Ports

Hong Kong Targets Inland Growth via Pinglu Canal to Reverse Port Decline

Hong Kong is leveraging the newly opened Pinglu Canal to reverse declining cargo volumes and reclaim competitiveness in regional shipping. The waterway connects inland industries in Guangxi Zhuang Autonomous Region to Beibu Gulf, extending Hong Kong's reach into western Chinese markets. This strengthens its transhipment hub status. Hong Kong's port ranking has fallen to 12th globally by 2025, with volumes declining 6% as mainland Chinese ports captured traffic following infrastructure upgrades. Transport and logistics officials announced plans to expand the port's inland cargo source base and develop multimodal connections with China's western land-sea corridor. The government is shifting strategy beyond high-volume container operations toward a "value port" model emphasizing logistics services, maritime finance, and digitalization while maintaining physical port operations.