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Two ice-class vessels with passenger capacity of 65 and 100 people will enter the routes in Arkhangelsk and Onega in the spring of 2024

December 30 2021

In Arkhangelsk there will be constructed ice-class vessels for passenger transportation.

The shipbuilders will start to work since the beginning of 2022.  As It is expected, the first two vessels for Arkhangelsk and Onega will enter service on municipal routes in the spring of 2024 after the closure of winter pedestrian ice tracks, the press-office of the government of the Arkhangelsk Region reported.

Passenger ice-class vessels will be able to transport residents of Arkhangelsk and Onega during the autumn ice freezing and spring ice floating.

Aleksandr Tsibulsky, the governor of the Arkhangelsk region, has noted in the social media: “We are moving on to the practical implementation of agreements, reached during a working trip to our region by the Minister of Industry and Trade of the Russian Federation Denis Valentinovich Manturov, In September last year we were talking about renovation of water vessels in Arkhangelsk Region. Now all preparation procedures are completed, contracts for construction of four ice-class passenger vessels are signed. It is important, that they will be built in our region – thus, the serial construction of civil vessels will be resumed in the Arkhangelsk Region after several decades.”

The head of the region said further: two modifications of the vessel have been developed – with a passenger capacity of 65 and 100 people. The model has been tested in small-sized, solid and grated ice. Tests have shown that the class of ice reinforcement and engine power are suitable for operation in the waters of the seaports of Arkhangelsk and Onega during periods of ice freezing and ice floating.

«The shipbuilders will start to work since the beginning of the next year. We expect to begin transportation of passengers in the spring of 2024, – said Aleksandr Tsibulsky.

The project of the vessel is unique, it was developed by specialists of the Northern branch of the Russian River Register, taking into account modern requirements of comfort and safety, as well as climatic features of the region, and has no modern analogues in Russia. The new vessels will replace tugs that are not intended for passenger transportation, but have  been involved for decades in transporting residents of the island territories of Arkhangelsk and the left bank of the Onega lake during periods of ice freezing and flood floating.

To implement the project, a working group was organized with the participation of representatives of the Regional Ministry of Transport, the association “Cluster of Shipbuilding and Production of Marine Equipment in the Arkhangelsk Region”, supervisory authorities, classification societies, design, shipbuilding and transport enterprises.

The experts conducted a feasibility study, a study of water routes, determined the technical parameters of the vessel, and prepared a draft design. One of the prototypes for the future vessel was the tugboat “Nikolai Baskakov”, which is successfully operated on the inland waterways in the region. In addition, the appearance of the vessel resembles the symbols of the water passenger transportation in the “capital” of the Russian North – the motor ships “Balkhash” and “Kommunar”.

As it was reported earlier, in the autumn of 2020 the Minister of Industry and Trade of the Russian Federation Denis Manturov visited Arkhangelsk Region. At a meeting with the head of the region, the need to allocate funds for the construction of four vessels under the preferential leasing program of the Ministry of Industry and Trade of Russia was discussed. Work on the project began in 2021. The vessel’s project was also examined by the Central Research and Design Institute of the Russian Merchant Fleet.

Source: Port News

The Grigory Lovtsov ship was in distress in the ice of the Sea of Okhotsk.

January 5 2022

The Russian cargo ship Grigory Lovtsov, located in the Sea of Okhotsk, sent a distress signal due to the threat of ice damage to the hull on 4 January. Eight crew members were on board and they sent a distress signal and requested an evacuation. A Mi-8 helicopter from the Khabarovsk Aviation Rescue Center of the Russian Emergencies Ministry’s flew out to help them.

“As a result of the highly professional and well-coordinated work of the Russian Emergencies Ministry’s helicopter crew and rescuers, the sailors were evacuated on board the aircraft and delivered to the city of Nikolaevsk-on-Amur. The crew’s condition is satisfactory. Medical assistance is not required,” the ministry’s press service said.

Source: http://www.morvesti.ru/news/1679/93380/ ; https://www.korabel.ru/news/comments/ekipazh_sudna_grigoriy_lovcov_evakuirovan_vertoletom_mchs.html 

Arktika icebreaker navigated a vessel with cargoes for the Baimsky mining and processing plant to Pevek

10 January 2022

The nuclear-powered Arktika icebreaker accompanied the Polar King motor ship with cargo for the Baimsky mining and processing plant to the Chukotka port of Pevek, Chukotka Governor Roman Kopin said.

“This is the third ship accompanied by the world’s most powerful nuclear icebreaker to the northernmost city of Russia. Polar King delivered equipment and materials for the key development project of the region – Baimsky mining and processing plant. There are 4,000 tons of general cargo and containers of individual entrepreneurs on board.” – Kopin said on Monday in his official social network account

The Pevek administration reported that the Yury Arshenevsky ship and the Engineer Trubin motor ship, accompanied by the nuclear-powered icebreaker Arktika and the diesel-electric icebreaker Kapitan Dranitsyn, arrived in Pevek in early January, but strong winds prevented the ships from unloading quickly.

Source: http://www.morvesti.ru/news/1679/93388/

Russia proposed resumption of the Khasan-Rajin project 

3 November 2021

According to South Korean Yonhap, Russia is considering the resumption of the Khasan-Rajin project: “Russia wants to cooperate with North and South Korea on resumption of a cross-border logistics project in its Far East after pandemic restrictions are lifted. Russian Far East Development Minister Alexei Chekunkov called on the parties to hold consultations on creation of a railway network between Russian Khasan station and North Korean port of Rajin and development of this port. 

Discussions on the project began over 10 years ago. It provided for the transportation of containers and raw materials from Russia to South Korea through the North Korean port of Rajin. But the prospects of the project are still uncertain.

“Trilateral cooperation can benefit everyone. Everything is simple in logistics. If you have a shorter route, it makes sense to use it. I look forward to the resumption of work on this project and I believe that the key aspects of the project will overcome any existing difficulties”, Chekunkov is cited by Yonhap.

Source: https://seanews.ru/2021/11/03/rossija-predlozhila-vozobnovit-proekt-hasan-radzhin/

The first international laboratory of autonomous and smart ships established

17 November 2021

An agreement was signed to establish the first international scientific laboratory of autonomous and smart ships. This was announced by the deputy minister of Transport of the Russian Federation Alexander Poshivay during a conference on autonomous navigation within the framework of “Transport Week – 2021” on November 17. 

According to the deputy minister, the founders of the laboratory are the Russian University of Transport, Norwegian University of Science and Technology and Harbin Engineering University.

As a reminder, the 1st International High-Level Forum on Intellectual and Autonomous Ships was held on November 16-17. The event was held in the format of a video conference.

Source: https://sudostroenie.info/novosti/34825.html

We live in a strange world – II

Dr. Sergei Smirnov, expert of Center for maritime transport and spatial logistics

Exactly one year has passed since my first comment on the impact of the new coronavirus infection on human civilization appeared on this site. I have to admit my obvious limitations as an oracle. Like the vast majority of earthlings,

I remembered too well the Hollywood plots when a magic vaccine created by the titanic efforts of WHO and the best scientists beats deadly pandemic, millions of people happily wait for their vaccination and finally, the dawn of a new day rises over the renewed world, which for sure will be better and happier than yesterday.

Reality, however, as usually, turned out to be much more mundane, sad and contradictory. WHO distinguished itself by its helplessness and inconsistency. Until now, they have not been able to even develop a unified methodology for testing and assessing the presence of immunity against COVID-19. By the “titanic” efforts of the pharmaceutical giants, a vaccine appeared, and not single, but a whole dozen. However, the bad virus continues to spread, mutates, masks the symptoms and kills. In general, it behaves like a normal ARVI, a fact that ordinary doctors initially had to clearly understand. Governments, with varying degrees of demonstrated concern (depending on domestic political considerations and the peculiarities of national mentality) continue to tirelessly protect their fellow citizens, gradually depriving them of civil rights and freedoms using high-tech methods. However, all this was quite to be expected.

I suggested that the pandemic would soon fade away, one way or another, and we would all have to face the many traditional and unconventional security threats again. Like the international terrorist organizations taking advantage of the new reality and start practicing bioterror methods. None of this has happened so far.

A year ago, I suggested that the pandemic would soon fade away, one way or another, and we would all have to face the many traditional and unconventional security threats again. Like the international terrorist organizations taking advantage of the new reality and start practicing bioterror methods. None of this has happened so far. With the pandemic, everything is clear; it will stay with us for a long time. The emergence of the AUKUS alliance, strange to the point of irrationality, should not be considered a threat to stability and security in the Asia-Pacific region. It is in no way capable of playing the role of “Asian NATO”, its creators put completely different meanings into AUKUS. The terrorists, represented by the Taliban, seem to have succeeded, seizing power in Afghanistan without a fight in August 2021. However, it was not their merit. It happened only because a new president finally appeared in the White House, who was determined to end the absurd, but extremely expensive 20-year messianic adventure in the Middle East.

The real threat to peace is emerging in the economic sphere, more precisely, in international trade. Its contours and scale is not yet fully understood, but tectonic shifts may arise if we neglect it. I mean the progressive imbalance in the international logistics system caused not by the pandemic as such, but by the “fight” against it.

Honestly, I was mistaken with the security forecasts. Moreover, if one my mistake was with a “plus” sign, then the second – an unambiguous and big “minus”.

The real threat to peace is emerging in the economic sphere, more precisely, in international trade. Its contours and scale is not yet fully understood, but tectonic shifts may arise if we neglect it. I mean the progressive imbalance in the international logistics system caused not by the pandemic as such, but by the “fight” against it.

The crisis in logistics led to a creeping rise in prices for foodstuffs, building materials, metal products, timber, natural gas … it is easier to list what did not rise in price.

A year ago, we noted with satisfaction that maritime transport, which accounts for almost 90% of world trade, has passed the test of the first COVID lockouts with relative excellence. Then the world economy began to gradually recover, this process was very uneven in different countries. Since November 2020, a shortage of container capacities began to appear, the planned delivery time of goods was disrupted, the cost of freight increased, etc. We hoped that these were temporary troubles, that the system would restore the normal rhythm of work, let’s just wait a little bit.

A year has passed, and these problems have only worsened. The crisis in logistics led to a creeping rise in prices for foodstuffs, building materials, metal products, timber, natural gas … it is easier to list what did not rise in price. It is important to understand that the volumes of production and transportation have remained practically unchanged. The most complex system of international logistics, under the influence of managerial decisions of state bodies, could not keep in a state of self-regulating stability. It is only unclear whether the “red line” of destructive no return has been already crossed.

A special responsibility today lies with China. It is no secret that a number of unpredictable unilateral actions by China aimed to protect against the spread of coronavirus infection within the country have caused the major turbulence in the global logistics market.

The globalized economy seems to have learned how to deal with financial crises. Today we are dealing with a threat of a different nature. I am afraid that the patented recipes of economists – Nobel laureates will not help here. It is necessary to admit the fallacy of many management decisions, to coordinate as far as possible the anti-COVID policies of different countries and international organizations, to wait and pray that the mechanisms of the market economy will help to recover once more.

Fairly, I should note that the collective West bears its share of the blame for the current crisis, and a very significant one.

A special responsibility today lies with China. It is no secret that a number of unpredictable unilateral actions by China aimed to protect against the spread of coronavirus infection within the country have caused the major turbulence in the global logistics market. The No. 2 world economy, firmly determined to become the No. 1, and the main “global factory” cannot afford to isolate itself and make serious decisions without calculating their consequences for the development of external relations. You simply cannot obtain the status of a global superpower without taking responsibility for others. The domestic economic situation in China is rather complicated today. An attempt to reorient towards domestic consumer market to the detriment of foreign economic relations is likely to be doomed to failure.

Fairly, I should note that the collective West bears its share of the blame for the current crisis, and a very significant one. By turning on the cash printing machine and generously appeasing its own population, the West does not solve the problem, but removes it from sight, thereby aggravating the situation with the growing imbalance in global logistics. “Industry 4.0”, “green energy” – all this is great. However, we may not live to see this bright future…

RECONSTRUCTION OF TWO BERTHS IN PEVEK SEAPORT COMPLETED

14/10/2021

FSUE “Rosmorport has completed work on the modernization of two berths in the seaport of Pevek, carried out for two years. The berths can accept vessels with a draft of up to 8.6 m. Commissioning of the facilities is planned until the end December 2021. Mr. Viktor Bochkarev, director of Chukotka Autonomous District industrial policy department, reported it.

The estimated cargo turnover of the Pevek seaport will be 800 thousand tons per year. It is the northernmost seaport in Russia, located in the Chaunskaya Bay of the East Siberian Sea. Pevek is open for entry of all classes of ships during the summer navigation, processing cargo for the “Northern delivery” operation which ensures the vital activities of the Chaunsky and Bilibinsky districts of Chukotka, a region that does not have a railway connection and highways. Since September 2019, the world’s first floating nuclear thermal power plant (FNPP) “Akademik Lomonosov» is basing in the port of Pevek.

Source: https://www.korabel.ru/news/comments/

ICEBREAKER “CAPTAIN KHLEBNIKOV” WILL ESCORT VESSELS WITH CARGO FOR THE ARCTIC STATION “VOSTOK”

October 14, 2021, PortNews

The icebreaker “Captain Khlebnikov” left the port of Vladivostok on October 6 on an expedition to deliver personnel and cargo to the Russian Antarctic research station “Vostok”. The icebreaker with 114 passengers and scientific personnel as well as 52 crewmembers onboard will travel about 7,500 miles to Tala Bay (Antarctica). The ship will return to the seaport of Vladivostok this December.

“Captain Khlebnikov” was taken over by FSUE “Rosmorport” in 2016. In September-December 2018, it operated a series of voyages with passengers from the seaport of Ushuaia (Argentina) to Snow Hill Island (Antarctica) under an agreement with “Quark Expeditions”. In July-September 2019, it performed a series of cruises with passengers from the seaport of Anadyr to Wrangel Island under an agreement with “Heritage Expeditions”.

The inland Antarctic station “Vostok” (“East”) was opened in December 1957. It has gone through two renovations and three conservations. As it is worn out by 90% and covered with snow in places, the comprehensive renovation of the facility is underway. The aerodynamic shape of the modules of the new wintering complex will protect against snow drifts, a complex insulation system is installed in the 650 mm thick walls, the windows are equipped with pressure drop compensators, and the engineering systems are protected from freezing. The lowest air temperature on the planet (-89.2 ° С) was recorded at the” Vostok” station. For almost 10 months a year, the facility operates autonomously – it is impossible to get here either by land or by air.

Source: https://portnews.ru/news/319942/

CHINA’S INVESTMENTS IN FOREIGN SEAPORT TERMINALS

Iurii V. Vedernikov

Naval Engineer, Senior Research Fellow,

Museum of Russian Submarine History (St, Petersburg)

Author of the “Red Dragon. PRC Navy in the Beginning of XXI Century” monograph

ABSTRACT

China’s economic infiltration into the global space is multifaceted and multi-vector, and has a deeper nature than it might seem at first glance. In this movement, the key role belongs to the port infrastructure, through which the “Middle Kingdom” is consolidating its presence in a particular region of the world in private and the result is Beijing’s efforts to “Go Outside” in general. The article brought to your attention is exclusively of an overview nature, giving a general idea of ​​the subject of research, which is objectively limited by the framework of a journal publication.

The foreign economic dominant in the development of China dates back to 1998, with the beginning of the implementation of the fourth stage of the “Strategy of four modernizations” (1978) – the “Go outside” policy focused on the growth of export potential and the full use of the resources of the world market for the development of the national economy. As part of the further development of this policy, in the fall of 2013, China came up with a geo-economic project – ‘Belt and Road Initiative’ (BRI), with the declared goal  “…to establish closer relations between the countries of Asia, Europe and Africa and to raise the mutually beneficial cooperation with these countries to a new historical height…”.

According to initial estimates, it was expected to involve about 40-65 developing countries along the ‘Belt and Road’ geographic area in the BRI orbit. However, more than 100 countries took part in the first ‘Belt and Road’ Forum (2017). In modern times (January 2021), within the framework of project interaction, China has concluded agreements with 140 countries and 31 international organizations. Among the modern participants are 27 countries of Europe, 38 countries of Asia, 11 countries of the North American and 8 countries of the South American regions, 45 countries of Africa and 11 countries of Oceania.

Maritime transport is the main connecting element of the BRI, along with the railways. Its use is carried out in the Concept of Maritime Cooperation in the Construction of the ‘Belt and Road’ (2018) along three Blue economic corridors, including routes:

– across the Indian and Atlantic oceans, and the Mediterranean Sea – to the shores of Africa and Europe;

– in the southern part of the Pacific Ocean – to the shores of Australia and Oceania;

– through the Northern Sea Route.

In these conditions, it is strategically important for China to have access to port infrastructure in various countries of the World, since the port, as such, is a key point for managing sea cargo flows. Let us consider the main modern results of China’s investments in the port infrastructure of the countries of the world. The first and dominant strategic space for Chinese investment in port infrastructure is the South Sea Route, which runs through the Indian Ocean, Mediterranean and Atlantic waters.

Since 2008, the Chinese company “COSCO Shipping” began buying shares in the Greek port of Piraeus and by the end of 2016 received a controlling stake. The port came under the full control of the PRC

At the first stage of this advancement, China carried out goods transportation through the ports of Rotterdam and Hamburg, making the first investments even before the start of the BRI project. Since 2011, Chinese companies acquired (fully or partially) the terminals in many European ports, including Spanish Barcelona, French Le Havre, Dunkirk, Montoir (Saint-Nazaire) and Fos-sur-Mer (Marseille), Belgian Antwerp and Bruges, Italian Taranto and a terminal in Malta.

Since 2008, the Chinese company “COSCO Shipping” began buying shares in the Greek port of Piraeus and by the end of 2016 received a controlling stake. The port came under the full control of the PRC, investments in the modernization of the technical infrastructure and the development of the port personnel capacity amounted to about 500 million euros. This was one of the factors behind the growth of Piraeus cargo turnover from 433 thousand TEU in 2008 to 3.7 million TEU in 2016. In 2018, Piraeus became the second largest port in the Mediterranean.

To ensure commodity supplies to Western Europe, Beijing acquired assets in the ports of North Africa: Alexandria, Port Said and El-Dekheil in Egypt, Suez Canal, Oran in Algeria.

At the same time, the business media reported on possible Chinese investments in the ports of the northern Adriatic – Italian Venice, Trieste and Ravenna, Slovenian Koper and Croatian Rijeka. These ports are integrated by railways into the ‘Mediterranean corridor’ linking Milan, Lyon, Barcelona, ​​Madrid, Seville and Valencia, the ‘Baltic-Adriatic corridor’ – to Graz, Katowice, Warsaw, Gdansk, Kaunas and Riga, in the Black Sea direction – to Bucharest and Constanta, and the Central European direction – to Salzburg, Munich, etc. Less investment activity was observed in the port infrastructure of the Baltic and Black Seas.

It was reported in 2017 that Chinese investors were interested in the assets of the Ukrainian port of Chornomorsk (formerly the Ilyichevsk Commercial Sea Port). However, the following year, the legality of these investments was questioned and no active actions in this direction have been identified by the present time.

Back in 2006, the Hong Kong operator “Hutchison Port Holdings”, which owns 52 terminals in 26 countries of the world (2015), became the owner of container terminal in the port of  Gdynia in Poland. In 2009, Beijing acquired 100% of the shares of container terminal in Stockholm. In the fall of 2020, it was reported that the ports of Lithuania and Latvia were also included in the sphere of interests of Beijing. During 2014-2016, on the premises of the Nikolaev commercial port (Ukraine), the leading Chinese grain trader “COFCO Group” built a terminal for the import of Ukrainian grain products. It was reported in 2017 that Chinese investors were interested in the assets of the Ukrainian port of Chornomorsk (formerly the Ilyichevsk Commercial Sea Port). However, the following year, the legality of these investments was questioned and no active actions in this direction have been identified by the present time. In 2016 – 2019, China began the reconstruction of the Bulgarian port of Burgas (€ 20 million) and Varna (€ 120 million).

The use of Piraeus as a hub port and the capacities of the Mediterranean and Black Sea ports that gravitate towards it form the preconditions for the transformation of the structure of the existing freight traffic.

We believe that the implementation of these projects poses a serious competitive threat to the Northern European ports – Rotterdam, Antwerp, Hamburg, etc., since the fastest container delivery from Shanghai to Piraeus takes 21 days, while from Shanghai to Hamburg – 31. The use of Piraeus as a hub port and the capacities of the Mediterranean and Black Sea ports that gravitate towards it form the preconditions for the transformation of the structure of the existing freight traffic.

As a result, if by the end of the 2000s China controlled 1% of European container terminals, then in 2017 it controlled 6.5% and in 2018 – 10% of these capacities. The countries of the African continent are gradually becoming the main recipients of Chinese investments. In the period from 2005 to 2020, the total volume of Chinese financial investments in the countries of the Black Continent amounted to about $ 370.3 billion, carried out by the “China Development Bank” with the mediation of the “Sino-African Development Fund”. Along with lending to the governments of African states, infrastructure projects are the main objects of investment. In total, 5,756 km of railways, 4,335 km of roads, 34 thermal power plants, as well as 10 large and about one thousand small hydroelectric power plants were built by the end of 2016.

Indian Ocean acquires the position and qualities inherent in the Mediterranean Sea throughout human history, gradually becoming one of the central water spaces of the World. For China, a presence in the Indian Ocean is a prerequisite for ensuring its safe advance to the West, protecting its investments on the European and African continents.

In these conditions, Chinese investment in African ports aims both at ensuring its commodity supplies to Europe / Southern Mediterranean, as well as at supporting ongoing infrastructure projects in continental Africa. China made major investments and acquired shares in the following African ports:  Port de l’Amité and Nouakchott (Mauritania), Conakry (Guinea), Lobito (Angola), Kiribi (Cameroon), Abidjan (Ivory Coast), Teme (Ghana), Lecca (Nigeria), Walvis Bay (Namibia), Port-Sudan (Sudan), Doraleh, Damerjog and Tajura (Djibouti), Massawa (Eritrea), Mombasa and Lamu (Kenya), Dar es Salaam and Bagamoyo (Tanzania), Maputo and Beira (Mozambique), Ambodifotatra and Tamatave Madagascar).

In the processes of modern transformation of the ‘Global Order’, the Indian Ocean acquires the position and qualities inherent in the Mediterranean Sea throughout human history, gradually becoming one of the central water spaces of the World. For China, a presence in the Indian Ocean is a prerequisite for ensuring its safe advance to the West, protecting its investments on the European and African continents. The Pakistani port of Gwadar became one of the first objects for Chinese investment in the Indian Ocean, the creation of which was announced at the beginning of the XXI century. The construction of the port facilities was carried out by “China Communications Construction Company” and completed in 2007. In 2013, Gwadar seaport was transferred to the management of “Chinese Overseas Port Holdings Limited” for a period of 40 years. In the future, the port will be connected with the territory of China through the ‘China-Pakistan Economic Corridor’, the BRI backbone artery to the Middle East.

On the island of Sri Lanka, the port of Hambantota became Chinese.

Middle East: we note that the Hong Kong “Hutchison Port Holdings” owns container terminals (berths) in Basra (Iraq), Ajama, Aachen Bin Rashid and Ras Al Khaimah (UAE) in Persian Gulf, the Port of Sohars (Oman) in the Gulf of Oman, and the Port of Jazar (Saudi Arabia) on the Red Sea (2021). In addition to this, the “Hutchison Port Holdings” owns the ‘Karachi International Container Terminal’ in Pakistan, the container turnover of which in 2015 exceeded 1 million TEU, and in the same year opened a second terminal in Karachi – ‘South Asia Pakistan Terminals’, the container turnover of which in 2020, according to forecasts, was to exceed 2 million TEU. It was reported that “China Harbor Engineering Company” in 2016 built a new port of Doha in Qatar and implemented several projects for Saudi Arabia – two new berths in the port of Ras Az Zwar, the Ma’aben port and the gateway terminal in Jeddah.

On the island of Sri Lanka, the port of Hambantota became Chinese. Back in the early 2000s the government of Sri Lanka received a $ 6.9 billion loan from China and began infrastructure modernization of the country, including the reconstruction of the port of Hambantota conducted by “China Merchants Port Holdings”. In 2017, unable to pay off the debts, the government of Sri Lanka transferred 70% of the shares of the port of Hambantota to China, with the right to lease for 99 years, the obligation not to use it for the basing of Chinese naval forces and while maintaining the Sri Lankan sovereignty over the territory of the port [30]. In addition to this, “China Merchants Port Holdings” has a container terminal in Colombo.

In South-East Asia, Chinese businesses also have port infrastructure assets: in Myanmar, Bangla Desh, Singapore, Malaysia, Thailand, Vietnam, South Korea.

In November 2018, China entered into an agreement with Myanmar to build the Kyaukphyu deep-water port. This port is located on Ramri Island in the Bay of Bengal and is the starting point for the Sino-Myanmar pipelines to the Chinese city of Kunmin. It is believed that this line will help relieve maritime traffic, shorten the time for oil delivery, and avoid the threat to tankers going to China through the Molluk Strait. At the same time, there were plans to build a railway – the ‘Eastern Economic Corridor’, integrating the railways of Myanmar and China, and reaching Singapore and Thailand.

South Pacific, Australia and Oceania are the second global area of ​​Chinese investment in port infrastructure. The advancement of Chinese investments to the Green Continent was largely facilitated by the privatization program of state assets of Australia, including at ports of Brisbane. Sydney, Newcastle and Darwin. In Oceania, China built a port on the island of Espirintu-Santa for the Republic of Vanuatu, with a loan allocated to it. However, over time Vanuatu was unable to pay off its debts and in 2018 leased the port to China.

China is expanding its presence in the ports of the American continents.

The 2013 acquisition of shares in the commercial operator “Terminal Link” opened access to terminal management in Miami and Houston. “Hutchison Port Holdings” owns terminals on the Pacific coast of Mexico at the ports of Estenanda, Manzanillo and Lazaro Cardenas, the port of Vecarus in the Gulf of Mexico and a cruise terminal in the Bahamas. “Hutchison Port Holdings” also owns two terminals in the ports of Panama and Colon, which form the Panama Canal. “China Merchants Port Holdings” is building port facilities in Santiago de Cuba, berths in the ports of Balbao (Panama) and Man Sanillo (Mexico), signed an agreement on the construction of transshipment ports in Trinidat and Tobago. “China Merchants Port Holdings” is building port facilities in Venezuela and in 2018 acquired 90% of shares in the second largest container terminal in Brazil in the port of Paranagua for $ 765.8 million In the same year, “Cosco Shipping Ports” and the Peruvian government signed an agreement to build the port of Chancay, 75 km from Lima. The project includes five berths with a throughput capacity of 1.4 million tons of bulk cargo and a container terminal with a capacity of 1.5 million TEU per year. The cost of the project is estimated at $ 3 billion. At the same time, Chinese investments are being considered for the construction of a railway that “… will connect producers and miners in Peru and Brazil with the emerging Chinese market, reducing the logistics costs of trade with East Asia and allowing Chinese products to more easily reach the Atlantic coast … “.

The fourth global direction of Chinese investments in port infrastructure, the Arctic waterways, so far has not demonstrated significant progress. Currently, these projects are in a state of negotiations, it is expected that the terminals of Arkhangelsk (Russia), Kirkenes (Norway) and a deep-water port in Iceland will become the objects of investment.

Investments in the port infrastructure abroad have made China one of the leaders among port operators. Three companies should be singled out among the largest investors – “Cosco Shipping Ports”, “China Merchants Port Holdings” and the Hong Kong “Hutchison Port Holdings”. They carry out their global expansion with the support of organizations such as the ”China Development Bank”.

The objects of investment, with rare exceptions, are individual terminals, and not the seaport as a whole. Nodal deep-water ports have priority due to the use of large ships for long distance transportation by the Chinese, which need less port calls along the route. A prerequisite for investment is the creation of not only port facilities, but also the reconstruction of the adjacent transport infrastructure, contributing to the promotion of Chinese goods to the partner country and the import of its goods and natural resources in the opposite direction.

The main forms of China’s investment in port infrastructure are the conclusion of a concession agreement for terminal management, including as part of a consortium, the acquisition of shares in port management companies and investment in terminal operating companies. Another method is the purchase of a port terminal for debts. Thus, the acquisition of the assets of Piraeus occurred in the background of the Greek debt crisis. As for 2021, China is close to acquiring for loan debts the Montenegro port of Bar, the Cameroon port of Kiribi, Mombasa and Labu ports in Kenya and others.

For the host countries, Chinese investments are an opportunity to modernize their port infrastructure on preferential conditions, to obtain other accompanying economic advantages. However, it does not mean that Chinese investors always meet the “green light” among the business environment, political circles and local populations of host countries. Thus, in the process of acquiring the Greek Piraeus, protest sentiments widely spread among the local population. The German Hamburg port operators rejected the “China Communications Construction Company”’s project for the construction of a new container terminal. The leaders of many countries regard the China’s investments as a possibility for indirect influence on domestic political processes. But, one way or another, we must admit: China is gradually and systematically expanding its presence in the regions of the world, systematically and consistently creating, acquiring and modernizing a network of port terminals as a logistics basis for the implementation of its “Belt and Road” global project.

Three Sakhalin Seaports Will Be Closed for the Foreign Ships

19 August 2021

Russian Prime Minister Mikhail Mishustin ordered to close three ports in the Sakhalin region for the provision of services and the entry of foreign ships. The corresponding order No. 2245-r of August 17, 2021 was published on the official Internet portal of legal information.

“To close the seaports of Aleksandrovsk – Sakhalinsky, Moskalvo and Poronaysk, all in Sakhalin region, for the provision of services and entry of foreign vessels,” the document says.

The port of Aleksandrovsk – Sakhalinsky is located on the coast of the Sea of ​​Japan, it includes a roadstead and an internal bay designed for anchorage of ships carrying out servicing and supply operations. The port navigation period is from April to December.

Moskalvo seaort is located on the northwestern coast of Sakhalin Island in the Baikal Bay of the Sea of ​​Okhotsk. It is engaged in servicing ships, receiving, handling and storing cargo. Navigation time is from June to November.

The port of Poronaysk is located in the central part of Sakhalin Island in the Terpeniya Bay of the Sea of ​​Okhotsk, at the mouth of the Poronai River. The main cargo is round timber, part of which is exported. The port is the only terminal on the eastern coast of Sakhalin with a state border crossing point. The location of the port of Poronaysk at the mouth of the Poronai River allows for year-round transshipment of goods. According to “PortNews” information agency, this measure is to some extent a temporary formality related to the procedure for merging these smaller ports with Korsakov seaport.

Source: https://portnews.ru/news/317293/