Seabridge Global Logistics has launched its first office in Shenzhen, China. A world-leading trade hub, Shenzhen’s trade lanes link China’s north and south regions, and connect with over 130 countries.
Shenzhen ranks 1st for overall economic competitiveness in China. A Special Economic Zone, the area benefits from market-oriented economic policies. For instance, businesses benefit from tariff and tax exemptions and streamlined customs processes.
As a result, the city has doubled its economic output in just six years to approximately US$352bn (AUD$511bn) GDP in 2018. Further, year-on-year (YOY) imports soared by 19.4%. This thriving trade economy motivated Seabridge’s decision to establish an office in this area.
Port and Airport
An important part of Shenzhen is its port. The nexus between broader China and the global market, Shenzhen port is the fourth largest in the world. It moves a colossal 25.74m TEU per year. Additionally, it offers the most international trade routes of all China’s ports in addition to 21 feeder routes to the Pearl River Delta Region.
The port is complemented by 30 international air routes from China’s 4th largest airport, Shenzhen airport. Despite the slowing air freight market, Shenzhen Airport’s YOY throughput has grown every month in 2019 thus far.
Relationship with Australia
Shenzhen is not just a global trade hot spot; its proximity to Australia and openness to Australian trade makes it an advantageous Australian export partner.
A 40-year sister state and province relationship between NSW and the Guangdong Province has driven market interdependence. Further, the China-Australia Free Trade Agreement has positioned China as Australia’s primary trade partner. For instance, it has facilitated the import of AUS$1.66bn of Australian beef, AUS$838.6m of sheep meat, and 39% of Australia’s wine exports (2018).
Tier 1 cities like Shenzhen have the highest demand for Australian red meat and wine. These cities also provide direct trade routes to tier 2 and 3 cities where demand is growing. Further, there is significant opportunities for medical and technology-based exports given Shenzhen’s entrepreneurial spirit.
The new office will allow Seabridge to cater to extensive and fast-growing trade opportunities in Shenzhen. Seabridge Shenzhen will capitalise off localised knowledge to ensure customised solutions are reliable, efficient, and meet client’s unique commercial requirements.
Need help moving your freight to Shenzhen? Contact the Shenzhen office at +86 755 6689 9166.