Themed "Adapting to International Finance Service Models to Promote the Development of China's Shipping Finance Market", the opening ceremony of the two-day Shipping Finance Service Summit 2009 hosted by SISI was grandly launched at Hyatt on the Bund Hotel on the morning of November 30. Launched officially on March 25, 2009, the "Opinions of the State Council on Expediting the Development of Modern Service Industry and Advanced Manufacturing Industry as well as Construction of an International Financial Center and an International Shipping Center in Shanghai" unveiled unprecedented opportunities for the finance service industry in Shanghai. Meanwhile, the global shipping finance industry also faces huge challenges in coping with the financial crisis. Many industry-related issues were discussed thoroughly at the summit to promote the development of the shipping finance service industry.

In connection with such spheres as shipping financing, financial leasing, shipping insurance, nautical assessment and ship management services, a series of issues were discussed extensively and professionally at the summit, including the status quo of the shipping finance industry, market trends, development strategies, policy orientation and future cooperation. Speeches and addresses were also heard from Ling Tao, Director of Statistical Research Department and Financial Stability Department in Shanghai Head Office of the People's Bank of China; Shen Liqiang, President of Shanghai Branch of the Industrial and Commercial Bank of China; Ying Mingyong, Deputy District Mayor of Shanghai Hongkou District People’s Government; Yu Shicheng, President of Shanghai Maritime University and Director of SISI; Tan Weixian, Deputy Director of the Shanghai Office of China Banking Regulatory Commission; Li Feng, Assistant to the Director of the Shanghai Bureau of China Insurance Regulatory Commission; Xu Quan, Deputy Director of Shanghai Municipal Office of Finance Service; and Xiao Lin, Deputy Director of Shanghai Municipal Development & Reform Commission.

Ling Tao and Ying Mingyong first extended sincere congratulations to the opening of the summit, on behalf of the People's Bank of China and Hongkou District People's Government respectively; followed by Yu Shicheng (President of Shanghai Maritime University and Director of SISI) and Xu Quan (Deputy Director of Shanghai Municipal Office of Finance Service) highly commending the summit for its significance in this specific era and its role as a better communication platform for the development of the shipping finance service industry and the recovery of the shipping industry. At the summit, officials and domestic/foreign guests from Shanghai Office of China Banking Regulatory Commission, Shanghai Bureau of China Insurance Regulatory Commission, Shanghai Municipal Development & Reform Commission, Bank of Communications, the Baltic Exchange, China Shipping Development Co., Ltd., Natexis Banques Populaires, the international maritime insurance company Willis, DVB Bank, HSBC Hong Kong, HSH Nordbank, and Johnson Stokes & Masteralso delivered wonderful speeches on the construction of Shanghai Shipping Finance Center, shipping financial innovation, Shanghai shipping insurance market and shipping finance service capabilities.

Prof. Lian Ping, Chief Economist of the Bank of Communications, pointed out that the world’s shipping finance services is gradually shifting its focus to China. Nine out of the world's top ten container ports of 2008 are from Asia, where six from China. Traditional famous European and American ports such as Rotterdam, Hamburg and Los Angeles continue to decline in ranks. At present, international shipping-related services such as ship registration, management, trading, financing, insurance and arbitration are still based on the European market. With international shipping business shifting its focus from Europe to Asia, it is urgently necessary for Asia to develop a shipping center, offering one-stop services including finance services to ship-owners and ship managers. Taking stock of the status quo of Asia, only Hong Kong, Shanghai and Singapore are capable of developing shipping services. The development strategies for coastal areas bring a huge development potential to China's shipping finance services; a consensus has been reached to develop the shipping finance with greater efforts. Prof. Lian Ping also enlarged upon the weakness and constraints in the development of Shanghai's shipping finance, and put forward several advices for the development of Shanghai's shipping finance industry in accordance with the law and features of development of the shipping finance service industry.

The appearance of CEO Jeremy Penn of the Baltic Exchange, President Michel Degermann of the Global Shipping Department of Natixis Bank, and Head Michiel Steeman of Global Syndications for DVB Bank brought more opportunities for international exchange of experiences.

On the second day of the summit, many Chinese and foreign guests were involved in the in-depth discussions about the development of Shanghai container freight derivatives, the application of forward freight agreements in Asia, the shipping investment business on U.S. capital markets as well as China's shipping insurance markets. The guests included Zhang Ye, President of the Shanghai Shipping Exchange; Zhen Hong, Secretary-General of SISI; Huang Shicong, Vice President of SGX AsiaClear; Luo Ruimang, CFO of Hanjin Shipping; Kaare Spange, Finance Director of Maersk Line; Henry Williams, Managing Director of Oppenheimer & Co. Inc.; Charles Reineke, Vice President of the Global Shipping Finance Group of Sumitomo Mitsui Banking Corporation; Wei Song, General Manager of the Cargo Insurance Department of the People's Insurance Company (Group) of China Limited; and Andrew Nimmo, Senior Attorney of Watson, Farley & Williams, etc.

The presence of numerous shipping companies, banks as well as investment and financing institutions from both at home and abroad was the highlight of this summit. Represented by professionals from Natexis Banques Populaires, DVB Bank, HSBC Hong Kong, HSH Nordbank, NIBC Bank, Development Bank of Japan, Bank of China, Bank of Communications, ICBC leasing, CMB Financial Leasing Co., Ltd., China Bohai Bank, China National Investment & Guaranty Co., Ltd., China Huarong Financial Leasing Co., Ltd., Wheally Investment Holding Limited, V.Ships Capital, Korea Marine Fund, Uni-Asia Finance Corporation, Mitsui O.S.K. Lines (MOL), APL, Islamic Republic of Iran Shipping Lines (IRISL Group), Iran-based Arya Shipping Lines, Odfjell Dong Zhan Shipping ( Shanghai ) Co., Ltd., Turkey-based Densan Shipping, Greece-based FreeSeas, Israel-based Ofer Shipping, and SITC International Holdings Co., Ltd., upwards of 100 elites from the shipping finance industry of various countries attended the summit, showing recognition and expectation held by professionals towards the summit.

More than 200 senior executives, elite professionals, experts and scholars from global government agencies, international organizations, as well as shipping, shipbuilding, trade, finance, consulting and legal industries attended the annual summit.

Yu Shicheng, President of Shanghai Maritime University

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