation and technology, tourism and hospitality, and transport and logistics. Taken together, they account for a direct investment of approximately HKD 16 billion and are expected to create over 7,200 new jobs within the first two years of operation or expansion in Hong Kong. Hong Kong practices free trade and free market policy. The country has an open and liberal investment regime with virtually no trade barriers or discrimination against non-local investors. This has benefitted international freight transport companies to invest in the country with a simple, low-tax system.
Impact of Technology and Digitization
To elevate the position of Hong Kong’s logistics sector to a better position, the government has been promoting the adoption of information technology in Hong Kong’s logistics industry with the name e-logistics. One of the recent initiatives on e-logistics is the Digital Trade and Transport Network System (DTTN) service, which is a neutral and open e-platform to help the logistics industry increase its operational efficiency and lower the cost. Additionally, a pilot project with the Hong Kong Productivity Council (HKPC) and Hong Kong Logistics Development Council on an On-Board Trucker Information System (OBTIS) was also initiated. With the application of modern technology, Hong Kong's logistics industry is expected to provide reliable and high quality value-added services cost-effectively.
Jul 2018: Qantas Freight launched a seasonal freighter service between Darwin and Hong Kong, which provides exporters with easier access to Asian markets. The new service will be the only direct link between Hong Kong and the Northern Territory, and is expected to provide a capacity of carrying up to 50 metric ton of fresh produce, which includes chilled meat, seafood, dairy, fruit, and vegetables, as well as general cargo.
Nov 2017: Global freight and logistics company DHL confirmed its investments in the Airport Authority Hong Kong for the latter’s expansion plan for the Central Asia Hub. DHL has invested USD 395 million, which brings its total infrastructural investment to more than USD 613 million. Additionally, it is DHL’s primary freight hub in the Asia-Pacific region.
Key industry Players
Kerry Logistics Network Ltd, JSI Logistics (Hong Kong) Limited, Ceva Logistics Limited, Yamato Global Logistics Japan Co. Ltd, OOCL Logistics Limited, Agility Public Warehousing Company K.S.C.P, DHL International GmbH, and United Parcel Service Inc., among others.
Hong Kong Freight and Logistics Market Report Summary
Hong Kong Freight and Logistics Market
Market Size in 2017
Around USD 47 billion
Market Size in 2023
Provided in the Full Report
Provided in the Full Report
Jul 2018: Qantas Freight launched a seasonal freighter service between Darwin and Hong Kong.
Nov 2017: DHL confirmed its investments in the Airport Authority Hong Kong for the latter’s expansion plan for the Central Asia Hub.
Kerry Logistics Network Ltd, JSI Logistics (Hong Kong) Limited, Ceva Logistics Limited, and others
The Hong Kong freight and logistics market report offers latest trends, growth prospects, industry competitiveness, major players, segment market share, and forecasts up to 2023.
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1.1 Scope of the Study
1.2 Market Definition
1.3 Executive Summary
2. RESEARCH METHODOLOGY
2.1 Study Deliverables
2.2 Study Assumptions
2.3 Analysis Methodology
2.4 Research Phases
3. MARKET INSIGHT
3.1 Current Market Scenario (2017-2018)
3.2 Technological Innovations
3.3 Government Regulations and Initiatives
3.4 Insights on Trade Relations between Hong Kong and Mainland China
3.5 Impact of Growing E-commerce on Logistics Industry
3.6 Insights on Logistics Infrastructure in Hong Kong
3.7 Insights on Port Facilities and Major Sea Freight Carriers in Hong Kong
4. MARKET DYNAMICS (DRIVERS, RESTRAINTS, AND OPPORTUNITIES)
4.1 Country's Strategic Location and Presence of World-class Infrastructure
4.2 Emergence of E-commerce Propels Demand for the Hong Kong Air Freight Sector
4.3 Growing Penetration of Technology and Digitization Offers an Opportunity
4.4 Increasing Number of Direct Shipping Routes and Development of the Chinese Mainland Port Infrastructure
5. MARKET SEGMENTATION AND ANALYSIS (MARKET SIZE, GROWTH, AND FORECAST)
5.1 By Mode of Transport
188.8.131.52 Sea Transport
184.108.40.206 Inland Water
5.1.4 Other Modes of Transport
5.2 By Function
5.2.1 Freight Transport
5.2.2 Freight Forwarding
5.2.4 Courier Express Parcel Industry
5.2.5 Value-added Services
5.2.6 Other Emerging Areas (Cold Chain Logistics, Last Mile Logistics, Return Logistics, etc.)
5.3 Perspectives on End Users
6. COMPETITVE LANDSCAPE
6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
6.2 Market Concentration Overview
6.3 Strategies Adopted by Major Players
7. COMPANY PROFILES (OVERVIEW, FINANCIALS**, PRODUCTS AND SERVICES, RECENT DEVELOPMENTS, AND ANALYST VIEW)
7.1 Global Players
7.1.1 Kerry Logistics Network Ltd
7.1.2 JSI Logistics (Hong Kong) Limited
7.1.3 Ceva Logistics Limited
7.1.4 Yamato Global Logistics Japan Co.Ltd
7.1.5 OOCL Logistics Limited
7.1.6 Agility Public Warehousing Company K.S.C.P
7.1.7 DHL International GmbH
7.1.8 United Parcel Service Inc.
7.1.9 Expeditors International of Washington Inc.
7.1.10 SF Express Co. Ltd
7.1.11 Deutsche Bahn AG
7.1.12 Sinotrans Limited
7.2 Local Players
7.2.1 Sea-Air Logistics (Hong Kong) Ltd
7.2.2 Ferguson International Freight Forwarders Ltd
7.2.3 Trans-Am Group (Trans-am Air Freight (HK) Ltd, Trans-am Sea Freight (HK) Ltd)
7.2.4 OTS Forwarding (HK) Ltd
7.2.5 SITC International Holdings Co. Ltd
7.2.6 China Merchants Port Holdings Co. Ltd
7.2.7 Janco Holdings Limited
*List not Exhaustive
8.1 GDP Distribution, by Activity
8.2 Insights on Capital Flows
8.3 Economic Statistics – Transport and Storage Sector Contribution to Economy
8.4 External Trade Statistics – Export and Import, by Product
8.5 Insights on Key Export Destinations
8.6 Insights on Key Import Origin Countries
8.7 Insights on Four Key Industries in Hong Kong
8.8 Statistics -Number of Establishments and Persons Engaged in Major Industry Groups of the Transport Industry (2014-2016)
**Subject to Availability on Public Domain