China's Transportation Industry Faces SARS Impact

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Last updated at: (Beijing Time) Saturday, May 24, 2003

China's Transportation Industry Faces SARS Impact

With the outbreak of SARS hindering people's travels this spring, China's transportation industry has felt the impact severely.

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With the outbreak of SARS hindering people's travels this spring, China's transportation industry has felt the impact severely.

Statistics show that the Labor Day holiday in 2002 saw more than 80 million people on the move, while this year the number sharply decreased due to the spread of severe acute respiratory syndrome (SARS).

The total transportation volume in April reduced 6.9 percent from the same month last year, and was down 12.1 percentage pointsfrom the first three months. The decrease was furthered in May as the SARS epidemic worsened.

The earliest influence of SARS on China's transportation occurred in March on the airlines, which have continued to suffer since SARS cases increased in April.

Some long-distance buses stopped running, and some bus stationsfell on hard times as the number of passengers reduced, while the daily expenditure increased for sanitation and sterilization.

The influence on the railways began in April, and the transportation volume of Zhengzhou railway station in Henan Province from May 1 to May 5 was 75 percent lower than the same period of last year.

Despite this slide, all transportation sectors in China have taken a positive attitude to prevent the spread of SARS through vehicles, while trying to ensure this year's tasks are completed on time.

The Ministry of Communications has announced that it will launch 5,300 road projects in China's vast rural areas this year, covering 78,000 kilometers. The total investment will hit 75 billion yuan (about 9.1 billion US dollars), and the first 39.6 billion yuan will be used this year.

The ministry also changed procedures for project approval and bidding by using the Internet and modern communication to enable more road and port construction projects to begin as soon as possible.

Railway and airline companies have cast more attention to cargotransportation. Following the decrease of passengers on trains, the demand for transportation of goods by train increased 5.2 percent this April, said the transportation bureau of the Ministryof Railways.

Currently, some airlines have increased their freight price by about 30 to 40 percent due to the surging demand. Air China is planing to rent larger planes for cargo, so as to meet the market need.

The Chinese government has issued many supporting policies to help those influenced industries stay out of difficulty, and part of the burden on the transportation industry has been released.

As the SARS situation continues to improve in China, the whole transportation industry continues to seek new opportunities for further development.

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