In the first half of this year, bulk cargo throughput at the port of Dandong in Liaoning province reached 43.86 million tons, a year-on-year increase of more than 29%. It also handled 470,000 containers, up 39%. The port industrial zone has attracted CNY30 billion worth of investment from China and abroad in the past six years. The Dandong Shipbuilding Industry Co and South Korea’s Daewoo Shipbuilding are building a joint shipbuilding project in the zone. Once it is complete, the project is expected to generate annual revenue of CNY50 billion. According to projections, it will also attract at least 200 supporting enterprises and provide jobs for more than 50,000 people. In the field of port logistics, an ore terminal with a total investment of more than CNY11 billion is under construction at the port. A huge agricultural product processing and logistics facility is also under construction that will process and store grains. The project is expected to be capable of processing 3.5 million tons of grains a year, with revenue projected to reach CNY30 billion, the China Daily reports.

The new 1,380 kilometer railway from Hegang in Heilongjiang province to Dandong in Liaoning province, which became operational on September 26, will also help to make Dandong a major port. Covering a combined 785,000 sq km, the 13 cities along the line – including Hegang, Jiamusi, Mudanjiang, Yanji, Baishan, Tonghua, Dandong and Dalian – account for 31.2% of the total area of Northeast China. Together, the cities have a population of 24.8 million, 22.8% of the total in the region. Chen Lizhu, a Dandong City Development and Reform Commission official in charge of the railway industry, said the new line will sharply reduce transport costs. The railway’s Tonghua-Dandong section alone can carry 16 million tons of cargo each year. “The railway has connections with the dozens of berths for both bulk cargo and containers at Dandong, making the port the most convenient access to the sea in Northeast China,” Chen said. “In the next few years, the throughput at Dandong Port can easily increase to 100 million tons due to huge demand for grain, ore, iron, coal and equipment transport in the area,” said Li Xiang, Manager at Dandong Port Group. Li said a conservative estimate puts the port’s annual throughput at 50 million tons of iron and ore, 10 million tons of grain and food, and 40 million tons of coal. He predicted the port will also handle 1.5 million containers a year. “Using Dandong Port for exports and imports, enterprises in the region can save more than CNY6 billion in logistic costs each year” due to the shorter distance, Li added. “For instance, the distance from Mudanjiang and Jiamusi – both in Heilongjiang province – to Dandong Port will be cut by 122 km and 292 km respectively,” Li said. The railway will also help the port extend its serviced hinterland into the Far East region of Russia, where there are rich resources of petroleum, coal and timber. The Dandong Port Group has already established more than 30 dry ports in Northeast China offering comprehensive services.