Business / Companies

CIMC plans production base

By Zhong Nan (China Daily) Updated: 2014-03-18 07:35

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Han Yichao, an analyst with Changjiang Securities Co, said CIMC has been waiting for opportunities to increase container sales and develop higher value-added container products.

Those could include bulk containers made of advanced materials, cement tanks and environmental containers.

More than 40 companies and 18 manufacturing bases carry out container production, sales and design work for CIMC throughout the world.

The Chinese company produces a wide variety of containers, ranging from dry freight containers to refrigerated and special boxes, for domestic and global clients.

It also offers logistics vehicles, tanker trailers and construction vehicles, and it designs and produces passenger boarding bridges and cargo-handling systems for airports.

Even though the world economy continued to face a number of uncertainties last year, the global container shipping market achieved stable growth, especially on the Europe-South Asia, Asia-Africa and Asia-Middle East routes, according to a report by the Shanghai International Shipping Institute released in February.

"Emerging economies today are contributing more wealth to the world economy. Their demand for consumer goods has never been stronger," Han said. "This also indicates there will be a rise in demand for more container ships to deliver the goods."

Bao Zhangjing, director of the China Shipbuilding Industry Research Center, said since AP Moller - Maersk Group deployed its first Triple-E vessel, the world's largest container carrier, on the Asia-Europe route last July, Chinese competitors such as China Shipping Container Lines Co and China COSCO Holdings Co have ordered large container vessels from domestic and South Korean shipbuilders.

"From a long-term perspective, large container ships are more likely to dominate the global shipping business, because super-sized containerships mean lower freight rates and more business opportunities," Bao said.

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