• Journal of Korea Port Economic Association
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• v.32 no.3
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• pp.83-94
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• 2016

The primary purpose of this study is to analyze the impact of bilateral Free Trade Agreements on international trade volume of bulk shipment at the port of Busan in Korea using the Gravity Model. Most recently, the total of 15 Korea's FTAs have been enforced since Korea-Chile FTA in 2004 and more than 50 countries became member of Korea's FTAs. Therefore, aggregated trade volume of Korea's FTA members out of the total trade volume in Korea increased from 25% in 2011 to 67% in 2015. Five Korea's bilateral FTA members are concerned as experimental group while top 10 foreign countries base on trade volume of bulk shipment are applied to the model as control group and panel data was used in this study. According to the results, bilateral FTA, GDP and population have positive impacts on trade volume of bulk shipment at the port of Busan. On the other hand, distance between Korea and its trade partner has negative impact. In examining Hausman test and LR test, the random effect model is statistically more appropriate than the fixed effect model for this study.

• Journal of Navigation and Port Research
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• v.40 no.6
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• pp.485-494
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• 2016

The primary purpose of this study is to analyze the impact and determinants of bilateral Free Trade Agreements on international total bulk shipment trade volume at the port of Korea using the Panel Gravity Model. The model estimates the aggregated panel data of exports and imports (excluding transshipment) as a dependent variable during the period from 1996 to 2015. GDP, GDP per capita, distances between bilateral countries, and FTA dummies are included as independent variables. And the economic integration of FTAs including ASEAN+3 and NAFTA3 countries were used as dummy variables. Study results show that GDP and GDP per capita have positive impacts on bulk shipment trade volume at the port of Korea. In addition, Korea's bilateral FTAs with Singapore, India and the United States have positive effects on total bulk trade volume in Korea. This is the so called trade creation effect. On the other hand, ASEAN+3 and NAFTA have negative effects on the total bulk trade. This is the so called trade diversion effect. Also, the distance between Korea and its trade partners has a negative impact. These findings provide insights for: further academic research, site operators who work in related trade and maritime sectors, and policy makers engaged in port and maritime operations. The results can be used to develop strategies for maximizing bulk port throughput.

• Journal of Navigation and Port Research
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• v.46 no.4
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• pp.385-391
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• 2022

In this study, a multivariate time series analysis was conducted to identify various variables that impact ocean freight rates in addition to supply and demand factors. First, we used the ClarkSea Index, Clarksons Average Bulker Earnings, and Clarksons Average Tanker Earnings provided by the Shipping Intelligence as substitute variables for the dependent variable, ocean freight. The following ndependent variables were selected: World Seaborne Trade, World Fleet, Brent Crude Oil Price, World GDP Growth Rate, Industrial Production (IP OECD) Growth Rate, Interest Rate (US$ LIBOR 6 Months), and Inflation (CP I OECD) through previous studies. The time series data comprise annual data (1992-2020), and a regression analysis was conducted. Results of the regression analysis show that the World Seaborne Trade and Brent Crude Oil P rice impacted the ClarkSea Index. Only the World Seaborne Dry Bulk Trade impacted the Clarksons Average Bulker Earnings, World Seaborne Oil Trade, Brent Crude Oil Price, IP, and CP I on the Clarksons Average Tanker Earnings.

• Journal of Korea Port Economic Association
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• v.28 no.2
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• pp.75-93
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• 2012

The steel cargoes as the core raw materials for the manufacturing industry have important roles for increasing the handling volume of the port. In particular, steel cargoes are fundamental to vitalize Port of Incheon because they have recognized as the primary key cargo items among the bulk cargoes. In this respect, the IPA(Incheon Port Authority) ambitiously developed the port complex facilities including dedicated terminals and its hinterland in northern part of Incheon. However, these complex area has suffered from low cargo handling records and has faced operational difficulties due to decreased net profits. In general, the import and export steel cargo volumes are sensitively fluctuated followed by internal and external economy index. There is a scant of research for forecasting the steel cargo volume in Incheon port which used in various economy index. To fill the research gap, the aim of this research is to predict the steel cargoes of Port of Incheon using the well established methodology i.e. System Dynamics. As a result, steel cargoes volume dealt with in Incheon port is forecasted from about 8 million tons to about 10 million tons during simulation duration (2011-2020). The Mean Absolute Percentage Error (MAPE) is measured as 0.0013 which verifies the model's accuracy.

• Proceedings of the Korean Institute of Navigation and Port Research Conference
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• 2018.11a
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• pp.234-236
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• 2018

현대 사회에서 항만이 전반 공급체인에서 차지하는 역할이 날로 중요해지고 있다. 항만의 역할은 이미 단순한 하역작업이 아닌 화물에 부가가치를 부여하는 중요한 경제활동중심으로 진화하였다. 이러한 항만의 중요성으로 인해 각국은 모두 허브항 육성을 주요 성장전략으로 삼고 있다. 특히 동북아시아는 대형 항만이 가장 밀집된 지역으로 되어 항만 간 경쟁이 매우 치열하다. 부산항은 배후단지 활성화를 통한 안정적인 물동량 유치를 통해 역내에서 경쟁력을 확보하고 있다. 본 연구는 부산항 신항 배후단지에서 처리하는 주요 화물들의 원단위를 산정하여 실제 부산항 신항 배후단지에서 창조하는 부가가치에 대해 정량적으로 분석하였다. 분석결과, 케미칼 제품, LME 벌크, 자동차 부품, LME 컨테이너, 일반화물, LME 내륙운송의 순으로 원단위 비용이 점차 감소하였다. 향후 연구에는 부산항 신항 배후단지에서 취급되는 전체 화물에 대한 세부적인 연구가 이루어질 필요가 있다. 이를 통해 항만이 창출하는 가치를 보다 정밀하게 파악하고 효과적인 물동량 유치 전략을 실행할 수 있다.

• Journal of Korea Port Economic Association
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• v.39 no.3
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• pp.179-189
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• 2023

Korea's port development adjusts the completion time and size of port facilities according to the future port throughput. The current port development system, which is referred to as "throughput-linked port development (Trigger Rule)", has received positive evaluation for efficiently executing the limited port development budget. Recently concerns have been growing over deteriorating service levels in port facilities in Korea due to accelerated aging of terminal facilities. However, the current port development system does not possess any standard for assessing the level of service and utilizing development indicators. The purpose of this paper is to calculate the Port Service Index (PSI) by selecting indicators to measure the Level of Service (LOS) of ports and deriving weights between the indicators, so that the current "throughput-linked port development (Trigger Rule)" can be linked with the level of service. Based on the result of analysis on a variety of preceding studies, the ship waiting rate, berth productivity, ship turnaround time and ship productivity were selected as four indicators to constitute the Port Service Index. The AHP and entropy methodologies were used to derive weights for each of four indicators which were later combined to calculate the comprehensive weight. The calculation formula of the Port Service Index (PSI) was derived by using the aggregated weights of each indicator, based on which the LOS of domestic container and bulk terminals were evaluated and this measurement result was divided into 6 classes to define each LOS. This paper contributes to draw the improvement measures for port development system that are able to connect the quantitative indicator of throughput, as well as a qualitative indicator of the level of "service".

• Journal of Korea Port Economic Association
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• v.36 no.4
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• pp.17-30
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• 2020

In the shipping industry, it is essential to engage in the preemptive prediction of freight rate volatility through market monitoring. Considering that freight rates have already started to fall, the loss of shipping companies will soon be uncontrollable. Therefore, in this study, factors affecting the freight rates of bulk carriers, which have relatively large freight rate volatility as compared to container freight rates, were quantified and analyzed. In doing so, we intended to contribute to future shipping market monitoring. We performed an analysis using a vector error correction model and estimated the influence of six independent variables on the charter rates of bulk carriers by Handy Size, Supramax, Panamax, and Cape Size. The six independent variables included the bulk carrier fleet volume, iron ore traffic volume, ribo interest rate, bunker oil price, and Euro-Dollar exchange rate. The dependent variables were handy size (32,000 DWT) spot charter rates, Supramax 6 T/C average charter rates, Pana Max (75,000 DWT) spot charter, and Cape Size (170,000 DWT) spot charter. The study examined charter rates by size of bulk carriers, which was different from studies on existing specific types of ships or fares in oil tankers and chemical carriers other than bulk carriers. Findings revealed that influencing factors differed for each ship size. The Libo interest rate had a significant effect on all four ship types, and the iron ore traffic volume had a significant effect on three ship types. The Ribo rate showed a negative (-) relationship with Handy Size, Supramax, Panamax, and Cape Size. Iron ore traffic influenced three types of linearity, except for Panamax. The size of shipping companies differed depending on their characteristics. These findings are expected to contribute to the establishment of a management strategy for shipping companies by analyzing the factors influencing changes in the freight rates of charterers, which have a profound effect on the management performance of shipping companies.

• Journal of Digital Convergence
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• v.16 no.3
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• pp.275-289
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• 2018

It is necessary to develop a bridgehead port for trading with northern countries to promote trade through the East Sea because the East Sea Rim economic bloc around the Northeast Asia including South Korea, China, Russia, Japan, and North Korea has a high growth potential in the future. Therefore, this study aims to suggest a strategic direction to enhance the competitiveness of Donghae Port through reinforcement of container cargoes by conducting Importance-Performance Analysis (IPA) for stakeholders of Donghae Port. The analysis results suggest that it is necessary to improve the five evaluation factors: attractiveness of container and bulk volumes, appropriate ratio of export/import container quantities, frequency of vessel entry and diversity of sea routes, convenience of complex linked transportation, and competitiveness of cargo handling equipment. The implications of this study are as follows. First, it is necessary to continuously research the current status of container and bulk cargo volumes of the port and ways to increase the absolute cargo volume. Second, we need to consider realistic alternatives to improve the ratio of export/import container quantities. Third, in terms of network, we should establish a service improvement plan to increase the frequency of port calls and the diversity of sea routes. Furthermore, incentives should be provided to increase the trade volume of Donghae Port through strengthened complex linked transportation function. Finally, it is urgently necessary to provide investment support for container handling equipment as an essential requirement for the activation of the container cargoes in Donghae Port.

• Journal of Korea Port Economic Association
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• v.32 no.4
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• pp.41-56
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• 2016

China is pushing a policy called China's Western Development in order to balance the continent's development level. They are connecting the rich natural resources of the mid-western areas and the capital of the eastern coastal areas of China. Since Korea depends on China the most for trade, it is necessary for Korea to always consider the trade scale and pattern changes of China. Response to changes in the transport and logistics system between the two countries is also demanded. This study aims to analyze the import and export trends between Korean and Chinese provinces of each item from the trade scale point of view. China's global trade routes reorganization and China's western development are considered and the corresponding direction is presented accordingly. The study also suggests strategies to expand the import and export scale with China based on the analysis.

• Journal of the Korean Society for Railway
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• v.16 no.2
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• pp.138-143
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• 2013

Recently, the demand for rail freight has gradually decreased. In particular, the demand in Korea for open freight cars, which classification includes gondola cars, hopper cars and gravel cars has been significantly reduced. The role of gondola cars in the rail transportation market shrank to 14.5% in 2010 from 23.3% in 2001. The transportation demand of gondola cars in the long term is expected to be reduced further. Because some gondola cars have been converted to container cars and various containers are being developed to transport bulk cargo by container cars. However, gondola cars still play an important role in rail freight transport. Therefore, the management planning of gondola cars is needed in order to prepare for the long-term declining demand. In this study, we propose a future direction for the management planning of gondola cars through the effectiveness analysis of gondola cars operation.