The city of Shanghai is in the final stages of preparation for the World Expo.  At this time, there is widespread anticipation for this event; however, there is also a strong belief in the market that there will be additional DG restrictions during Expo 2010, particularly during the first 10 days of the opening.
 
At the moment, one of the unofficial memorandums, circulated in the market, has stated the below restrictions on road transportation of DG in Shanghai:
 

 

A) The transportation of DG will be operated during night time. The time for night time operation has not been fixed. 

    

  

 

Although the information stated is not officially announced, most Shanghai trucking service providers are anticipating that the above DG restriction will have an impact on the road transportation of DG. Most of these local companies have chosen to follow the restriction stated on the "unofficial" memorandum, and they have came up with internal decision to stop accepting booking of new orders for transportation of DG during Level 1 security and safety period.
 
The decision made by local transportation companies, for rejecting booking of road transportation of DG during Level 1 security and safety period has an impact on the supply chain as it will affect the lead-time/transit time for material supply within Shanghai. BDP is working closely with our selected transport partners and alternative carriers to mitigate the supply chain impact while pursuing the official position / memorandum with the appropriate authorities. We will continue to keep all relevant stakeholders informed on all new developments here.
 
The purpose of this update is to provide as much information as possible, strictly for reference purposes only.

 

Do not hesitate to contact us if you have any questions.