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17/05/2020

Lufthansa Cargo adds more flights to mainland China, ferrying urgent supplies to Europe

  • There has been strong demand for air freight services since April, when Chinese factories got back to work
  • Cargo flights have become critical in moving protective health equipment across the globe
Planes of German air carrier Lufthansa at the country’s largest airport in Frankfurt. Photo: Reuters
Planes of German air carrier Lufthansa at the country’s largest airport in Frankfurt. Photo: Reuters

German freight carrier Lufthansa Cargo is expanding in China, surpassing 100 weekly flights for the first time, and adding new flights to Shenzhen.

Peter Gerber, CEO of Europe’s largest cargo airline, said there had been heavy demand for its services, though this might cool by the peak of summer.

“At the moment, cargo demand is very, very strong,” he told the Post. “It started to get strong in April, when Chinese industries got back to work, and after that we have seen a constant, heavy demand, a real peak.”

Cathay Pacific and Cathay Dragon report combined HK$4.5 billion loss for start of 2020

15 May 2020
Global air freight capacity has been squeezed as two-thirds of the world’s aircraft have been grounded by the Covid-19 pandemic.
The collapse of air travel has practically put a stop to passenger flights, which typically carry half of all air cargo.

Since the pandemic, cargo flights have been critical in moving protective health equipment across the globe. From sending masks and other supplies to China in February, the German carrier is now taking urgent supplies from the mainland back to Europe.

Peter Gerber says Lufthansa Cargo has a high responsibility in maintaining supply chains, for both global health and world trade. Photo: Handout
Peter Gerber says Lufthansa Cargo has a high responsibility in maintaining supply chains, for both global health and world trade. Photo: Handout
“We have a high responsibility in maintaining supply chains in these unprecedented times for both global health and world trade,” Gerber said.

With the addition of Shenzhen, Lufthansa Cargo will fly to five destinations in China. It serves more than 300 destinations in 100 countries.

The cargo carrier is part of the Lufthansa Group and coordinates all the freight that goes into the passenger planes of its sibling brands, including Lufthansa, Swiss and Austrian.

Coronavirus: South Africa asks Hong Kong to remove its citizens from government quarantine list

16 May 2020

By next week, Lufthansa Cargo will be running more freight flights to China than the 72 passenger flights the group flew weekly before the pandemic to Beijing, Shanghai, Shenyang, Nanjing and Qingdao.

Lufthansa Cargo has a fleet of seven Boeing 777 Freighters (777Fs), with two new 777Fs arriving this year as part of its strategy to operate a fleet with a single aircraft type.

It also has six McDonnell Douglas-11Fs that Gerber said would still be retired as planned at the end of 2020, despite the extra demand for cargo capacity.

Its additional flights to China will make use of “preighters” – passenger aircraft flying cargo only. Gerber felt the trend of using empty passenger planes as “preighters” had peaked, pointing out that they cost the same to operate as freighters but carry only a fraction of the cargo.

Although he did not rule out future expansion, he said: “Demand will gradually come down in the next two or three months because a lot of equipment would have been shipped by then and some shipments will go on rail or ocean shipping.”

Coronavirus: Cathay Pacific could get cash injection from shareholder Qatar Airways

13 May 2020

He said some uncertainty remained over continued demand for airfreighted cargo, given the battered state of the world economy. Airlines would have to consider longer-term demand before deciding to invest more in cargo aircraft. “It depends how it looks beyond the next year,” he said.

Gerber said no decision had been taken yet on whether to convert some of the group’s orders for Boeing’s newest widebody 777X passenger aircraft into cargo planes.

He added that future plane orders would be balanced against the wider needs and spending decisions at Lufthansa Group, which is currently negotiating a government pandemic bailout package in the region of 9 billion (US$9.7 billion).

Source:SCMP

29/04/2020

Cathay Pacific looks to increase passenger flights in late June if coronavirus travel restrictions are eased

  • Carrier targets return of daily services to major Asian cities and more frequent long-haul services
  • Airline to monitor global situation and adjustments may be made ‘as necessary’
A Cathay Pacific employee stands near the check-in desks at a virtually deserted Hong Kong International Airport. Photo: Sam Tsang
A Cathay Pacific employee stands near the check-in desks at a virtually deserted Hong Kong International Airport. Photo: Sam Tsang
Cathay Pacific Airways has signalled its intent to start reversing its near-total grounding of aircraft because of the coronavirus pandemic, and plans to start increasing its number of passenger flights in the last week of June.
The airline said it hoped to add more long-haul destinations, make flights more frequent, and reinstate some major Asian cities to its daily schedule for the first time in several months, “subject to government travel restrictions”.
Cathay scaled its operations back to a skeleton schedule of 3 per cent of services in early April, and that was extended until June 20. The newly announced increases would take that up to 5 per cent.
The global airline industry has been rocked by the pandemic, which triggered a collapse in air travel demand amid severe travel restrictions and tough quarantine measures.
Tracking the massive impact of the Covid-19 pandemic on the world’s airline industry in early 2020 Singapore Airlines, another of Asia’s major carriers, said last week it would maintain a 96 per cent reduction in flights until the end of June.
Cathay, which has 236 aircraft, currently operates long-haul flights to London Heathrow, Los Angeles, Vancouver and Sydney twice a week, but will increase that to five times a week.

On top of that, Amsterdam, Frankfurt, San Francisco and Melbourne are among the long-haul destinations set to return three times a week.

With regional routes currently operating three times a week, including Tokyo Narita, Taipei, Beijing and Singapore, Asian routes will increase to a daily service. Osaka and Seoul would also return to the network, too.

“We will continue to monitor the developing situation and further adjustments may be made as necessary,” the airline said.

Coronavirus: ban on non-residents leaves Hong Kong airport virtually deserted
Earlier this month, Cathay’s budget unit HK Express extended its total grounding until June 18, having been on hiatus since March 23.

Meanwhile, Boeing has added to warnings of a very slow recovery in air travel, with Dave Calhoun, its CEO, saying demand may not return to 2019 levels for two to three years.

Cathay Pacific’s daily passenger volume has collapsed from regular previous peaks of 100,000 to less than 1,000 in April. Over the past two months, the company has been running more than 250 extra pairs of cargo-only passenger flights to maintain air freight capacity, much of which is accounted for by passenger services.

In a bid to cut costs, most of the Cathay Pacific Group’s 34,200 staff have taken three weeks of unpaid leave. Also, 433 cabin crew in the US and Canada were told they would be laid off, while about 200 pilots in the UK, Australia have been furloughed.

The International Air Transport Association, which revised down pandemic-related revenue losses for the global sector to US$314 billion (HK$2.4 trillion) two weeks ago, said last week the Hong Kong aviation market would take a US$7.5 billion hit this year, a 27 per cent increase on the previous estimate. That equates to a 59 per cent decline in air travel demand, or a loss of almost 31 million passengers, in 2020.

BOCOM International, a financial services company, forecast in a report on Monday that the city’s aviation sector would lose HK$65.2 billion in revenue in 2020, yet Cathay Pacific could emerge as a winner if it survived largely unscathed, given the weakness of rivals at home and in the region plus its dominant position in Hong Kong.

“Hong Kong aviation is at the most critical juncture in its history. Though calamitous, Covid-19 is set to reshape Hong Kong’s aviation industry for the years, possibly decades, to come,” said transportation analyst Luya You.

“Covid-19’s sweeping blows now offer a blank slate for remaining players to regain lost leadership or gain new markets. If [Cathay Pacific] can survive intact from Covid, the carrier could enjoy winner-takes-all growth trajectory in the years following [2020].”

Source: SCMP

20/04/2020

China sees higher 2020 soybean, pork imports aid industry challenges

BEIJING/SHANGHAI (Reuters) – China expects to import more soybeans and pork this year following the novel coronavirus outbreak and African swine fever, which has decimated its pig herds.

Soybean imports are forecast at 92.48 million tonnes this year, rising to 96.62 million tonnes in 2025 and 99.52 million tonnes in 2029, an official from the agriculture ministry told a video conference on the outlook for agriculture released on Monday.

Pork imports this year are seen rising to 2.8 million tonnes, a 32.7% increase from the previous year.

China is a key buyer and consumer of soybeans and pork globally, and typically imports millions of tonnes of soybeans per year to crush for meal to feed its livestock.

The African swine fever outbreak, however, had slashed China’s pig herd by over 40% last year, reducing supplies in the world’s biggest pork consumer.

Combined with the coronavirus outbreak, which hit the transport of pigs and delayed the restart of slaughtering plants, prices of China’s favourite meat rose to record levels in February.

China has been increasing pork imports in recent months to make up for the drop in domestic supply.

Despite the expected surge in imports, China’s 2020 pork consumption is forecast to fall to 42.06 million tonnes, down 5.6% year-on-year, hit by high prices and a fall in consumer demand due to the coronavirus outbreak, according to the agriculture ministry.

In line with the slowing consumption, China’s slaughtered pig herd this year will fall 7.8% year-on-year to 501.49 million heads. Pork output this year will also decline to 39.34 million tonnes from 2019, but will rebound to around 54 million tonnes in 2022.

In the longer term, however, pork imports are expected to gradually fall, the ministry forecast, while beef and mutton imports are set to increase in the next decade.

Meanwhile, China’s domestic soybean output is seen at 18.81 million tonnes in 2020, a 3.9% gain from the previous year, while crushing volumes were pegged at 85.98 million tonnes.

Soybean consumption will increase steadily and continue to rely mainly on imports in the next 10 years, said a ministry official.

The ministry also said China’s corn acreage and output are both set to increase in 2020, with production forecast to reach over 260 million tonnes this year, while annual rice output is expected to hold steady above 200 million tonnes per year in the next 10 years.

Source: Reuters

17/02/2020

China Focus: Cured coronavirus patients donate plasma to save more

WUHAN/SHANGHAI, Feb. 16 (Xinhua) — Twenty recovered coronavirus patients donated their plasma to those in severe condition in Wuhan, capital of the hard-hit province of the novel coronavirus disease (COVID-19), said the province’s COVID-19 scientific research team Sunday.

The donors are doctors and nurses who have recovered from the disease for 10 days at the Jiangxia District’s No. 1 people’s hospital and traditional Chinese medicine hospital.

Twelve patients in severe condition have received the plasma treatment. An expert with Jiangxia District’s No. 1 people’s hospital said that the patients have shown improved clinical symptoms about 12 to 24 hours after they received the treatment.

“We are observing the therapeutic results and improving our treatment plans,” the expert said, adding that plasma donation won’t hurt the donor once he or she has been cured for 10 days.

Zhang Dingyu, head of Wuhan Jinyintan Hospital, a major designated hospital to admit confirmed cases in Wuhan, called upon cured patients who were infected with COVID-19 to donate plasma as initial results had indicated the effectiveness of convalescent plasma-derived therapeutic products in curing infected patients in severe and critical conditions.

In Shanghai, official data showed 124 patients have recovered from COVID-19 and discharged from hospitals by Saturday afternoon, of whom 14 have shown willingness to donate their plasma to assist coronavirus research and treatment.

Some recovered patients regard the donation as a way to pay back to the society after they received timely and effective treatment.

“Before being discharged from the hospital, I learned from the nurses that I can donate plasma, which I think is very helpful,” said a recovered patient surnamed Liu who is willing to become a donor.

“We were helped by others and we want to help other patients as well,” Liu said.

Source: Xinhua

14/02/2020

U.S., China, Russia making world more dangerous – German president

MUNICH (Reuters) – Germany’s president took an indirect swipe at U.S. President Donald Trump on Friday in accusing Washington, China and Russia of stoking global mistrust and insecurity with a “great powers” competition” that could threaten a new nuclear arms race.

In opening remarks at the annual Munich Security Conference, German President Frank-Walter Steinmeier deplored the three big powers’ approach to global affairs and, without naming Trump, took issue with his vow to “make America great again”.

“‘Great again’ – even at the expense of neighbours and partners,” quipped Steinmeier, a former Social Democrat foreign minister whose comments on foreign policy carry authority.

As foreign minister in 2014, he was central to the so-called “Munich consensus” when German leaders said Berlin was ready to assume more responsibility in global affairs. Steinmeier pressed that point again on Friday, but not before bemoaning the foreign policy approaches of Russia, China and the United States.

“Russia…has made military force and the violent shifting of borders on the European continent the means of politics once again,” he said in the text of a speech for delivery at the opening of the conference.

“China…accepts international law only selectively where it does not run counter to its own interests,” Steinmeier said.

“And our closest ally, the United States of America, under the present administration itself, rejects the idea of an international community.”

The upshot is “more mistrust, more armament, less security…all the way to a new nuclear arms race,” he said.

In response, he said, Germany should raise defence spending to contribute more to European security and to maintain its alliance with the United States, recognising that U.S. interests were gravitating away from Europe toward Asia.

He also called for a European policy towards Russia “that is not limited to condemning statements and sanctions alone”.

Europe, he added, “must find its own balance with China between intensifying competition between systems and the need for cooperation.”

Source: Reuters

13/02/2020

Coronavirus: dim sum off the menu as Guangzhou bans eating in restaurants

  • Elderly resident says he can’t recall this happening in his city before, not even during the Cultural Revolution
  • Outbreak is expected to deal a heavy blow to businesses, especially smaller eateries, with some already forced to close
Residents can still get takeaway meals in Guangzhou, but they have been encouraged to order online and have them delivered. Photo: He Huifeng
Residents can still get takeaway meals in Guangzhou, but they have been encouraged to order online and have them delivered. Photo: He Huifeng
Guangzhou is home to more than 15 million people and a busy trading port, and has been known as China’s most open city since the 1600s. For locals, going to restaurants for yum cha, or “drinking tea”, and dining on dim sum is an important part of the city’s history and culture – a tradition that has been carried through many generations.

“Even in the ‘three years of natural disasters’ [from 1959 to 1961, when China was in the grip of a famine] I remember there were still restaurants open,” He said. “I was really shocked [by the ban]. I guess the epidemic situation must be severe, otherwise Guangzhou definitely wouldn’t introduce this measure.”

China’s Hubei province reports huge spike in coronavirus cases, rising 10-fold from previous day
Many people in Guangzhou and across the country went back to work on Monday after an extended Lunar New Year break – another measure to try to stop the virus from spreading – with the government keen for businesses to return to normal operations.

The ban on dining in applies to restaurants, but employees can continue to have meals at their company canteens. And while residents can still get takeaways from restaurants, they have been encouraged to do this online, and have their meals delivered, rather than collecting their orders.

Group gatherings have also been banned in the city, and according to Nanfang Daily, some 126 banquets that would have involved more than 90,000 people have been cancelled by authorities already. The authorities did not say how long the measures would be in place.

Guangzhou is not the only city in Guangdong province to bring in a ban on dining in restaurants – Futian district in Shenzhen, Xiangzhou in Zhuhai, Foshan and Zhongshan have all taken the same step.

Beijingers gradually return to work as China’s fight against deadly coronavirus continues
In Guangzhou, while residents try to adapt, businesses are expecting to take a hit. One of the city’s top hotels said the virus outbreak could have a severe impact on the industry.

“Now we will focus on promoting takeaways for local customers. They can order our meals through apps providing online takeaway ordering services,” said Fion Liang, director of sales and marketing at The Garden Hotel. “As for guests staying in the hotel we will deliver meals to their rooms.”

To work or not to work: the difficult coronavirus question facing China

13 Feb 2020

She said the outbreak did not have a big impact on the hotel’s business in January, because the situation only became severe at the end of the month.

“The impact was definitely much bigger in February. If the epidemic continues to be severe throughout February, the occupancy rate of our rooms will be in the single digits this month,” Liang said. “[Most] hotels in Guangzhou are in the same situation.”

The outbreak is expected to deal a heavy blow to restaurants in the city, especially smaller eateries, and some have already been forced to close. June Zhao, the owner of dumpling restaurant Xi Xi, decided to shut down on Wednesday – the day the eat-in ban was announced.

Prospects had been good for the restaurant – it also sold books and alcohol in the evenings, and its trendy decor drew a young crowd.

“We had just started making money last winter and we were looking forward to earning more over the Lunar New Year holiday. But then the coronavirus came, our turnover fell to several hundred yuan a day, and we lost hope,” she said. “The new ban makes this situation worse – takeaway is not a good choice for dumplings, especially in winter. The losses will continue if we stay open.”

Coronavirus: major cities given power to seize private property

13 Feb 2020

The ban has also interrupted daily routines. Freelance cameraman Cony Yu, 28, usually spends some of his working day at cafes, but that is no longer possible. “[Now] I don’t have a comfortable place to sit aside from my home – even the parks have all been closed,” Yu said.

China disinfects entire cities to fight coronavirus outbreak, some twice a day
In the southern tech hub of Shenzhen, dining in has also been banned in central Futian district. Zhu Hao, a financial analyst based in the district, has been working from home for a week and ordering takeaway food every day. But he has to collect it from the gate at his residential compound, where security staff check the temperature of anyone entering or leaving.
He is losing patience with the restrictions. “I want to eat out. I want beef hotpot, coconut chicken, Korean barbecue and seafood,” he said.
In other Shenzhen districts, many restaurants and shopping centres have been temporarily closed or can only provide takeaway meals – including fast food chains such as McDonald’s and Starbucks.
Other places have strict rules for customers. At a bread shop, customers must register their ID and phone numbers and have their temperatures checked before they can enter. And for now, all hotpot restaurants have been closed.
Source: SCMP
29/01/2020

Indian ministries buy more air purifiers as capital battles toxic air

NEW DELHI (Reuters) – India’s government has stepped up the purchase of air purifiers over the last two years, taking the number of devices in ministries to protect against deteriorating air quality to nearly 300, government data seen by Reuters showed.

Six federal ministries – including the health, foreign and home affairs – bought at least 159 air purifiers during 2018-2019 at a cost of 5 million rupees ($70,353), according to previously unpublished data obtained under a Right to Information (RTI) law.

That compares with at least 140 air purifiers bought for $55,000 during 2014-2017 for the six ministries and Prime Minister Narendra Modi’s office, as previously reported by Reuters. The latest data on purchases for Modi’s office was not available. (reut.rs/2ppjyBj)

The purchases come as the federal and city governments faced criticism for failing to address the problem of worsening air pollution, especially in the winter, and drew criticism from one activist.

“It’s absolutely criminal to spend taxpayers’ money in buying air purifiers for government officials,” said environmentalist Vimlendu Jha, who is a member of a government panel tasked with solving Delhi’s pollution crisis.

In November, the level of pollution in the capital forced authorities to shut schools, restrict the use of cars and declare a public health emergency.

A senior official at the environment ministry, which bears the most responsibility for tackling pollution, said there was no particular drive to buy purifiers to protect civil servants.

“The government is not spending a fortune by buying air purifiers. And it’s not that officials don’t get to inhale toxic air by confining themselves to their offices,” said the ministry official.

The six ministries and Modi’s office did not respond to requests for comment.

Air purifiers can cost up to nearly $1,000 and are too expensive for most Indians.

Per capita income in New Delhi, a city of more than 20 million, is about $400 a month and thousands of homeless people endure the cold and the toxic air while sleeping on the streets.

Reuters requested for data using the RTI law from the six ministries as it had comparable numbers previously reported in 2018. These were the ministries of foreign affairs, tourism, agriculture, health, home affairs and the federal think-tank Niti Aayog.

(Graphic: Modi’s government purifer purchases 2018-2019 link: here).

Reuters Graphic

Of the total of 159 devices bought by the ministries, the home affairs ministry topped the list with 103 of them in 2018 and 2019, the data showed.

“All the air purifiers have been installed in various offices/rooms of this ministry,” the ministry said in its RTI response, adding the amount spent was 3.1 million rupees ($43,619).

In October and November, when New Delhi saw some its worst air pollution last year, the foreign ministry bought 12 purifiers. Four of them – bought for the minister’s office – were priced at nearly $1,000 each.

The federal health ministry bought 23 air purifiers in the last two years, including 14 in 2019, its highest annual purchases since 2015, the data showed.

Source: Reuters

19/11/2019

China needs to divert more water to north to fight risk of drought, says premier

  • Li Keqiang tells senior officials to step up efforts to channel water from Yangtze River to arid regions
  • Impact of pollution and rising population has prompted increased efforts to improve efficiency and supply
A cement plant on the banks of the Yangtze in Chongqing. The authorities are now trying to stop further development along the river. Photo: Reuters
A cement plant on the banks of the Yangtze in Chongqing. The authorities are now trying to stop further development along the river. Photo: Reuters

China needs to divert more water to its arid northern regions and invest more in water infrastructure as shortages get worse because of pollution, overexploitation and rising population levels, Premier Li Keqiang has said.

China’s per capita water supplies are around a quarter of the global average. With demand still rising, the government has sought to make more of scarce supplies by rehabilitating contaminated sources and improving efficiency.

Water remained one of China’s major growth bottlenecks, and persistent droughts this year underlined the need to build new infrastructure, Li told a meeting of senior Communist Party officials on Monday. An account of the meeting was published by China’s official government website.

Local government bonds should be “tilted” in the direction of water infrastructure, he said, and innovative financing tools were also needed.

He also called for research into new pricing policies to encourage conservation.

Li said China’s water supply problems had been improved considerably as a result of the South-North Water Diversion Project, a plan to divert billions of cubic metres of water to the north by building channels connecting the Yangtze and Yellow rivers.

World ‘woefully unprepared’ for climate change’s effects on drinking water supplies drawn from mountains

He said opening up more channels to deliver water to regions north of the Yangtze River Delta would support economic and social development and optimise China’s national development strategy, according to a summary of the meeting on the government website.

China is in the middle of a wide-reaching programme to clean up the Yangtze River, its biggest waterway, and put an end to major development along its banks.

Chinese Premier Li Keqiang inspects an empty reservoir during a visit to Jiangxi province last week. Photo: Xinhua
Chinese Premier Li Keqiang inspects an empty reservoir during a visit to Jiangxi province last week. Photo: Xinhua

Local governments have been under pressure to dismantle dams, relocate factories and even ban fishing and farming in ecologically fragile regions.

But experts say the ongoing campaign to divert the course of the Yangtze to other regions is still causing long-term damage to the river’s environmental health.

Many cities that had polluted their own water sources had drawn replacement supplies from the Yangtze, exceeding the river’s environmental capacity, said Ma Jun, founder of the Institute of Public and Environmental Affairs, which monitors water pollution.

Beijing already relied on diversion channels from the Yangtze to supply 70 per cent of its water, but had done little to improve conservation or reduce per capita consumption, which was higher than many Western countries, he said.

“[Diversion] has caused so much suffering and needs so many dams to keep up supply, and that has impacted biodiversity,” he said.

Source: SCMP

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