COSCO: NO NEW SHIPBUILDING PLANS FOR NOW
China Ocean Shipping (Group) Co., which has grown from one ship 40 years ago to more than 450 today, has no immediate plans to build new tonnage, said Gao Weijie, group vice president.
COSCO had announced orders for seven containerships of 5,000 TEU capacity about 18 months ago.
Weijie was in Washington to touch base with government maritime officials, and stressed the change in mentality that has overtaken the COSCO Group in recent years.
The company now focuses on a broad range of issues, and has global marketing operations, including more than 300 offices outside of China, as well as 300 offices within China, Weijie said.
COSCO no longer takes orders from China’s Ministry of Communications, he said, and business decisions are made by the COSCO Group.
Another aim of the trip to Washington was to help foster “a healthy trading environment.
Non-Chinese carriers have 86 percent of China’s international ocean shipping trade, with Chinese carriers controlling 14 percent of the trade, he said.
The COSCO Group is profiting without the help of financial aid from the Chinese government, Weijie said. In China there is no liner support or cargo support program, similar to the Maritime Security Program and cargo preference programs in the United States.
The COSCO Group shared in the economic upturn of last year. The year 2000 “was very good,” and 2001 will be 'O.K.,' Weijie said.
The company’s growth area is in supply chain management, he said. “Logistics is the key” to achieving success for the shipping line’s customers, “and joining our customers in their supply-chain management.”