DUBLIN--(BUSINESS WIRE)--The "Hong Kong Customs Brokerage Market - Growth, Trends, Covid-19 Impact and Forecasts (2022 - 2027)" report has been added to ResearchAndMarkets.com's offering.
The Hong Kong Customs Brokerage market is estimated to grow at a CAGR of more than 5.5% during the forecast period.
Covid 19 has impacted the customs brokerage market due to a sudden drop in demand and sudden reduction in the capacity of ocean carriers which pushed up the spot rates of freight by 25-40% in some trade lanes, meanwhile, there were air freighters witnessed cargo demand outstripping capacity supply due to upsurge in PPE, Medical supplies. There was also recent growth in exports and imports from Hong Kong which is also a driving factor for Customs Brokerage.
The Hong Kong Customs Brokerage Market had exceptional growth in recent years, and this trend is expected to continue in the future years. Hong Kong Customs Brokerage Market size growth may be attributable to increased Hong Kong's competitive advantage as a global logistics hub which revolve around three competencies - best-in-class transshipment hub, centre of excellence for logistics talent development and global leadership in e-logistics.
Hong Kong, the world's top cargo transshipment centre, handles approximately 4 million tonnes of air cargo and almost 24 million teu of maritime freight each year. According to the International Air Transport Association, Hong Kong will continue to be the world's fastest-growing air cargo market, while the cluster effect of 200,000 vessel calls, combined with the extensive network of connections to over 550 container ports worldwide, will ensure increasing volumes of ocean freight transshipments.
Key Market Trends
Growth in imports and exports in Hong Kong driving Customs brokerage market
Hong Kong's import and export trading sector provides services mainly in the form of offshore buying and selling of goods. Given Hong Kong's location and the relocation of Hong Kong's manufacturing bases to the mainland, particularly the Pearl River Delta, mainland China is a major source of offshore trading activities. It is an important entrepot for Mainland China.
Since Freight transportation is mainly dependent on the Volume of imports and exports and ultimately increases the growth of the customs brokerage market. The Surge in imports is the primary reason for the growth of the customs brokerage market in Hong Kong.
The values of Hong Kong's total exports and imports of goods in September-2021 both recorded year-on-year increases of 16.5% and 23.5%, respectively. For the first nine months of 2021 as a whole, the value of total exports of goods increased by 27.3% over the same period in 2020, year-on-year, while the value of imports of goods rose by 26.5%.
The value of merchandise exports continued to expand visibly by 16.5% in September 2021 over a year earlier despite a higher base of comparison, with exports to the mainland, the United States, the European Union and many other key Asian markets posting double-digit growth.
Surge in air and Sea borne Cargo in Hong Kong To Provide Opportunities Customs brokerage Market
Hong Kong's port cargo throughput was 104.2 million tonnes in H1 2021, the port of Hong Kong was still one of the busiest ports in the world. The port cargo movements between Hong Kong and the mainland of China (the mainland) accounted for 50.9% of Hong Kong's port cargo throughput in 2020. About 79.3% of the port cargo movements between Hong Kong and the Mainland were in the Pearl River Delta region.
In 2020, in terms of weight, the port cargo accounted for 91.4% of the overall inward and outward cargo movements by all transport modes. During the period from 2010 to 2020, the port cargo movements between Hong Kong and the Mainland recorded an average annual growth rate of 1.2%.
The Hong Kong International Airport is one of the busiest and most advanced airports. It consolidates Hong Kong's position as a hub of commerce and plays a very important role in the development of Hong Kong as a logistics center. In terms of international air cargo throughput, the Hong Kong International Airport ranked Second among all airports in the world in 2020. The cargo throughput of the Hong Kong International Airport in 2021 was 5 million tonnes.
Because water transport is one of the most important modes of international trade, there is an increase in demand for customs brokerage in Hong Kong, as well as an increase in air cargo due to the transport of perishable pharma products and chemicals, as well as an increase in just-in-time production of goods. All of these factors are paving the way for the growth of customs brokerage in Hong Kong.
Companies Mentioned
- UPS
- DHL
- FedEx
- TIBA Group
- CBIP Logistics
- Geodis
- Janio
- Livingston International
- JAS
- Jaguar Logistics
- Sino Shipping
- ClearCust
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