SIPG will have a 45% stake equity in the new jv, Cosco Shipping 20%, while National Railway Administration and China Railway Container Transport Corp Ltd will share the remaining 35% stake equity.
Yan Jun, president of SIPG, said that the sea-rail transport plays an important role in container shipping. “Due to the insufficient railway network at Shanghai's major port areas at Waigaoqiao and Yangshan, the sea-rail transportation has developed slowly. We expect to expand the sea-rail transportation volume to 80,000 teu by the end of this year, and double the number to 200,000 teu in 2020.”
Shanghai port posted a sea-rail cargp volume of 60,000 teu in 2018.
In April, a trial operation of a sea-rail transportation service between Suzhou to Shanghai Yangshan port was launched. The container cargos will arrive at Luchaogang container handling center and then be transported to Yangshan port and distributed to global destinations.
In an effort to improve local transportation environment, SIPG, Shanghai Customs, Cosco Shipping and Shanghai Customs Brokers Association also reached an agreement to jointly develop data platform for cross-boarder trading. The platform aims to provide digital support to shipping industry development in Shanghai.