Hong Kong's port development is losing to competition from South China ports. In a government commissioned report, Hong Kong's share of South China cargo had fallen from more than 70 percent in 2011 to below 40 percent. Hong Kong has become the less preferred choice for shipping South China cargo.
Over the past ten years there has been a significant increase in port capacity in South China, which is believed to be the cause. International shippers have more viable options than before. The report also predicts that transshipments will account for 75 percent of Hong Kong's shipments by 2030. Even the South China ports are competing for cargo amongst each other. Notably, Shenzhen, Guangzhou, and Nansha share overlapping territory. While Guangzhou port has older facilities, limiting its container handling capabilities, Nansha is at a modern standard and room for expansion. The State Council released a statement saying the country would make three more free-trade-zones in Guangdong, Fujian, and Tianjin. For the international shipping industry, more options will soon be available in China.
