Overview
Hong Kong is planning several major transportation-related infrastructure projects in the next few years. There will likely be significant opportunities for U.S. companies to tender for contracts to supply equipment and services for these projects, which include roads and bridges, rail, airport concourse expansion and cruise terminal berths. Macau is also planning to build a new light rail system linking peninsular Macau with Taipa Island and the Cotai Strip.
The Chinese Central Government recently announced its 12-year plan (2008-2020) for development in the Pearl River Delta (PRD) in southern China. The National Development and Reform Commission (NDRC) has mapped out plans for cooperation with Hong Kong and Macau with an emphasis on transport infrastructure projects, expecting to achieve greater economic integration in the PRD region by 2020. The Central Government has pledged to speed up infrastructure projects in the PRD, in part to compensate for the global economic downturn.
Best Prospects/Services
Hong Kong’s many planned infrastructure projects will require a wide range of equipment, technologies and consultancy services, including logistics and transportation management, waste management, environmental management, experience in land reclamation and related engineering fields. Equipment such as power supply systems, track works, overhead wires, escalators and lifts, signaling systems, trains, platform work, building services, access control systems and electrical, civil, and mechanical engineering services will be needed.
Opportunities
Road
To meet future traffic demand and to solve traffic congestion in
the north-west New Territories and Lantau, Hong Kong Government
planners have proposed the Tuen Mun Western Bypass and the
Tuen-Mun-Chek Lap Kok Link. Upon completion of the project
in 2016, the US$2.56 billion project will link Deep Bay in
Shenzhen, the north-west New Territories and the Hong Kong
International Airport.
The proposed Hong Kong-Zhuhai-Macau Bridge (HZMB) is estimated to cost over US$5 billion. In February 2008, the Hong Kong, Macau and Zhuhai governments reached a consensus on financing, in the form of BOT (build-operate-transfer), with the three governments providing substantial contributions to the over-all construction budget. Under the current plan, the 29.6km six-lane bridge will include two reclaimed islands and a tunnel passing under the islands to ensure that sea vessels can pass to Pearl River Delta ports.
Rail
The MTR Corporation, which currently operates nine main commuter
railway lines in Hong Kong, has initiated six large new railway
projects valued at US$13.63 billion to increase its coverage by
approximately 60 kilometers throughout Hong Kong and into
Southern China. New railway projects include: West Island
Line, South Island Line, Kwun Tong Extension, Shatin to Central
Link (SCL) Phase I & II, and Guangzhou-Shenzhen-Hong Kong
Express Rail Link (XRL). Macau has initiated the development of a
new Light Rail Transit System. The first phase will include 23
stops, is estimated to cost over US$500 million and is expected
to be completed by 2013.
Air
In May 2008, the Hong Kong and Shenzhen airports signed a
framework agreement on passenger facilitation, building a
foundation for further cooperation in the future. The
projects envisioned include strengthening the airports’ ferry and
road connections, including a dedicated rail link between the two
airports. The feasibility study for the railway link is
underway, with a scheduled completion in 2009.
The Hong Kong Airport Authority (AA) is currently studying the feasibility of building a third runway at Hong Kong International Airport (HKIA). Although there is no time frame for a decision, the plan calls for a new satellite concourse linked with 10 bridge-served aircraft stands. At the airfield, a total of 10 additional cargo stands and taxiways are planned to enhance operational efficiency and facilitate air freighter movement. AA will also widen the taxiway shoulders to facilitate the operation of the A380 aircraft at HKIA. However, due to a short term decrease in cargo volume, Cathay Pacific has to deferred the development of its dedicated 3rd cargo freight terminal.
With significant air traffic growth projected in Macau in the coming years, the Macau Airport Authority is planning to double the existing terminal floor space and build a cargo building of 10,000 sq. meters, of which 4,000 sq. m will be for cargo operations and 6,000 sq. m for logistical operations. In addition, the Macau Business Aviation Center plans to expand its business jet hangar. These projects, estimated to cost US$625 million, are expected to be implemented over the next three to eight years. However, Macau has seen air traffic slide this year, reducing the pressure for the near term expansion of facilities.
Sea
The Hong Kong Government has decided to finance the new Kai Tak
Cruise Terminal for its first berth to enter into operation in
mid-2013. The Government will design and build the cruise
terminal and lease the terminal hardware to an operator, while
retaining ownership. The Government is re-formulating the tender
scope and process, with an announcement planned for 2009.
Resources
Major Trade Shows:
Asian Aerospace International Expo and Congress (September 8-10,
2009): Hong Kong
http://www.asianaerospace.com/en/Home/
5th China Rail Technology Exhibition (September 9-11,
2009): Beijing, China
http://www.hnzmedia.com/newhnz/en/default.shtml
International Exhibition for Logistics, Telematics &
Transportation (June 8-10, 2010): Shanghai, China
http://www.transportlogistic-china.com/
China International Aviation & Aerospace Exhibition (November
16-21, 2010): Zhuhai, China
http://www.airshow.com.cn/en/index.html
Associations:
Highways Department
http://www.hyd.gov.hk
Hong Kong Airport Authority
http://www.hongkongairport.com/eng/business/airport-authority/introduction.html
Macau Airport Authority
http://www.macau-airport.gov.mo
MTR Corporation
http://www.mtr.com.hk
For more information about this industry sector, please contact U.S. Commercial Service:
Kimmy Lee, Commercial Specialist
Email: kimmy.lee@mail.doc.gov
Tel: (852) 2521-1467; Fax: (852) 2845-9800