China Ocean Shipping Co., Ltd.

ThesynonymCOSCOGroupgenerallyreferstoChinaOceanShippingCo.,Ltd.

CompanyProfile

OnFebruary16,1993,ChinaOceanShippingGroupwasestablishedwithChinaOceanShipping(Group)Corporationasitscoreenterprise.Aftermorethan40yearsofarduousentrepreneurshipbyseveralgenerationsofCOSCOpeople,relyingonwisdom,diligenceandsincerity,withgloryanddreams,COSCOGrouphasgrownfromasingleshippingcompanywith4shipsand22,600dwtatthebeginningofitsestablishmenttotoday’sItoperatesmorethan800moderncommercialships,morethan50milliondeadweighttons,andacomprehensivemultinationalenterprisegroupwithanannualcargovolumeofmorethan260milliontons.Asaglobalenterprisegroupwithshippingandlogisticsasitscorebusinesses,COSCOhasnearly1,000memberunitsandmorethan80,000employeesworldwide.InChina,thewholly-ownedshippingcompaniesofCOSCOGroupinGuangzhou,Shanghai,Tianjin,Qingdao,Dalian,Xiamen,HongKongandotherplacesoperateandmanagevarioustypesofoceanshippingfleetssuchascontainer,bulk,specialtransportationandoiltankers;overseas,TakingJapan,SouthKorea,Singapore,NorthAmerica,Europe,Australia,SouthAfricaandWestAsiaastheradiantpoints,andtheshippingroutesasthelink,itformsatransnationalbusinessnetworkcoveringallmajorregionsoftheworld.Vesselsandcontainersmarkedwiththe“COSCO”strikinglogoshuttlebackandforthinmorethan1,300portsinmorethan160countriesandregionsintheworld.

Abriefhistoryofdevelopment

1960s

OnApril27,1961,the"ChinaOceanShippingCompany"wasannouncedinBeijing.Onthesameday,theGuangzhoubranchofChinaOceanShippingCompanywasannounced.OnApril28,thefirstpassengership"Guanghua"flyingtheflagofthePeople'sRepublicofChinaheldagrandmaidenvoyageceremonyatHuangpuPort,Guangzhou.Subsequently,the"Guanghua"vesselsailedtoJakartaPort,IndonesiatopickupthedistressedoverseasChinesebackhome.

InDecember1964,COSCOusedbankloanstopurchasethecargoship"Dawn"forthefirsttimeinaccordancewithinternationalpractices.ThismakesCOSCOthefirstshippingcompanyinChinatousebankloanstodevelopanocean-goingfleet.Sincethen,COSCOhasstartedtodevelopitsocean-goingfleetbyself-relianceinaccordancewiththemodelof“buyingshipswithloansandrepayingloanswithprofits”.Aftermorethan40yearsofdevelopment,thesizeofthefleetandprofitabilityhaveincreasedbynearlyathousandtimes:asmallboatcompanywithacapacityofmorethan40,000tonshasdevelopedintoaleadingshippingcompanyintheworld.ThepeopleofCOSCOhavemadegreatcontributionstothecountry'seconomicdevelopment.

InMay1967,the"Dunhuang"shipofCOSCOGuangzhoubranchsetsailfromHuangpuforWesternEurope,markingtheopeningofthefirstinternationallinerrouteinNewChina.The1960sand1970swereaperiodoflarge-scaledevelopmentofCOSCO'sfleet.Bytheendof1975,thetotaltonnageofCOSCO'sfleetexceeded5milliontons.Duringthisperiod,theannualgrowthratewasnearlyonemilliontons,whichattractedtheattentionofinternationalshippingcounterparts.

1970s

Sinis primum continentis, in "Pingxiangcheng" de COSCOShanghaiBranch, navigat a Shanghai PortonSeptembris 26,1978 ad Sydney, Australie port.

InMarch1979,COSCOandIinoShippingCo.,Ltd.signedanagreementtohireCOSCOcrewsinBeijing,andthelaborexportbusinessofCOSCOHeadquarterswasofficiallylaunched.ThisisalsothefirstseafarerlabordispatchafterthefoundingofNewChina.

OnApril18,1979,theCOSCOShanghaibranch"LiuLinhai"sailedfromShanghaitothePortofSeattleintheUnitedStates.ThisisthefirstChinesemerchantshiptoarriveataUSportafterthefoundingofNewChina.Sincethen,themaritimetransportroutesbetweenChinaandtheUnitedStatesthathavebeenimmediatelyinterruptedsinceNewChinahavebeenrestored.

Inthe1980s

OnJune8,1987,theGuangzhouOceanShippingCompany'sComputerCommandandDispatchCenter,asubsidiaryofChinaOceanShippingCompany,wasofficiallyopened,markingthebeginningofChinaInternationalShipping'scomputercommandanddispatchofships.Theageoftransportationandproduction.

Co., Ltd., faciens ita totam societatem in COSCO in Unito regno. Proprobata est mutationi nominis "COSCO(UK) .

Inthe1990s

OnDecember25,1992,theStatePlanningCommission,theStateEconomicReformCommission,andtheEconomicandTradeOfficeoftheStateCouncilapproved"ChinaOceanShippingCorporation"toberenamed"ChinaOceanShipping("Group)Headquarters",agreedtoform"ChinaOceanShippingGroup"(referredtoasCOSCOGroup)withChinaOceanShipping(Group)Headquartersasthecoreenterprise.COSCOGroupannounceditsestablishmentinBeijingonFebruary16,1993.

OnMarch20,1995,COSCOandShanghaiHudongShipyardsignedacontractfortheconstructionofthree27,000tonsandone70,000tonsbulkcarrierinHongKong.ThisisthefirsttimethatCOSCOhasadoptedforeignfinancinganddomesticconstruction.Waytobuildaflag-of-convenienceship.

OnFebruary1,1998,withtheapprovaloftheStateEconomicandTradeCommission,theStateAdministrationofTaxation,andtheStateGeneralAdministrationofCustoms,theTechnologyCenterofCOSCO(Group)Corporationofficiallybecameanationaltechnologycenter.

FromMarch4thtoMarch19th,1998,PresidentChenZhongbiaoparticipatedinthe9thNationalPeople’sCongressasarepresentativeoftheNationalPeople’sCongressinBeijing.ThisisthefirstnationalmeetingofCOSCOGroupsinceitsestablishment.NPCdeputies.

OnMarch20,1998,ShanghaiZhongchengIndustrialCo.,Ltd. officiose mutato nomine COSCODevelopment Co.,Ltd., indicans COSCOGroup'sprimum domesticum "backdoorlisting" tenentem comitatum intra forum capitis sine defectu.

Sincethenewcentury

FromJanuary23toFebruary2,2000,PresidentWeiJiafuofCOSCOGroupvisitedSwitzerlandandGermanyandparticipatedintheWorldEconomicForumheldinDavos,SwitzerlandAtthe30thannualmeeting,COSCOGroupwasofficiallyacceptedasanofficialmemberoftheWorldEconomicForum.ItisalsothefirsttimethataChinesecompanyhasbeenacceptedasafullmemberoftheWorldEconomicForum.

OnMay8,2000,LongBeachPortheldthe"LongBeachPortPilotHonorAward"awardceremonyforChairmanChenZhongbiaoofCOSCOGroupattheHYATTHotel.The"LongBeachPortNavigatorHonorAward"hasbeenawardedto66famouspoliticalandshippingleaders,includingformerUSPresidentReaganandHongKong'scurrentChiefExecutiveMr.TungCheeHwa.

OnJuly25,2001,COSCO(Group)CorporationsuccessfullypassedtheISO9001:2000qualityjointlyconductedbyChinaClassificationSocietyQualityCertificationCompany,DetNorskeVeritasandtheNationalOccupationalSafetyandHealthSystemCertificationCenter.Managementsystem,ISO14000environmentalmanagementsystemandOHSSIS8001occupationalsafetyandhealthmanagementsystemon-sitecertificationaudit,becomingthefirstenterpriseinmycountrytoobtainthethreemajormanagementcertificates.

In Ianuario, MMII, ChinaCOSCOLogistics announceditsestablishmentinBeijing. Ibi-constituto includingDalian,Beijing, Qingdao, Shanghai, Ningbo, Xiamen, GuangzhouandWuhan.

OnApril18,2002,theA-sharesofCOSCOShippingbegantobelistedandtradedontheShanghaiStockExchange,markingtheofficiallandingofthecorebusinessofCOSCOShippingintheChinesecapitalmarket.

OnNovember8,2002,WeiJiafu,PresidentofCOSCOGroup,attendedthe16thNationalCongressoftheCommunistPartyofChinaasanofficialrepresentative.Onthe15thofthesamemonth,PresidentWeiJiafuwaselectedasamemberoftheCPCCentralCommissionforDisciplineInspection.

OnMarch3,2003,ZhangFusheng,partysecretaryandvicepresidentofCOSCO(Group)Corporation,waselectedasarepresentativeoftheNationalPeople'sCongressandattendedameetingoftheNationalPeople'sCongress.

SinceMarch1,2004, COSCOInvestment(Singapore)promotum est ad theSTIconstituentstocks(bluechipstocks).

OnMarch9,2004,PresidentWeiJiafuwonthe"PortPilot"award.TheawardwasestablishedbythePortofLongBeachAuthorityin1954andisspeciallyawardedtocelebritieswhohavemadeoutstandingcontributionstothedevelopmentofthePortofLongBeachandtheCaliforniaareaof​​foreigntradeandshipping.

July15-16,2004 "The FirstInternationalShipping(Sinae)AnnualConference2004" washeldinBeijing.Theconference wasco-sponsoredbyChinaOceanShipping(Group)Corporatio,ChinaOceanShippingAnnouncement, andBritishDrewryShippingConsulting Company.

In2007, itranked488thintheFortune500 with anoperingincomeof15413.5millionU.S.dollars.

2009FortuneGlobal500ranking327

ProductsandServices

Today’sCOSCOGroupiscommittedtoprovidingglobalcustomerswithhigh-qualityshippingandlogisticsWhilecarryingservices,itcanalsoprovidecustomerswithservicesinmultipleindustriessuchasshipandcargoagency,shipbuildingindustry,terminal,trade,finance,realestateandIT.

Corporatum cultura

Promotetechnologicalinnovationandcontinuouslyenhancethecorecompetitivenessofenterprises

Technologicalinnovation

TheNationalScienceandTechnologyConferenceheldinearly2006Notonlyisitofextraordinarysignificancetothedevelopmentofscienceandtechnologyinmycountry,itwillalsohaveawide-rangingandfar-reachingimpactonmycountry'seconomicandsocialdevelopment.Enterprisesarethemainbodyoftechnologicalinnovationandplayanimportantroleinthestrategyofbuildinganinnovativecountry.Astheworld'ssecondlargestshippingcompany,COSCOGrouphasalwaysadheredtotechnologicalprogress,andhasmadeimportantcontributionstotherealizationofthegroup'sdevelopmentstrategyandthetake-offofitsmainbusinessthroughsysteminnovation,managementinnovation,serviceinnovation,andtechnologicalinnovation.

Usingadvancedtechnologyandinformationtechnologytocontinuouslysolvekeyanddifficultissuesinproduction,operation,management,anddecision-making,andtoenhancethecorecompetitivenessofthecompanyisanindispensableandimportantmeansforCOSCOGroup’sdevelopment.COSCO’sscientificandtechnologicalinnovationworkhasalwaysbeen“drivenbybusinessneeds”,andithascarriedoutresearchandapplicationofshiptechnology,supportingequipment,shipcommunications,andnavigation;carriedouttechnologicaltransformationfocusingonenergysaving,consumptionreduction,andcostsaving;independentlydevelopedlogisticsinformationsystemsandship-to-shoreInformationsystem;graspthemarkettocarryoutsoftscientificresearch.COSCO'stechnologicalinnovationhasmadepositivecontributionstotheenhancementofthecompany'scorecompetitivenessandsustainabledevelopment.Thegroup'sprofitshaveexceeded10billionforthreeconsecutiveyears.

(1)Activelycarryoutscientificandtechnologicalinnovationandgivefullplaytotheroleofthefirstproductiveforceofscienceandtechnology

COSCOnotonlyownsshipsthatrepresenttheworld’sadvancedtechnology,butalsomakesfulluseoftechnologythroughindependentinnovation.Theroleofthefirstproductiveforce,hasdevelopedandownedabatchofproductswithindependentintellectualpropertyrights,patentedtechnology,andcopyrightedcomputersoftware.Somescientificresearchachievementshavereachedtheinternationalanddomesticleadinglevels,andscientificresearchprojectshavewonmanyprovincialandministerialscienceandtechnologyawards..

Thegroupattachesgreatimportancetothetransformationofscienceandtechnologytoactualproductivity,thepromotionandapplicationofnewtechnologiesandnewproductswithindependentintellectualpropertyrights,andtheapplicationofsafety,environmentalprotectionandenergy-savingtechnologies.Theself-developed"BulkyTransportationComputerAidedDecisionSystem"cantrulysimulatetheentireprocessofbulkandspecialcargotransportation,providecustomerswiththebestsolutionsinthetransportationprocess,andplayanimportantroleintheThreeGorgesProject,Qinghai-TibetRailwayandotherequipmenttransportationprojects.The“VDR”developedbyindustry-university-researchcooperation,theproducthasthelargestdomesticmarketshareandhasbeensoldtooverseasmarketssuchasGermany,SouthKorea,Singapore,andGreece;“Electronictiming,swirlspraycylinderTheapplicationof“oilinjectionnewtechnology”hassignificantenergy-savingeffects.Theactualshipapplicationcansavecylinderoilconsumptionbyabout27%,andthedirecteconomicbenefitismorethan600,000yuaninannualsavingsforasingleship.The"ShipManagementInformationSystem"withmachinemanagementasitscoreintegratesmanagementscience,computertechnology,networktechnology,andcommunicationtechnology.Itplaysanimportantroleinrealizingship-shoreinformationsharing,improvingmanagementefficiency,andreducingcosts.

(2) Re-innovatio post introductionem, digestionem, andabsorptionem evenit in theapidirise COSCO navitas aedificationis industriae.

Theintroductionofforeignadvancedtechnologyandmanagementsystem,combinedwithitsowncharacteristics,continuousimprovementandimprovement,isAneffectivewayforenterprisestoachieveleapfrogdevelopment.NantongCOSCOKawasakiShipEngineeringCo.,Ltd.,asubsidiaryofCOSCOGroup,islearningandintroducingtheshipdesign,manufacturing,andmanagementtechnologyandexperienceofJapaneseKawasakiShipbuildingthathaveundergoneacenturyofmarketinspection,andatthesametime,through"digestion→absorption→innovation",therealizationofproductionmanagementandtechnologydevelopment""Localization"and"re-creation"achievetheeffectofahighstartingpoint,quickresults,andleadingtechnology.Relyingonindependentinnovation,acertainscaleofindependentdesignanddevelopmentcapabilitieshasbeenformedinshipdesign,andthedetaileddesignandproductionprocessdesignofbulkcarriers,containerships,VLCCtankersandPCCro-roshipshavebeengraduallyrealized.

(3)Buildeffectiveinformatizationandimprovetheoverallperformanceofenterprises

Withthewideapplicationofhighandnewtechnologyrepresentedbyinformationtechnologyandnetworktechnologyintheshippingindustryandthe"digitalWiththeconstructionof"COSCO",thegrouphasacceleratedthepaceofinformatizationconstruction,andachievedremarkableresultsinbuildingeffectiveinformatization.Theself-developed"logisticsinformationsystem"isbasedontheentirecontrolandmanagementofthelogisticsbusiness,providingcustomizedandpersonalizedlogisticsservicecomprehensivesolutionsandhigh-efficiencyonlineservicecapabilities;"onlinedistribution"integratesinternalnetworksystemsandestablishesInvolving16typesofinformationandquerysystemssuchasshipping,machinery,systems,finances,etc.,ithasimprovedthelevelofinformationresourcesharingandinformationexchange;thegroupcompany’sCDMSsystemhasrealizedpaperlessofficeandcomputerizeddailyworkprocesses,greatlyimprovingImproveworkefficiency.

Historia laboris

Atthebeginningof2006,theNationalScienceandTechnologyConferenceheldnotonlyhasextraordinarysignificanceforthedevelopmentofscienceandtechnologyinmycountry,butalsowillhaveabroadandfar-reachingimpactonmycountry’seconomicandsocialdevelopment..Enterprisesarethemainbodyoftechnologicalinnovationandplayanimportantroleinthestrategyofbuildinganinnovativecountry.Astheworld'ssecondlargestshippingcompany,COSCOGrouphasalwaysadheredtotechnologicalprogress,andhasmadeimportantcontributionstotherealizationofthegroup'sdevelopmentstrategyandthetake-offofitsmainbusinessthroughsysteminnovation,managementinnovation,serviceinnovation,andtechnologicalinnovation.

(1)Thepursuitofinnovationiswherethevitalityofanenterpriselies.

Thelong-termsuccessofanenterprisemustbebasedonthecontinuousinnovationoftheenterprisemanagementsystem.Innovationisthelifeofanenterprise,andanenterpriseisinnovationMainbody.AgoodinnovationatmospherehasbeenformedwithinCOSCOGroup.Thecorporatecultureadvocatesdiligenceinlearning,goodthinking,couragetobethefirst,andcouragetopractice,andinnovationrunsthroughtheentireprocessofoperationandmanagement.

(2)Thedrivingforceofbusinessdemandisthesourceofpower

"Businessdemanddriving"istheorganizationalprincipleofCOSCO’sscientificandtechnologicalinnovationwork.Problemsinproduction,operation,andmanagementcantrulytransformtechnologyintoactualproductivity,andfundamentallyavoidthedisconnectionbetweentechnologyandproduction.Ontheotherhand,italsopromotesandleadsCOSCOGroup'sapplicationofnewtechnologies.

(3)Continuousinvestmentoffundsisanimportantguarantee

COSCOhasalwaysregardedtechnologicalinnovationasastrategyofthegroup,formulatedfive-yearplansandannualplansfortechnologicalinnovation,andlistedtechnologicalinvestmentEnteranimportantagendatoensurethatthegroup’stechnologicalinnovationremainsstrong.COSCOGroupinvested1.55billionintechnologicalinnovationduringthe"TenthFive-YearPlan"period.

Byselectingfieldsthatareimportanttoenhancecorecompetitivenessasabreakthrough,increasescientificresearchfunding,andconductkeyresearchininformationtechnology,shipsupportingtechnology,energysavingandconsumptionreduction,transportationsafety,transportationintegration,etc.Throughscientificandtechnologicalresearch,westrivetoachieveobviousresults.

(4)Theconstructionoftheinnovationsystemisamechanismguarantee

COSCOGroupCorporationestablishedanationaltechnologycenterasearlyas1996.Afternearlytenyearsofdevelopment,ithasnowbeenbuiltintoasupportandprofessionalsupportsystemwiththetechnologycenteroftheheadquarterasthecoreandthetechnologycentersofsubordinateenterprisesasthesub-centers,forminganinnovativesystemwithclearresponsibilities,reasonableallocationofresources,andresourcesharing.

(5)Thecombinationofindustry,universityandresearchisanimportantwaytoimprovethelevelofinnovation

Thecombinationofindustry,universityandresearchistherequirementoftheknowledgeeconomyera.Inaknowledgeeconomysociety,knowledge,technologyandeconomyThecombinationisgettingcloserandthemutualinfluenceisgettingbiggerandbigger.Takingenterprisesasthemainstayoftechnologicalinnovationandcontinuouslyenhancingtechnologicalinnovationcapabilitiesandsustainabledevelopmentcapabilitiesthroughthecombinationofproduction,educationandresearchisanimportantformofCOSCO'sscientificandtechnologicalinnovationwork.Wenotonlycooperatewithuniversitiesandresearchinstitutesintheindustry,butalsocontinuouslyexpandthescopeofindustry-university-researchcooperation,involvingawiderangeofmajorsanddiversecooperationmethods,achievingawin-wineffect.

Innovationanddevelopmentaretheeternalthemeoftheenterprise.COSCOGroupwillearnestlyimplementtheimportantthinkingofthe"ThreeRepresents",thespiritofthe16thNationalCongressoftheCommunistPartyofChinaandtheNationalScienceandTechnologyConference,fullyimplementthescientificdevelopmentconcept,andinsistonindependentinnovation.Keeppacewiththetimes,workhard,andgreatlyimproveproductivitythroughcontinuousinnovation,inordertoachievethestrategicgoalsofCOSCOGroupassoonaspossible,topromotethetechnologicalprogressoftheindustry,andtocontributetothedevelopmentofChina'soceanshippingindustryinthenewcentury.

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