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Message from Group Managing Director

Though 2020 started with the US and China having reached the first phase of a trade deal, we continue to see uncertainty in world trade as there is still trade tension between the two strongest economies in the world, and the result of Brexit is yet to be seen.  Originally, our expectation was a low single digit growth in the global container trade this year. However, the recent novel coronavirus outbreak creates new uncertainty for the world economy, and may impact the global supply chain and global container trade.

In Hong Kong, we have started the implementation of the Hong Kong Seaport Alliance (HKSPA) since last year with the launch of the berth and yard planning strategies aiming to increase efficiencies and optimise utilisation and cost synergies. With the “home berth” approach, we have managed to reduce the inter-terminal trucking by close to 50% which helps reduce costs and carbon emissions. For the barge community, the “one-stop berthing” arrangement at Terminal 9 and the launch of new barge initiatives have been offering barge operators higher efficiency and flexibility, reduced turnaround time, as well as incentives to expand the scale of operations and coverage.  Our infrastructure upgrade project continues in order to cater for the increasing deployment of mega vessels by shipping lines. 

In DaChan Bay, we continue to grow our container volume as well as to expand our non-containerised business. Also, DaChan Bay Terminals has become the first container terminal facility in South China to offer shore power at all berths which marks a milestone in our continuous efforts to help protect the environment.  

We have made significant progress in our digitalisation roadmap.  In Hong Kong, we have fully implemented the Electronic Release Order (eRO) for import containers and in DaChan Bay, a number of new tools and technologies enhancing the communications with various end users have been launched including Smart Gate, Smart Customer Service and Smart Barge. We continue to explore the feasibility of rolling out remote control of RTGs and we will continue to explore other opportunities to apply new technologies to improve operations.

As part of our commitment to sustainability and making Modern Terminals a great place to work, we have conducted our third culture survey in March 2019 and we are glad to continue to see remarkable improvement in all aspects. We will continue to invest in and grow our people.  For our community engagement, we have launched the Modern Terminals Summer Fitness Programme Alumni in late 2019 to continue our engagement with past participants and attract new joiners to our programme. Additionally, we aim to continue to improve our performance in governance, health and safety, and protecting the environment.

In the coming years, our focus will be on realising the benefits of HKSPA in order to maximise its potential to attract volume back to Hong Kong and to continue to grow our business in DaChan Bay.

In the meantime, let’s work together to provide a safe and healthy working environment to safeguard the well-being of all of us.

Last but not least, our great thanks goes to our customers, business partners, and our team members for all we have achieved in the past year.  We look forward to another prosperous year of 2020 and beyond!

Horace Lo
Group Managing Director

February 2020

Message from Group Managing Director