Effects of the ‘Belt and Road’ initiative on the wine import logistics of China

China’s Belt and Road (BR) initiative is expected to facilitate international trade between the countries involved. In this study, we review the special requirements of wine logistics and the market growth potential of wine consumption in China. A model minimizing generalized logistical costs is developed and applied to wine imports in China, so that the best candidate cities in which to locate transport gateways and distribution centers can be identified. Our analysis suggests that the most preferred gateways are Shanghai, Tianjin, Guangzhou, and Hong Kong, which all have similar delivery costs. In comparison, Beijing and Chongqing have much higher delivery costs, mainly because they do not have good access to marine transport and/or efficient domestic distribution networks. For long-distance intercontinental transport of large volumes of wine, marine shipping remains the only viable delivery mode. However, wine distribution within China extensively uses air, road, and water transport. Therefore, cities with excellent multi-modal transport services are better positioned to become wine logistics gateways. Our study also highlights the importance of value-added services and good government support, which are important factors that influence distribution costs and quality.     

The environmental costs and economic implications of container shipping on the Northern Sea Route

The Northern Sea Route (NSR) has tremendous potential for ocean shipping between Europe and Asia due to the savings from shorter transit time and distance. However, the Arctic area is environmentally vulnerable and thus there is a trade-off between NSR’s impacts on environment vs. its economic benefits, especially when compared with the traditional route, such as through the Suez Canal Route (SCR). This study estimates the market shares of different transport modes and alternative shipping routes for the container transport market between Europe and Asia, and the resulting environmental costs. Our result suggests that NSR can be a viable option under the status quo. However, its environmental costs tend to be higher than SCR due to small ship size and low load factor in the present, thus the development of NSR would lead to worse environment outcomes. If these issues can be resolved, NSR can benefit from lower operational and environmental costs, which will lead to higher market share and social welfare. Otherwise, increased use of NSR may lead to higher total environment costs than the status quo.     

The implications of the re-establishment of direct links across the Taiwan Strait on the aviation industries in Greater China

This paper investigates the economic implications of the liberalization of air transportation across the Taiwan Strait to the region's aviation industries. Our analysis suggests that (1) liberalization has brought substantial benefits to airports and airlines in Mainland China and Taiwan. Negative impacts to Hong Kong are largely compensated by traffic increase in routes linking Mainland China. (2) In general, Taiwanese airports and airlines have benefited more from liberalization compared to airports and airlines on the mainland and Hong Kong. Such asymmetric effect is due to the larger size of the Mainland Chinese aviation market, which allows Taiwanese airlines to exploit network-related benefits. (3) Our investigation suggests that foreign hub carriers and medium sized Chinese airports will benefit most from China's future liberalizations.     

Port system evolution – the emergence of second-tier hubs

Some evidence has emerged of second-tier hubs inserting themselves between hubs and feeder ports, producing a new hierarchy of port networks. This article aims to establish the dynamics of this process based on illustrative cases in Asia, South America, and Europe. Findings reveal spatial factors to include a cluster of small ports with minimal sailing distance within a given range, suitable channel and berth depth, and ideally high capacity inland links. From the economic perspective, demand-side factors include a local captive market and aggregated demand to be captured from other ports, while supply-side factors include diseconomies of scale at traditional hubs, an increase in direct services, an increase in large feeder vessels calling from first-tier hubs which are then transhipped to smaller feeders for serving local ports, and an increase in overland servicing of local smaller ports. From a strategic perspective, vertical and horizontal integration in the shipping sector has produced extensive network economies, whereby shipping lines look to create group-specific port hierarchies, enhanced in the presence of aggressive management strategies and supportive policies. This finding suggests that proactive port stakeholders can in certain circumstances seize the opportunity to capture this role within their port range.     

Modelling port choice in an uncertain environment

Port choice is an important issue to be investigated to ensure the effective integration of container supply chains and the sustainable development of regional economy. The selection of appropriate ports to facilitate shipping activities and international trade is crucial for many stakeholders, including shipping lines, port administrators, cargo shippers and national governments. The task is essentially a process of multiple criterion decision-making (MCDM) under uncertainty, requiring analysts to derive rational decisions from uncertain and incomplete data related to different quantitative and qualitative determinants. This paper aims at proposing a new conceptual port choice method by explaining the role fuzzy logic in evidential reasoning in a complementary way, in which various forms of raw data (either objective or subjective) collected to evaluate port performance can first be converted into and presented as fuzzy grades defined using linguistics terms with degrees of belief (DoBs) and second be combined using evidential reasoning to produce a port choice preference score. The method is applied to analyse the selection of major Northeast Asian (NEA) container ports from a shipping line’s perspective. The outcome, a port choice preference score, is calculated using evidential reasoning to directly synthesize the true estimation of the port with respect to each criterion and therefore, unlike a relative ranking index, keeps the ‘goodness’ of port evaluation, capable of benchmarking a specific port’s performance and monitoring the increase of its competitiveness in a longitude study with respect to an individual criterion or all the criteria as a whole.     

The relationship between maritime education and employer trust: the structural equation modelling (SEM) perspective

The research is aimed to identify factors in the maritime education and training (MET) system and its relationship on maritime labour employers’ (MLEs) trust based on current practice in Malaysia. A questionnaire survey was used, and the respondents were the participants of a related conference in Malaysia. The structural equation modelling technique was used to explain the relationships in the stipulated research model. The test of structural model confirms that the model is adequate in explaining the MLEs’ trust. The results reveal that the perceived MET institutions’ efficiency has significant direct effects on the MLEs’ trust and the perceived seafarers’ competency. In addition, the perceived implementation of International Convention was found to significantly affect the seafarers’ competency. However, the perceived seafarers’ competency was not found to directly affect the MLEs’ trust. This study suggests that the MLEs’ trust is an important indicator and feedback on it can be used to further enhance the current MET system and its policies. Thus, one of the strategies is to develop a policy in order to achieve an effective maritime education and training. This is to support the maritime communities in progressing towards a more sustainable development in the MET in the context of enhancing the maritime safety.     

“The Geography of Maritime Transport–Space as a Perspective in Maritime Research and Development”

Emissions from commercial shipping are currently the subject of intense scrutiny. Among the top fuel-consuming categories of ships and hence air polluters are container vessels. The main reason is their high service speed. Lately, speed reduction has become a very popular operational measure to reduce fuel consumption and can obviously be used to curb emissions. This paper examines such an operational scenario. Since time at sea increases with slow steaming, there is a parallel and strong interest to investigate possible ways to decrease time in port. One way to do so is to reduce port service time. Another possible way to minimize disruption and maximize efficiency is the prompt berthing of vessels upon arrival. To that effect, a related berthing policy is investigated as a measure to reduce waiting time. The objective of reducing emissions along the maritime intermodal container chain is investigated vis-à-vis reduction in operational costs and other service attributes. Some illustrative examples are presented.     

Port Decision Maker Perceptions on the Effectiveness of Climate Adaptation Actions

Effective adaptation to climate change impacts is rapidly becoming an important research topic. Hitherto, the perceptions and attitudes of stakeholders on climate adaptation actions are under researched, partly due to the emphasis on physical and engineering aspects during the adaptation planning process. Building on such considerations, the paper explores the perceptions of port decision makers on the effectiveness of climate adaptation actions. The findings suggest that while port decision makers are aware of potential climate change impacts and feel that more adaptation actions should be undertaken, they are skeptical about their effectiveness and value. This is complemented by a regional analysis on the results, suggesting that more tailor-made adaptation measures suited to local circumstances should be developed. The study illustrates the complexity of climate adaptation planning and of involving port decision makers under the current planning paradigm.