Commentary: Singapore's Tuas Mega Port a bold investment that will face significant challenges

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With Tuas Terminal, the country has upped the ante and made a huge bet on its maritime future, says Asia Pacific Connex’s Andre Wheeler.

SINGAPORE: Singapore has successfully built itself into a maritime power house through exploiting its strategic location within old trade routes since independence.

READ: An Italian port dreams of being the Singapore of the Adriatic Sea, as it awakens to China’s siren call, a commentaryThe huge vessel size it can service, including container ships of more than 20,000 TEUs, will reduce costs as large ships arrive and unload containers to be loaded onto smaller vessels for onward delivery elsewhere in the region.

Links between China and Europe are expected to double by 2025, with 70 per cent of cargo in this trade to be transported by sea. READ: Global shipping and logistics chains reshaped as China’s Belt and Road dreams take off, a commentary The good news is that even as Tuas keeps Singapore as connected as possible to global shipping to stay ahead of the game, the development of Changi Airport Terminal 5 raises the country’s potential to become a key ocean-air freight node, boosting route options to shipping companies that come through Tuas.This makes sense as the explosion of e-commerce has made delivery speed paramount.

 

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