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Beijing Olympics 2008 Logistics information KWEPEK Branch April, 2008. Content. Map of Beijing Olympics Venue s Beijing Olympics 2008 Schedule Beijing Paralympics 2008 Schedule Outlook For Restrictions Olympic Restrictions Impact on Logistics (1) Vehicle control

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Presentation Transcript
slide1

Beijing Olympics 2008

Logistics information

KWEPEK BranchApril, 2008

content
Content
  • Map of Beijing Olympics Venues
  • Beijing Olympics 2008 Schedule
  • Beijing Paralympics 2008 Schedule
  • Outlook For Restrictions
    • Olympic Restrictions Impact on Logistics (1) Vehicle control
    • KWE Contingency Measures (1) Vehicle control
    • Olympic Restrictions Impact on Logistics (2) Traffic control
    • KWE Contingency Measures (2) Traffic control
    • Olympic Restrictions Impact on Logistics (3) Security Control

Air Export Import and Ocean Export Import

    • KWE Contingency Measures(3) Security Control

Air Export Import and Ocean Export Import

  • Olympic Restrictions Impact on Logistics (4) Environment Control
  • Tailor-made Contingency Plan
  • Related Web Sites
beijing olympics 2008 schedule
Beijing Olympics 2008 Schedule
  • Start date: Friday Aug 08, 2008
  • End date: Sunday Aug 24, 2008
  • Period:17 days

1) Beijing 2) Qingdao (Sailing event) 3) Hong Kong (Equestrian events)

beijing paralympics 2008 schedule
Beijing Paralympics 2008 Schedule
  • Starting: Sep. 06, 2008
  • Ending: Sep. 17, 2008
  • Duration: 12 days

1) Beijing 2 ) Qingdao (Sailing events) 3 )Hong Kong (Equestrian events)

outlook for restrictions
Outlook For Restrictions

Vehicle

Traffic

  • RestrictionsStrengthened : Apr-Jun, 2008
  • Restrictions Implemented: Jul-Sep, 2008
  • Very Strict Restriction Implemented: Aug-Sep, 2008

Environment

Security

Olympics

Aug 08th~Aug,24th

Security Control related

Restrictions strengthened

Apr~

Paralympics Sep 06th~Sep,17th

* Traffic Controls Start

* Automobile restrictions Start

* Environment and other

restrictions Start

Jul ~ Sep

olympic restrictions impact on logistics 1 vehicle control
Olympic Restrictions Impact on Logistics1) Vehicle Control

Key Government Policy

Governmental and commercial vehicle utilization reduced by 50%. (Special case controlled by 70%. )

Implementation guidance

1)Jul. 1st ~Sep. 20th

1 “Yellow label” trucks (Non-Emission Control Standard) prohibited from entering Beijing

2)Jul. 1st~Aug. 27th

2)Trucks registered in other provinces banned from entering Beijing

3)Jul. 1st~Jul. 19th

3)20% of vehicle registered to Beijing enterprises prohibited from use during Olympic

4)Jul. 20th~Sep. 20th

4)Daily traffic is subject to odd and even number plate controls

5) Automobiles registered in other provinces allowed to enter Beijing, but prohibited from entering into 5th ring road

5)Aug. 28th~Sep. 20th

Anticipated Problem: shortage of Trucks for delivery and pick-up

kwe contingency measures
KWE Contingency Measures

Odd-Even plate number regulations

Beijing “Passport Road License”

issued only to Logistics Providers who

Possess a valid Transportation

Business License, and Operate 10 or

More “Green Label” Trucks

  • EFFECTIVE June 15th, KWEPEK will operate a fleet of 14 Green-label trucks
  • KWEPEK contractors Secure additional 15~20 Green label trucks
  • KWEPEK implements truck operation plan based upon Odd-Even plate number
  • restrictions (effective Jun 15th)
olympic restrictions impact on logistics 2 traffic control
Olympic Restrictions Impact on Logistics (2)Traffic control

Key Government Policy

Top Priority: Olympic related operations

1) Trucks over 3 tons prohibited from entering Beijing City

1) Current

2)3rd-5th ring road designated by BOCOG (Beijing Organizing Committee for Olympic Games) as “Olympic Lane” or zone

2) Effective July

* Limitations rescinded overnight (00:00~05:00)

  • Anticipated Problems:
  • Entry into Warehouse and Airport Terminal prohibited for trucks registered
  • in other provinces
  • Pick up and delivery in Beijing city delayed
kwe contingency measures10
KWE Contingency Measures

Expand KWE TSN’s warehouse(1,500 M2) as buffer zone

Countermeasure A

Domestic cargo

Delivery to KWEPEK warehouse by Beijing regesty truck

or direct delivery to customers in Beijing city.

Export cargo

Delivery to PEK airport by Beijing registy truck or

delivery to Tianjin for customs clearance and export

(Air and Ocean)

Set up domestic warehouse in Langfang area (Hebei) or Mentougou Area (south of Beijing) as buffer zone

Countermeasure B

Domestic cargo

Delivery to KWEPEK warehouse by Beijing registy truck

or direct delivery to customers in Beijing city.

Export cargo

Delivery to PEK airport by Beijing registry truck or

delivery to Tianjin for customs clearance and export

(Air and Ocean)

Around-the-clock operation at KWEPEK domestic warehouse ( 2 locations,total12,000M2)

olympic restrictions impact on logistics 3 security control air and ocean export import
Olympic Restrictions Impact on Logistics(3)Security Control: Air and Ocean Export / Import

Key Government Policy

Customs clearancerelated to Olympics top priority. Security at airport strengthened

Restriction Plan

IATA dangerous goods for both export and import embargo.

Embargo dangerous good list( As of 18th-Apr)

1)Class1, Explosives

2)Class2.3, Toxic Gas

3)Class6.1(Packing Group I—high danger), Toxic Substances

4)Class 6.2, Infectious Substances

5)Class7. Radioactive Material (Category III - Yellow)

Air Export

1) Increased cargo security inspection (X-Ray machine) Effective 18th Apr

If security officer can not see the contents of cargo clearly, the skid must be broken down and carton opened.

2) Begin operations at New Airport Terminal (T3)

With the launch of BJS New Terminal 3 from Mar. 26, Cargo Terminal’s tender and retrieval cut off times extended by approximately1.5 hours.

3) Cargo Freighter services are expected to put on hold during Olympics

ANA will cancel cargo freighter on the Japan lane and other cargo freighters are expected to be put on hold. Increase expected in passenger flights, ,but cargo freighter space will be decreased.

olympic restrictions and impact on logistics 3 security control air and ocean export import
Olympic Restrictions and Impact on Logistics(3)Security Control: Air and Ocean Export / Import
  • Continued
  • Anticipated Problem (Air Export):
  • Limited Space Capacity, especially for North America, Europe and HKG
  • Transport Restrictions may cause original flight schedules to be missed
  • The Increased cargo inspections may result in higher incidence of damaged cargo
  • General recommendation: Beijing customers consider changes in supply-chain
  • planning and scheduling for procurement, manufacture and shipping
olympic restrictions impact on logistics 3 security control air and ocean export import13
Olympic Restrictions Impact on Logistics (3)Security Control: Air and Ocean Export / Import

Air Import

  • Continuation

1)Customs Clearance and CIQ inspection related to the Olympics assume top priority.

2) Cargo Freighter services are expected to put on hold during Olympics

ANA will cancel cargo freighter on the Japan lane and other cargo freighters are expected to be put on hold. Increase in passenger flights, but cargo freighter space to decrease.

3) Longer delivery times due to vehicle restrictions and traffic controls

Ocean Export and Import

TSN Xingang Gateway port trucking to/from PEK may be impacted by traffic control

  • Anticipated Problems:
  • Priority given to Olympic-related cargo customs clearance and CIQ inspection, non-Olympic related
  • cargo expected to require longer processing time
  • Longer pick-up times due to vehicle restrictions and traffic control
kwe contingency measures14
KWE Contingency Measures
  • Air Export
  • KWE will work proactively and closely partner airlines to protect space capacity
  • Especially for Japan lane, Europe (transit cargo for Germany, Netherlands and UK),
  • North America, HKG and Southeast Asia and other KWE network destinations
  • Prepare buffer warehouse capacity at KWE Beijing domestic warehouse
  • to accommodate customer’s production planning
  • Utilize TSN as alternative airport cooperated with KWETSN branch
  • Coordination with airlines and customers to avoid cargo damage
kwe contingency measures15
KWE Contingency Measures
  • Air Import ・Ocean Import and Export

Provide warehouse buffer capacity at KWE Beijing domestic number 2 warehouse

Special accommodations for delivery, vanning, de-vanning (24 hr operations)

Provide warehouse buffer capacity (Bonded) at Beijing Bonded Logistics Center

Organize special team for customs and CIQ to support customer’s requirements.

(KWE is nominated as recommended customs broker by BOCOG)

KWE Beijing branch will make customer-specific delivery routing and scheduling

Plans

(4) Environmental Controls

As an environmental control measure power stations and some factories may be required

To reduce production or shut down to minimize smog-producing emissions during the

Olympics and Paralympics.

kwe beijing system for olympic
KWE Beijing system for Olympic

Customer-specific Contingency Planning

  • KWE sales and operations teams will meet with customers to discuss customer-specific issues for the period of the Olympic games
  • Based upon customer-specific issues, KWE teams will formulate and implement proposals to optimize customer’s supply-chain strategies during the period of the Olympic games

Thank You!

related web sites
Related Web Sites

1. Beijing 2008 Olympic Games

http://en.beijing2008.cn/index.shtml

2. Beijing 2008 Paralympics Games

http://en.beijing2008.cn/paralympic/

3.BOCOG website

http://en.beijing2008.cn/bocog/

4. BOCOG Customs & Freight Manual website

http://en.beijing2008.cn/news/official/bulletin/media/n214144391.shtml

5. Equestrian Freight Manual

http://en.beijing2008.cn/news/official/bulletin/media/n214168070.shtml

BOCOG:Beijing Organizing Committee for the Olympic Games