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Jul 26, 2005

DEVELOPMENT - CHINA - Three to tango

Beijing,China -China Business Weekly, by LI FANGFANG -2005-07-25: -- If the nation's expressways can be likened to human arteries, what would be the healthy blood coursing through? -The answer is trucks, especially heavy-duty trucks... The country has made great strides in building a network of expressways that stretch 34,000 kilometres, and still adding at a rate of 4,000 kilometres each year... From 2001 China invested 1,000 billion yuan (US$123.3 billion) on construction, which makes the country the world's No 2 in expressway development... The figures are impressive but the utilization of the network is not optimum... Figures show that in 2004, the logistics bill in China 21.3 per cent of national GDP (Gross Domestic Product)... The lower the percentage, the better the economic performance of the country - in the United States, for example... So, "the reform of the logistics industry is extremely urgent. Heavy-duty trucks with larger capacity, higher speed and greater efficiency will be the future"... In China, the average truck trip is 61 kilometres compared with 300 kilometres in Western countries...

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