Annual Report 2019

Management Discussion and Analysis 16 CHINA MERCHANTS PORT HOLDINGS COMPANY LIMITED 23.9% 2.6% 15.0% 27.1% 31.4% 25.9% 4.0% 15.1% 24.1% 30.9% 26.3% 3.7% 16.0% 22.3% 31.7% 38.253 40.972 41,199 17.8% 3.3% 19.1% 17.8% 42.0% 18.9% 4.1% 19.1% 16.5% 41.4% 18.7% 4.0% 20.2% 15.4% 41.7% 102,903 109,060 111,721 ‘000 TEU ‘000 TEU Mainland China, Hong Kong and Taiwan Pearl River Delta Yangtze River Delta Bohai Rim Others Other locations CMPort Gross Throughput CMPort Equity Throughput 2019 2018 2017 2019 2018 2017 BUSINESS REVIEW Ports operation In 2019, the Group’s ports handled a total container throughput of 111.72 million TEUs, up by 2.4% year-on-year, among which the Group’s ports in Mainland China handled a container throughput of 83.67 million TEUs, up by 3.6% year-on-year, which was mainly benefitted from the growth in container volume of the Group’s ports in the Yangtze River Delta region in China, as well as its participation in the merger of container terminals in Tianjin. The Group’s operations in Hong Kong and Taiwan handled an aggregate container throughput of 7.21 million TEUs, representing a decrease of 6.1% as compared with the previous year. A total container throughput handled by the Group’s overseas ports grew by 0.9% year-on-year to 20.84 million TEUs, among which Colombo International Container Terminals Limited (“ CICT ”) in Sri Lanka, TCP Participações S.A. (“ TCP ”) in Brazil and Lomé Container Terminal S.A. (“ LCT ”) in Togo recorded rapid growth in their throughput volume. Bulk cargo volume handled by the Group’s ports decreased by 10.5% year-on- year to 449 million tonnes, within which the Group’s ports in Mainland China handled a total bulk cargo volume of 443 million tonnes, representing a decrease of 10.9% year-on- year. Pearl River Delta region The Group’s terminals in the West Shenzhen Port Zone handled a container throughput of 10.21 million TEUs and a bulk cargo volume of 7.81 million tonnes, down by 4.4% and 42.7% year-on-year respectively, mainly because the Group completed the disposal of the entire equity interest in China Merchants Port Group Co., Ltd. (formerly known as “Shenzhen Chiwan Wharf Holdings Limited”, “ Shenzhen Chiwan ”) in June 2018. Guangdong Yide Port Limited handled a container throughput of 0.30 million TEUs and a bulk cargo volume of 2.26 million tonnes, up by 33.5% and 55.7% year-on-year respectively. Chu Kong River Trade Terminal Co., Ltd. handled a total container throughput of 1.09 million TEUs and a bulk cargo volume of 3.53 million tonnes, down by 6.5% and up by 43.1% year-on-year respectively. Modern Terminals Limited and China Merchants Container Services Limited in Hong Kong delivered an aggregate container throughput of 5.57 million TEUs, down by 6.1% year-on-year.