The Group owns 67.6% of Modern Terminals, a leading operator of world-class container terminal services in the South China region. Modern Terminals was established in 1969. It built Hong Kong's first purpose-built container terminal in 1972. Modern Terminals' operations in Kwai Tsing are spreading over Container Terminals 1, 2, 5 and 9, with a total handling capacity of seven million TEUs a year.
Service excellence has been Modern Terminals' mission. Apart from optimising its business in Hong Kong Port, Modern Terminals has an established foothold in Pearl River Delta ("PRD"). Modern Terminals holds the shares in and operates DaChan Bay Terminals in the PRD. It also holds equity stakes at Shekou Container Terminals and Chiwan Container Terminal in Shenzhen.
In response to the fast changing industry dynamics and growing competition from other ports in the region, Modern Terminals is proactively taking all necessary actions to rebuild the competitiveness of Hong Kong’s port business. In January 2019, Modern Terminals entered into a Joint Operating Agreement with three other terminal operators to form Hong Kong Seaport Alliance with an aim of jointly operating 23 berths in the Kwai Tsing Container Terminals to achieve higher efficiency and provide a higher standard of service to customers. The progressive implementation of this joint operation commenced on 1 April 2019 and the effciency gains will be released over a three-year period.
Hong Kong Air Cargo Terminals
Hong Kong Air Cargo Terminals Limited ("Hactl") became a 20.8% associate of the Group in May 2010. It is a leading air cargo terminal operator in Hong Kong. Located at the Hong Kong International Airport, one of the world's busiest airports for international cargo, Hactl has played a key role in enhancing Hong Kong's position as the international air cargo hub and gateway to Mainland China.