Container handling facilities are a key part of the infrastructure in the logistics sector, one of the four pillar industries of Hong Kong. Matching the supply of port facilities with demand will ensure and facilitate economic growth for the community. To meet the growing demand, Hong Kong is building a new container terminal, Container Terminal 9 (CT9), on Tsing Yi Island opposite the eight existing terminals at Kwai Chung. The CT9 will occupy an area of 68 hectares, with six berths and a design capacity enabling it to handle more than 2.6 million TEUs a year. The berths will come into operation in phases and the whole terminal is expected to be completed by 2005. It will help maintain Hong Kong's role as the premier port for southern China well into the 21st century.

    Competition among the container terminals and among alternative modes of container handling motivates the operators to heighten efficiency and improve their quality of service. The continuing investment in upgrading equipment and systems in the existing terminals at Kwai Chung over the past few years has enabled the port to enhance its productivity.

    The container port is vital, not only for Hong Kong, but also for southern China — one of the fastest industrialising areas in the world. Some 76 per cent of container traffic handled by Hong Kong is related to southern China. The port of Hong Kong, therefore, is likely to remain as the Asia-Pacific region's hub port.

Strategic Planning

To ensure that the port facilities in Hong Kong meet the demands and there is timely provision of sufficient facilities to handle Hong Kong port's cargo growth following China's accession to the World Trade Organisation, a 'Study on Hong Kong Port — Master Plan 2020' has commenced with the objective of formulating a competitive strategy and master plan for port development in the coming 20 years and beyond. The study focuses on strengthening the competitiveness of Hong Kong as a leading port in the region, the role of port operation in the development of transportation and logistics services in Hong Kong, and the preferred location of major container port and related infrastructure. It makes use of the recommendations in the Port Development Strategy Review, completed in 2001, as the foundation for analysis. As an integral part of the study, a new round of Port Cargo Forecasts has also commenced. The study is scheduled for completion in late 2003.