Air Exportation from  CHINA Presented by  Joseph So  COHESION Air Freight (HK) Ltd.
<ul><li>China U.S. air freight has taken off, but from a smaller base </li></ul>China – U.S. Air Freight
Ranking of Freight Vol. in China Airports Source: CAAC <ul><li>Freight Vol. in Hong Kong Airports </li></ul>2005 – 3437050...
<ul><li>China and Hong Kong account for 29% of the air freight in U.S. Asia market </li></ul>China – U.S. Air Freight Sour...
China – U.S. Air Freight <ul><li>Air freight trade includes products and equipment related to high-tech and high-fashion <...
Footwear Manufacturing in China Over 80% of the footwear going into U.S.A. is from China Below areas are the key regions f...
The top airlines serving China-US include:
ñ <ul><li>Shanghai </li></ul>Air freight service between the US & China is consolidated in a few key airports <ul><li>Beij...
Air freight service between the US & China is consolidated in a few key airports <ul><li>Beijing:   Mainly handle shipment...
Air freight service between the US & China is consolidated in a few key airports Shanghai : Mainly handle shipments from Y...
Guangzhou:  Mainly handle shipments from Air freight service between the US & China is consolidated in a few key airports ...
Hong Kong:   Mainly handle shipments from Air freight service between the US & China is consolidated in a few key airports...
Air Freight Business Outlook <ul><li>China will further open up its air cargo market </li></ul><ul><li>Air cargo volume wi...
Air Freight Business Outlook <ul><li>More freighters will come into China market.  </li></ul><ul><li>* UPS announced they ...
Air Freight Business Outlook <ul><li>The role of the airport in China will become more significant </li></ul><ul><li>E.g. ...
Export Procedures <ul><li>Cargo Cut off: </li></ul><ul><ul><li>Cargo must be delivered before 10:00a.m.  (for same day eve...
Export Procedures <ul><li>Provide full set of export customs clearance document </li></ul><ul><li>- Packing list </li></ul...
Common air transportation problems in China <ul><li>Lack of delivery reliability </li></ul><ul><li>Non-procedural practice...
THE END THANKS!
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Air Cargo Business in CHINA

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Air Cargo Business in CHINA

  1. 1. Air Exportation from CHINA Presented by Joseph So COHESION Air Freight (HK) Ltd.
  2. 2. <ul><li>China U.S. air freight has taken off, but from a smaller base </li></ul>China – U.S. Air Freight
  3. 3. Ranking of Freight Vol. in China Airports Source: CAAC <ul><li>Freight Vol. in Hong Kong Airports </li></ul>2005 – 3437050 2004 - 3119008 10.1% (In tons) 18.5 506988.3 600603.9 3 Guangzhou 17.0 668690.0 782066.0 2 Beijing 13.1 1642176.0 1857119.8 1 Shanghai – Pudong % Change 2004 2005 Rank Airport
  4. 4. <ul><li>China and Hong Kong account for 29% of the air freight in U.S. Asia market </li></ul>China – U.S. Air Freight Source: BACK Aviation,
  5. 5. China – U.S. Air Freight <ul><li>Air freight trade includes products and equipment related to high-tech and high-fashion </li></ul>Source: BACK Aviation, FY 2005 air freight commodity analysis
  6. 6. Footwear Manufacturing in China Over 80% of the footwear going into U.S.A. is from China Below areas are the key regions for footwear (Non-rubber/Rubber/Fabric) manufacturing: Dongguan, Guangdong Putian, Fujian Wenzhou, Zhejiang
  7. 7. The top airlines serving China-US include:
  8. 8. ñ <ul><li>Shanghai </li></ul>Air freight service between the US & China is consolidated in a few key airports <ul><li>Beijing </li></ul>ñ ñ <ul><li>Guangzhou </li></ul>ñ <ul><li>Hong Kong </li></ul>
  9. 9. Air freight service between the US & China is consolidated in a few key airports <ul><li>Beijing: Mainly handle shipments from </li></ul>Yellow Sea Bo Hai <ul><li>Shandong, </li></ul><ul><li>Shanxi, Inner Mongolia </li></ul><ul><li>Including </li></ul><ul><li>Tianjin, </li></ul><ul><li>Liaoning, </li></ul><ul><li>Hebei, </li></ul>
  10. 10. Air freight service between the US & China is consolidated in a few key airports Shanghai : Mainly handle shipments from Yangtze River Delta <ul><li>Including </li></ul><ul><li>Wenzhou, </li></ul><ul><li>Nanjing </li></ul><ul><li>Hangzhou, </li></ul><ul><li>Ningbo, </li></ul>
  11. 11. Guangzhou: Mainly handle shipments from Air freight service between the US & China is consolidated in a few key airports Pan-Pearl River Delta <ul><ul><li>Jiangxi, </li></ul></ul><ul><ul><li>Panyu, </li></ul></ul><ul><ul><li>Shunde, </li></ul></ul><ul><ul><li>Zhongshan, </li></ul></ul><ul><ul><li>Shenzhen, </li></ul></ul><ul><ul><li>Hong Kong, </li></ul></ul><ul><ul><li>Foshan, </li></ul></ul><ul><ul><li>Fujian, </li></ul></ul><ul><ul><li>Zhaoqing, </li></ul></ul><ul><ul><li>Zhuhai </li></ul></ul><ul><ul><li>Dongguan, </li></ul></ul><ul><ul><li>Including: </li></ul></ul><ul><ul><li>Guangzhou, </li></ul></ul>
  12. 12. Hong Kong: Mainly handle shipments from Air freight service between the US & China is consolidated in a few key airports <ul><li>Including </li></ul><ul><li>Guangzhou, </li></ul>Guangdong province <ul><li>Zhuhai, </li></ul><ul><li>Zhongshan, </li></ul><ul><li>Shenzhen, </li></ul><ul><li>Dongguan </li></ul>
  13. 13. Air Freight Business Outlook <ul><li>China will further open up its air cargo market </li></ul><ul><li>Air cargo volume will maintain an average growth rate of over 10% (the growth rate of the world is 6.2%) </li></ul><ul><li>New carriers are coming into China Market </li></ul>
  14. 14. Air Freight Business Outlook <ul><li>More freighters will come into China market. </li></ul><ul><li>* UPS announced they have placed order for an A380 freighter expect delivery on 09 </li></ul><ul><li>* UPS will add eight Boeing 747-400 freighters to its fleet starting June 07 </li></ul><ul><li>* FedEx announced a new Asia Pacific hub will be built at the Guangzhou Baiyun International Airport this summer. </li></ul><ul><li>Since majority of the manufacturers are located in China, the shipments will be shipped directly </li></ul>
  15. 15. Air Freight Business Outlook <ul><li>The role of the airport in China will become more significant </li></ul><ul><li>E.g. the Baiyun International Airport in Guangzhou, </li></ul><ul><li> the Gaoqi International Airport in Xiamen </li></ul><ul><li>Goods manufactured in Southern China trend to ship via Guangzhou instead of Hong Kong </li></ul><ul><li>The future role of the Hong Kong International Airport will become less important </li></ul>
  16. 16. Export Procedures <ul><li>Cargo Cut off: </li></ul><ul><ul><li>Cargo must be delivered before 10:00a.m. (for same day evening flight) </li></ul></ul><ul><ul><li>Cargo must be delivered one day prior carrier departure </li></ul></ul><ul><li>Document Cut off: </li></ul><ul><li>- On or before cargo arrival at the airport </li></ul><ul><li>Custom clearance: </li></ul><ul><li>- In normal practice it takes one day </li></ul><ul><li>- Additional half to one day will be needed if there is any random customs inspection </li></ul>
  17. 17. Export Procedures <ul><li>Provide full set of export customs clearance document </li></ul><ul><li>- Packing list </li></ul><ul><li>- Commercial invoice </li></ul><ul><li>- Export application form </li></ul><ul><li>- Authority letter for export clearance </li></ul><ul><li>- Application form of tax refund after exportation </li></ul><ul><li>- Sales contract </li></ul><ul><li>- Fumigation certificate for solid wood package </li></ul><ul><li>- Certificate of commodity inspection (If it is required in the rules of China customs) </li></ul>
  18. 18. Common air transportation problems in China <ul><li>Lack of delivery reliability </li></ul><ul><li>Non-procedural practices </li></ul><ul><li>Excessive customs clearance times </li></ul><ul><li>Lack of intermodal service </li></ul><ul><li>Lack of shipment tracing service </li></ul>
  19. 19. THE END THANKS!
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