China Shipping to focus on W Asia market
IN a bid to develop new shipping operations in the region as trade between Asia and the Middle East flourishes, China Shipping Group has established a holding company in the Dubai Maritime City of the United Arab Emirates, Gulf News reports.
The newly created firm named China Shipping (West Asia) Holding Company is said to have been registered as a free zone entity within the special economic area. The new business is expected to focus on operating feeder vessel services between Dubai and ports in South Asia, the Red Sea and East Africa. The business scope will also cover ship chartering and logistics services, according to an online report by the newspaper, which cited comments from company officials.
The state-run mainland China group is also said to be investing US$10 million in building a warehouse located within Dubai's Logistics City, an upcoming development that is yet to open in one of the world's leading maritime shipping hubs. In line with plans to strengthen its West Asia liner shipping services, China Shipping intends to raise capacity on its weekly container service linking China and Dubai in June from 4,500 TEU to 5,600 TEU, the report claimed.
Furthermore, China Shipping has established a shipping agency in partnership with Dubai's Sharaf Group.