China Shipping in talks to invest in Taicang Port

China Shipping Group confirmed it is in talks with the shareholders of Taicang Port Phase II to take a minority stake in the four-berth box terminal in east China’s Suzhou city.

General manger of China Shipping Terminal Development Fang Meng told Lloyd’s List today that the company is aiming to take around a 30% share in the terminal but has not yet signed a deal with the two present operators, namely Modern Terminals and Suzhou Port Development Company.

Run by a 70:30 joint venture between Modern Terminals and Suzhou Port Development, the Phase II terminal has a quay length of 1.1km consisting of four container berths with a capacity of 1.8m teu a year.

Of the 1.08 m teu of containerised cargo the port of Taicang processed last year, the Phase II terminal lifted about 300,000 teu to 400,000 teu.

Adjacent to the Phase II terminal is the first phase of Taicang port which contains two container berths and two break bulk terminals that have the capacity to process 550,000 teu of boxes and 580,000 tonnes of bulk cargo a year. Modern Terminals and China Cosco Group are the two largest shareholders of the 930m long Phase I terminal, holding 51% and 46.9% respectively of the facility.

The two phases of the port handled 661,900 teu in the first six months of this year, up 60% from the same period last year, said the local port authority.