Introduction
The port of Shanghai owns the title of the busiest port in the world. The logistics guaranteed by the port serve a great purpose on a global scale. The port had a long history from 1842, when it was first opened. The port flourished until the economic decline after the arrival of the communist party in China. However, after some time, the Chinese government decided to enhance the infrastructure of the port; now, it has fully recovered after the crisis. The port is claimed to be publicly owned, yet the Shanghai administration is its main stakeholder. The organization is famous for its technological advances as well as logistic success.
Connecting Port to Inland Infrastructure
The port is situated near the most important rivers in China, where the main inland transportation occurs. Moreover, it is near the ocean, which makes international trade favorable. Various companies engaged in the production of industrial goods depend on the work of the port. To sustain the transportation of the products, the port obtains container terminals with quay cranes.
Ship Size & Port Constraints
The port is considered the largest in the world, so the ships that can enter and transport cargo are the biggest ones. Such a situation is since there are high-quality lifts, fixed, mobile, and floating cranes that guarantee successful loading. However, the port does not yet allow shops that are more than 4 million TEU and aims to remove this barrier in the future. Currently, Shanghai port remains the busiest one since the number of ships that it handles is immense. Additionally, the company continues to expand; however, COVID-19 limited the ambitions of the port.
Port Operations
Shanghai port proposes the OPL services, the major function of which is for pilots to board and get off ships. Shanghai port operates with a great number of ships every day, so it has a strategy of vessel-handling planning. Such an approach prevents congestion in the port; besides, Shanghai provides a wide variety of services.
The services of the port:
“De-stuffing, maintaining, manufacturing, and leasing containers; managing information on warehousing, processing, distribution, and port logistics; providing facilities for international passengers; piloting and towing vessels; and forwarding freight; providing in-port services; leasing port equipment and facilities; and building, managing, and operating port and terminal facilities” (World Port Source, n.d., para. 2)
Strategic Alliances, Market Positioning, and Differentiation
Shanghai International Port Group successfully positions itself as one of the three most profitable enterprises in the shipping industry. Recently, it became public, yet aided and controlled by the Chinese government. Recently, the port allied with the other Chinese port to build a new important logistics terminal. Namely, a container terminal is planned to be built in Yangshan. The most characteristic trait of the port that makes it different from its competitors is the use of the most novel equipment. As such, unmanned technologies are already present in great numbers in the port. Moreover, the size of the port and the number of its terminals distinguish it from its rivals. The port’s administration, guided by the government, plans further expansion by acquiring new technologies, management operations, and strategic alliances with other ports.
Conclusion
Currently, Shanghai International Group is the leading shipment company in China and one of the largest ports in the world. The great number of vessels that everyday transport cargo into the port maintains its high productivity and important position in the market. The port remains successful due to the constant cooperation and support from the government as well as its desire to acquire the most novel technologies. The port proposes an immense quantity of services that require precision and thorough management. To handle such a complicated company, the administrators and supervisors try to put their efforts into planning which saves the port from the congregation. Thus, Shanghai is an exemplar port with developed logistics and infrastructure.
References
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Market Screener. (2021). Shanghai International Port (Group) Co., LTD. Web.
Port Strategy. (n.d.). New partnership to develop Yangshan port. Web.
Port Technology. (2020). The Port of Shanghai [Photograph]. Web.
Shanghai International Port Group. (n.d.). About us. Web.
Ship Technology. (2020). Port of Shanghai, China. Web.
ShipHub. (2020). Port of Shanghai. Web.
Sipa Freight. (n.d.). Top 10 largest ports in China. Web.
World Port Source. (n.d.). Port of Shanghai. Web.