Professional Documents
Culture Documents
The New Trans – Pacific Logistics
Alternative
A Multi-Modal Region
The Perfect Storm
• Chinese labor costs are rising
• Shipping by air has seen substantial cost
increases because of security
• Shipping by air has seen substantial cost
increases because of fuel
• Asian firms are seeking to diversify
distribution costs
• North American firms are exploring the
repatriation of outsourced industry
The Business Case
• Fuel costs will continue to increase. While
typically costs will flow to the shipper, controlling
costs is critical.
• Time on the ground as well as in the air burns
fuel and dollars.
• Backhaul remains a concern for North America to
Asia flights
• Prince George and the logistics corridor offer
real, potential solutions.
Location
southeast of Vancouver
Anchorage
Port of Prince Rupert
• YXS is on the Great Circle route between Asian and North America
• The Airport is the ideal fuel stop alternative to Anchorage
• Goods to and from Asia can be moved quicker without congestion
• Faster turns lead to better aircraft utilization and savings
Anchorage
Hong Kong
Aviation: The Strategic Plan
3 Phases
• Develop the Airport to accommodate technical
stop traffic
• Develop regional cargo flows to create backhaul
to Asia
• Develop origin and destination cargo operations
Phase I - Fueling Stop
Partnerships
• Runway 3,475 meters
• CAT II Centerline Lighting
• Dual Instrument Landing systems
• Full Service Deicing and Fueling Pad
• World Class Aircraft Handling and Fueling
• BoeingCertified Maintenance Support
• A380 Capable Infrastructure
• 24/7 Operations
Runway Length – 3,475 m
Key business advantages of Prince George
• Geographic location
• Available land
• Educated workforce
• Lower land costs
• Green environment with abundant power
• Sophisticated telecommunications capacity
Airport Logistics Park
Airport Logistics Park
• Prince George offers immediate and substantial savings
per flight from the Pearl River Delta.
• There are no landing fees and no parking fees.
• There is reduced fuel burn with shorter taxi distances and
time
• The only cost is for fuel purchased
Economics of YXS
• To ORD – 3 x per week @ $3,422 per flight
• Total Weekly Savings Est. $10.266
• Total Annual Savings Est. $533,832
Synergies
• Intermodal link to the new deepwater port at Prince
Rupert.
• Existing CN rail connection from the seaport to Prince
George and from there to Chicago, Toronto, and
Memphis
• Municipal support along a 1,000 km corridor dedicated to
logistics
• Improved roadway access to south and east bound
highways for trucking
• Federal and regional government support
• Strong and focused local leadership
Prince George