THE Busan Port Authority (BPA) is forecasting that container throughput this year will increase by five per cent to total 19.6 million TEU. Throughput for the first nine months rose by five per cent year on year to 14.6 million TEU.
Transshipment business is anticipated to account for 52 per cent of total business this year, which will be two per cent higher than in 2014. "The ratio of our transshipment to gateway business is growing year to year," BPAs director of its international co-operation team, Park Ho-Chul, was quoted as saying in a report by IHS Media.
"Since China-related business takes up the biggest portion, Chinas slowing [economy] will have an impact. However, this impact can be negated should our alliance customers decide to route new business through Busan."
Busan plans to add one million TEU of throughput per year to reach 24.4 million TEU annual throughput by 2025. Its Busan New Port project is around 60 per cent complete with 23 of 45 new berths already in operation, 21 of which are container berths. In 2014, the new port accounted for 64 per cent, or 12 million TEU, of total throughput.
Sources in Seoul said Hyundai Merchant Marine (HMM) is expected to offload its joint-venture stake with Hyundai Development Corporation (HDC) in one of the terminals under construction that is scheduled to commence operations in 2019.
Hanjin Shipping is also selling its remaining stakeholding in Hanjin Newport terminal in Busan for US$118.5 million. The ocean liner previously sold half its original stake for $246.6 million to private equity group IMM Investment.