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ADB Transport Forum 2014

Development of Chongqing Inland Shipping

Li Xingzhi Vice-general Manager

China ! Chongqing Transportation HoldingsGroupCo., Ltd.
September 2014

General Information of Yangtze River Waterway
Yangtze River is the largest river in China, and length of its trunk stream ranks in third in the world. Total
length is of 6,397 km, total watershed area is of more than 1.8 million sq. km. As a great waterway channel
throughout Eastern, Central and Western China, it runs through one-fifth of China, including over 300 cities
in 11 provinces, irrigating over 600 million people.



Water System of Yangtze River Basin

Freight Volume Comparison
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Unit: 10
General Information of Chongqing Inland Shipping in 2013
I. Waterway transport in 2013
Freight volume of Chongqing was 144 million tons, increased 11.5% YOY;
Waterway RFTK of Chongqing was 198.3 billion ton - km, increased 14% YOY
Container traffic volume was 862,000 TEUs, increased 30.4% YOY.
II. Port production in 2013
Port throughout of Chongqing was 137 million tons, increased 9.4% YOY;
Foreign throughput of Chongqing was 4.4798 million tons, increased 9.45% YOY;
Container throughput was 905,8 00TEUs ,increased 13.9% YOY.
III. Navigation condition by the end of 2013
Total mileage was 4,451km,high-grade fairway above Class four accounted for 1,400km.

Role of Chongqing in Golden Waterway of Yangtze River

On April 27, 2014, Premier Li Keqiang pointed out "The golden
waterway of Yangtze River is the channel with the best traffic capacity
that connects the east, middle and west China. By it, a pearl chain "in
the Yangtze economic belt can be established" in his survey of the
golden waterway in Chongqing.

As the economic center and transportation junction in the upstream of
Yangtze River, Chongqing is an important node in the golden waterway
that connects the middle and west China. Also it is the only inland city
that has three junctions, ports and bonded areas, i.e. three junctions of
ports, airports and railways, national-level ports,all with bonded area
pairs. In a word, it is an inland city with 3 three-in-one.

Problems in Chongqing Shipping Development

I. Insufficient traffic capacity in locks of Three Gorges and obvious bottleneck in developing Chongqings shipping

The locks of Three Gorges consist of two lines with the designed unidirectional traffic capacity being 50,000,000 tons a year ,in total
100 million tons. However in 2013, the lockage freight volume in the upstream of Yangtze River reached 100 million tons, which is predicted
to reach 200 million tons in 2020. The insufficient traffic capacity of Three Gorges locks cannot meet the growing freight requirements and
seriously limits the further development of Changing's shipping.

II . Relatively small loading capacity of ships on Yangtze River
So far, the average loading capacity of freight ships on Yangtze River is about 40005000 tons. There are still space for

III Incomplete multimodal transportation infrastructure

The infrastructure construction for highway, railway, waterway and aviation transportations are incomplete, mainly reflected in roads,
constructions of stations, transportation devices, etc., thus directly causing high cost of shifting in different transportation methods.

Influence of Inland Shipping Development on Chongqing

I Guide the reasonable layout of Yangtze River industries.

II Effectively reduce the logistics cost.

III Further the employment and stability in Three Gorges Area.

IV Guide export-oriented economic development.

V Promote coordinated development of Eastern, Central and Western China.

VI Accelerate the construction of China central city.
Think on Future Development of Chongqing Shipping 1

I Build standard ship and improve the ship loading capacity.

For different transportation methods like Drop and Pull Transport, roll-on-roll-off shipping , more practical standard ships shall be
built so that they can improve the loading capacity, utility efficiency and effectively reduce the logistics cost. At present, my company is
producing a new generation ship which is 135 m long and around 700 tons in loading capacity.

II Build a comprehensive transportation system of completing infrastructure construction and realizing the combination of
multiple transportation methods.
1 Main streams and branches of golden waterway in Yangtze River shall be further regulated to facilitate the access of large ships;
2 Shipping distribution centers shall be constructed in main ports of Yangtze River so that the cargos can be distributed in these
centers to realize the comprehensive transportation of highway-waterway, railway-waterway.
Think on Future Development of Chongqing Shipping 2

III Change or adjust the traditional transportation organization method.

Forming of new transportation organization method like Drop and Pull Transport give play to the advantages of each
transportation method and organically combine each transportation method to form a comprehensive transportation system.

IV Form multi-channel fund raising and accelerate the Chongqing shipping development.

The logistics foundation construction needs the fund support from the government, financial institution and others
due to its great investment, long pay-back period and massive funds.

Thank You