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OPPORTUNITY (Issue 03)

In this issue of OPPORTUNITY, we will focus on the future of shipping and how technology will play an ever-increasing role in day-to-day operations throughout the supply chain.

What are the potential benefits, challenges and issues’ faced by the shipping industry as Artificial Intelligence (AI) is seemingly approaching into the mainstream to industry 4.0. Blockchain have raised the stakes for disruptive technology to be a major game changer towards global supply chain. We’ll also take a closer look to the advent of automated ships has led to some strong views both for and against within the industry and the impact of oil price rises on shipping.

In addition to the Group’s update, we included HIT’s Container Terminal 9 North launches remote-controlled operations to improve efficiency and an update to Hutchison Ports new partner in Amsterdam with TMA Logistics.

Up Front

This year marks the 21st FIFA World Cup, an international football tournament held every four years and there are many similarities between our business and the ‘beautiful game.’ We are now approaching the half way point in our current season and I am generally positive in terms of our performance ‘on the pitch’ and how trade activities are moving for Hutchison Ports. I am being asked by customers and stakeholders how I view the trade dispute currently bubbling under between China and the US and how it could potentially impact container shipping.

Artificial Intelligence

Companies that fail to take advantage of the benefits of Artificial Intelligence (AI) will be at a commercial disadvantage. That’s the message ringing loud and clear from academics and industry professionals alike. Put simply, AI technology is a game changer – in our business and personal lives. Take a recent high-level research report by MITSloan, in collaboration with The Boston Consulting Group (BCG), entitled ‘Reshaping Business with Artificial Intelligence’. It surveyed 3,000 managers, executives and analysts in many industries across the globe. Research indicates that around 85 percent of respondents believe AI could have dramatic commercial benefits.

Beyond Smart Ships

With the recent announcement of Japan’s intention to commercialise unmanned vessels by 2025, it appears that the technological development of ships is gathering pace. But questions are being raised by leading thinkers in the maritime sector about the direction the maritime sector is headed.

Drones and landing platforms of vans

In an exciting view of the future of urban e-commerce distribution and deliveries, Mercedes-Benz Vans, US drone developer Matternet Inc. and Swiss online marketplace Siroop have launched a project called ‘Vans & Drones’ in Zurich to test an efficient van and drone based system for on-demand delivery of e-commerce goods. The Zurich-based project will speed up & improve efficiency as the drones can land on the top of the vans at predetermined stations as the vans make deliveries. It cuts out the need to return to base to collect more parcels.

OIL PRICES RISE THREATENS BOTTOM LINE

Inflated crude oil prices places added cost burden to transportation sector – but volatility remains. Transportation enterprises are having to cope with a long subdued but now rising cost burden: the rapid upswing in oil prices since mid-2017. For some businesses involved in transportation, how they cope with this latest swelling of a major input cost could make or break their profit.

Blockchain - The Next Game Changer?

The advent of blockchain trials by Maersk, Walmart and IBM has raised the stakes for this disruptive technology to be a major game changer in the global supply chain. While the first steps are taken to develop, fine tune and stress test the technology, it is worth stripping down blockchain to have a look at how it works, what it does and why it is so important.

New Horizons for Hutchison Ports Through Joint Venture with TMA Logistics

Hutchison Ports’ new joint venture with TMA Logistics will offer a mixture of services initially within the Netherlands, the UK, Scandinavia & Baltic countries. In the longer term there are plans to extend services from Amsterdam and Northern Europe into Southern and Central Europe utilising barge operations, rail freight and last-mile trucking.

Remote-Control Yard Cranes

Twenty-nine reconfigured Rubber-Tyred Gantry Cranes (RTGCs) have been installed at Hutchison Ports’ HIT Container Terminal 9 (CT9) North. They are a eventually expected to see productivity gains rise 30-40 percent with higher operational efficiency up by 20 percent. These next generation RTGCs at CT9 are using remote-control technology which allows trained personnel to operate the equipment from an air conditioned office, providing improved safety, better working conditions and higher productivity.

Green Port Rotterdam

The Port of Rotterdam Authority aims to be a zero emissions port by 2050, and remains confident about achieving its goal of releasing “next to no emissions” by then. Remco Neumann, Corporate Social Responsibility Manager at the Port of Rotterdam is focused on making the changes happen.

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