Industry Analysis & Industry Trends
The Freight Transport by Sea industry in China is mainly engaged in shipping exported items to their destination countries and territories from China. Therefore, industry performance is extremely sensitive to the global economic climate as it determines demand for Chinese goods.
Over the five years through 2015, industry revenue has been increasing at an annualized rate of 3.3%. In 2015, industry revenue increased $34.5 billion, up 4.7% from 2014. Slowing global trade growth has created a large challenge for the development of the industry.
Over the five years through 2020, ACMR-IBISWorld projects that revenue will grow at the slower rate of of 3.0%.... purchase to read more
Industry Report - Starting a New Business Chapter
High initial investment
A high level of investment is required to begin operations within the industry, including purchases of ships and containers, labor costs, computer-assisted freight tracing systems, and exploration of shipping lines. Large state-owned companies benefit greatly from government investment support, making it difficult for smaller private firms to enter the industry.
The industry has a medium concentration level, and due to over-supply, competition is expected to intensify. Therefore, it will be challenging for new entrants to expand, especially as the industry is gradually entering into the mature phase of its life cycle... purchase to read more