2006年06月30日

There are lots of logistics issues in China for a foreign company, but the major problem is about domestic transportation. Actually, for most companies, domestic transportation means road transportation, since railway is still operated by Monopoly SOEs, which is difficult to for foreigners to use, and the air transport is too expensive. Facing the reality of low efficiency, low reliability and information black hole on road transportation, people have to understand trucking industry in China.

 

 

Trucking market: millions independent players

 

Recently TNT just merged HOAU, one of the biggest LTL companies in China. HOAU has about 1 billion RMB revenues, comparing to the total market, they take 0.1% of market share. There are several “big” trucking companies in each province, but the total revenue of Top 100 companies is definitely less than 2% of China market.

 

Therefore the major players are small one, not big one. There are three types of player in the trucking value chain: “ Specialized Line”, the companies who provide LTL services for one or two particular lines, like Shanghai to Guangzhou. “load matching”, which is the broker between trucks and customers or “specialized line”. “Truck owners”, who buy 2-3 trucks and hire 5-6 drivers, seeking load from load matching brokers ,“Specialized line”, and running all over the China.

 

There are about 100,000 “specialized line” companies, 1million “load matching” brokers and 3 million truck owners. This kind of fragmental structure creates a critical issue for shippers, lack of information. That means if you are a shipper, it is very hard to know who the reliable carrier is, what the current market price is, and where your cargo is. Even you have only one tone of cargo needed to deliver from Beijing to Shanghai, you will find over 500 very similar looking carriers who may tell you very different prices, and of  whom 99% trucks don’t have GPS.

 

Most 3PLs in China don’t have truck assets and LTL network , and 70% of their business come from managing road transportation for big clients like P&G and Philips. Because None of MNC logistics mangers want to take the risk and difficulty for dealing with huge number of “specialized line”, brokers and truck owners directly.

 

Dramatic price fluctuation of trucking services: up and down over 200% within one month

 

Although big shippers sign a fixed trucking price with 3PLs, the real market price in China is changing dramatically eachday. Different region and different season will have totally different price. For example, in February 2006, the price of  FTL ( 9.6 m length truck) from Guangzhou to shanghai was about RMB15,000 while in the mean time, it only cost RMB6,500 from shanghai to Guangzhou. In the following month, FTL price for the same truck from Guangzhou to shanghai went down to 6,000, and the return line went up to 8000.

 

The reason of huge price fluctuation is dramatically changing demand. For example during spring holiday, one week cargo volume is 10% of whole year. And the small players who are major resources of the market, don’t have any buffer to balance. So the price exactly reflects the demand changing.

 

 

Marketplace for trucking: cargo hub and information platform

 

Public cargo hub in each city, especially major cities play a very important role in China trucking industry, which is a place for  “specialized line”, brokers and truck drivers to meet each other. Thus in China , cargo hub is always called “ cargo market “. Drivers park the truck into the hub, walking around hub and visiting the brokers’ small office one by one to seek load.

 

 

In recent years, internet starts to change the way of communication in trucking industry. Now over 20% of players use internet to exchange cargo Load and truck information. One of the best load matching website is www.peihuo.cn. There are over 100,000 brokers and truck owners using this website to match truck and loads, and they finish over 1 million deals every week on this load matching platform. The company who is running this website, China way Ltd., now also provides more related information for shippers, like trucking market price and carriers database,  letting people who purchase the trucking services know how much they should pay and which carrier they can choose.

 

MNC 3PLs MUST DO: purchasing trucking services directly

 

As a 3PLs operating in China, even a MNC giant like TNT, UPS, direct purchasing trucking services from “specialized line” or truck owners is the trend, since it will cut the cost by 50% , so start to learn how to deal with them is a MUST DO thing.

2006年06月11日

新闻故事发生在2001年,当时福州的公安局长,王振国。自己参股的一个生意,遇到了一个对手,然后他就指示刑警队长,带了一队人马去把那人杀了,以持枪拒捕的名义。然后,这帮警察兄弟还都记了功,并且直接把对手的财产分了,每人得了一部车。

执法警察,风风光光地杀人夺财,还是头一次听说。

2006年,案子了结的时候,我知道了这个故事。

互联网真是厉害,新浪网上还有今天还能查到2001年事发时间的新闻,标题为福州刑警破获一起持枪勒索抢劫案

google了几个小时相关的新闻,初步得出了这件事的脉络:

20013月事发:不幸生意上与局长有冲突的人一个被杀,一个被捕;

20018月,检察院发现公安局的持枪拒捕说法不能成立,但是由于某领导批示无能为力;

20025月,王振国由于经济问题出逃(这时间福州大批官员因远华案被捕或出逃);

20044月,公安部接到举报后介入;

20045月,杀人的警察们被捕;

20065月,宣判。

公安局长直接派刑警队做掉生意对手的事情,直接参与的警察有40多个,从大队长到中队长到普通警察,事先准备,事后串供,他们都知道知道自己在做什么。据说,公安局也有不少人偷偷打电话给受害者,表示同情。说明这个事情在公安局不是秘密。检察院第一次介入就知道有很大问题,200110月第一次上法庭连法警都安慰受害人不要着急,他们简直乱来

也就是说,参与的,没有参与的,福州的公检法上上下下都知道这件事的基本真相。也就是说王局长把公安局变成了杀人越货不含糊的黑社会总部,而整个福州政府系统在知情的情况下沉默了3年,直到公安部来人后一个月,才把杀人者入狱。

我很想知道,5个开枪的人心中,认为自己是什么人?40多个参加行动警察心中,认为自己是什么人?上千个明知真相的公务员心中,认为自己是什么人?

他们一起,做出了一个百姓可怕到超出想象的事情。他们的心灵会忏悔吗?

我看过清朝的杨乃武与小白菜,比之福州的警察杀人夺财案,让人疑惑,我们这是在一个什么年代啊,邪恶竟然如此地堂而皇之,那么多人的良心都敌不过。