COSCO to Build Park in Suez Canal SEZ
Two Chinese entities, COSCO Shipping company and TEDA Corporation, have agreed to construct a logistics park in the Suez Canal Economic Zone (SCZone), according to XinhuaNet.
The logistics park is set to cover 130,000 square meters, of which 52,000 will be storage yards and 46,000 will be bonded and non-bonded warehouses.
The park, an investment of China's COSCO shipping (Europe), will be built in the TEDA Cooperation Zone of the SCZone, following a deal signed by SCZone, China-Africa TEDA and COSCO Shipping (Europe).
China and Egypt signed an intergovernmental consultation mechanism for jointly promoting the development of the TEDA Cooperation Zone in January, 2016.
TEDA Corporation promoted by Tianjin Municipal Government, and operated by Tianjin Development Zone and Tianjin TEDA Investment Holding.
The signing ceremony was attended by Egyptian Prime Minister Sherif Ismail, as well as Egyptian ministers and government officials.
Read a related paper by The International Association of Dredging Companies (IADC) on the project to dredge an additional lane in part of the Suez Canal to allow the transit of ships in both directions.
A new logistics park should help COSCO consolidate its position in North Africa and Europe, as Egyptian importers and exporters can sue bonded logistics park, making a savings on customs clearance processes.
Executive General Manager of China-Africa TEDA Wei Jianqing said: "The special economic zone is not only meant to be built into an industrial city but rather a modernized city capable of comprehensive services including entertainment, real estate, R&D, as well as storage and logistics.
"We are proud to say the Suez International Logistics Park will be the first bonded logistics park in any special economic zone in Egypt.
President of COSCO Shipping (Europe) Lin Ji said: "The idea of building a logistics park in TEDA Cooperation Zone in Egypt came from COSCO's vision to serve the Belt and Road Initiative as a major international logistics service-provider”