Port cargo throughput jumps 20%

In the first quarter of 2010, Hong Kong’s total port cargo throughput increased 20% year-on-year to 62.8 million metric tons. Within this total, inward and outward port cargo increased 18% and 23% to 36 million metric tons and 26.7 million metric tons, respectively.           

On a seasonally adjusted, quarter-to-quarter comparison, total port cargo throughput grew 3% in the first quarter. Within this total, inward and outward port cargo went up 2% and 5%, respectively.            

Within port cargo, seaborne cargo increased 21% year-on-year to 42.1 million metric tons, while river cargo increased 18% to 20.6 million metric tons.

Within inward port cargo, imports and inward transhipment increased 8% and 32% in the first quarter, compared with a year earlier, to 18.6 million metric tons and 17.4 million metric tons, respectively. For outward port cargo, exports (including domestic exports and re-exports) and outward transhipment also increased 8% and 33% year-on-year to 9.5 million metric tons and 17.3 million metric tons , respectively.

In the same period, the port of Hong Kong handled 5.4 million TEUs of containers, representing a 17% increase year-on-year. Within this total, laden containers increased 20% to 4.6 million TEUs, while empty containers increased 4% to 0.9 million TEUs. Among laden containers, inward containers increased 21% to 2.3 million TEUs, while outward containers increased 20% to 2.3 million TEUs.

Seaborne and river laden containers increased 22% and 16% in the first quarter over a year earlier to 3.3 million TEUs and 1.2 million TEUs, respectively.

Also in the first quarter, the number of ocean vessel arrivals increased 6% year-on-year to 7,990, with total capacity decreasing 2% to 92.6 million net registered tons. Over the same period, the number of river vessel arrivals increased 4% over a year earlier to 43,020, with the total capacity increasing 12% to 25.5 million net registered tons.

Deloitte launches regional tax services center

On June 7, Deloitte announced the launch of its Asia Pacific International Core of Excellence (AP ICE) in Hong Kong. The center will provide a new level of integrated international tax-management solutions to Asia Pacific-based companies investing abroad and to multinational companies investing in the region.

AP ICE will cover 15 tax jurisdictions with a team of 21 senior tax professionals. With this new division, Deloitte expects to bring in more Asia Pacific regional accounting business to Hong Kong and to expand this new regional office to cover more tax jurisdictions.

Deloitte’s AP ICE co-leader, Lili Zheng, said Hong Kong was chosen after an extensive evaluation for its strategic location in the region and for its position as the gateway to and from mainland China. “We expect significant consulting business opportunities from the growing number of Mainland companies investing abroad, as well as businesses coming into or expanding in the region. We deem Hong Kong as a perfect base for us to assist these companies to develop in the region,” she said.

Fellow AP ICE co-leader Alan Tsoi said, “We also hope that the presence of AP ICE will further enhance Hong Kong's reputation as the regional talent center for professional services, as well as being an attractive place to live and work.”

Director-General of Investment Promotion at Invest Hong Kong Simon Galpin warmly welcomed the center’s establishment. “The launch of Deloitte’s AP ICE not only shows continued confidence in Hong Kong as a leading international financial center, but also reinforces Hong Kong as a strategic business center offering access to consulting business opportunities from regional and multinational companies developing their business into mainland China and Asia Pacific,” he said.

Robust cargo demand sets new record  

Cargo tonnage at Hong Kong International Airport (HKIA) reached a record-high monthly total of 367,000 metric tons in May, up 41.9% year-on-year. The speedy and significant recovery in cargo traffic at HKIA helped to further strengthen HKIA's status as the world's busiest international air cargo center.

Air traffic movements in May registered a healthy growth of 8.4% from the same period last year, to 25,380. Passenger volume for the month reached 4.1 million, up 14.4 % year-on-year.

Cargo throughput to and from all major markets showed double-digit growth year-on-year. The substantial growth was in part due to the relatively low base recorded in May 2009, as well as to the continued recovery of key export markets, particularly Europe and North America. Exports recorded strong growth of 61%, while imports and trans-shipments surged 32% and 14%, respectively.

The double-digit growth in the passenger market was also partly due to the lower base for comparison from last May, when passenger traffic was badly affected by the human swine flu outbreak.

This May, visitor numbers grew 27% as the economy continued to rebound, with those from South East Asia and North Asia showing the highest increases. Hong Kong resident travel also registered a year-on-year increase of 19%, and transfer/transit traffic remained at a similar level compared with the same period last year.

From January to May 2010, all three traffic categories recorded healthy growth. The airport received 20.3 million passengers, moved 1.6 million metric tons of cargo and handled 120,205 aircraft movements, representing year-on-year increases of 6.4%, 36.6% and 3.0%, respectively.

Healthy growth in passenger, cargo traffic

The combined Cathay Pacific and Dragonair traffic figures for May 2010 showed significant increases in both the number of passengers and the amount of cargo and mail carried compared with the same month in 2009.

The two carriers carried a total of 2,183,623 passengers in May, up 12% year-on-year. The passenger load factor was 81.3%, a rise of 5.5 percentage points, while capacity for the month, measured in available seat kilometers (ASKs), was up 2.8%. In the first five months of the year, the number of passengers carried rose 5.3%, while capacity dropped 1.6%.

The two airlines carried a total of 158,600 metric tons of cargo and mail last month, up 30% year-on-year. The cargo and mail load factor was 79.1%, a rise of 10.9 percentage points, while capacity, measured in available cargo/mail tonne kilometers, was up 19.7%. Year-to-date, tonnage rose 25.4%, while capacity increased 4.8%.

Round-the-world freighter flight to launch

The airline has spent months developing the new route, which will initially be operated twice weekly, every Friday and Sunday, using a Boeing 747-400 freighter. The flight will leave Hong Kong and fly via Anchorage to Chicago. From there, it will fly onward to Amsterdam and Dubai before returning to Hong Kong.

The round-the-world flight is an extension of Cathay Pacific’s existing service to Chicago — the airline currently serves the city with eight flights per week. The flight from the United States to Amsterdam marks the first time that Cathay Pacific will operate a transatlantic service. In total, the round-the-world flight will take 44.5 hours to operate, including ground time to uplift freight.

Cathay Pacific has been working hard to strengthen its services to and from Hong Kong in response to the recent global upswing in airfreight markets, and has just announced it will boost its freighter route to Houston and Miami. From July 2, the airline will fly four times weekly to Houston and five times each week to Miami.

The airline is also reinforcing its commitment to the continued development of Hong Kong as a leading international air cargo hub through the construction of its own new cargo terminal and the continued expansion of its freighter fleet. Development of the US$705.12 million Cathay Pacific Cargo Terminal at Hong Kong International Airport is now underway, with the facility set to come into operation in 2013. With regard to its fleet, the airline has 10 Boeing 747-8F freighters on firm order, with deliveries set to commence in January 2011.