ABSTRACT

This chapter discusses selected aspects of the transportation industry in Asia Pacific. Transportation services are essential for economic development and for integration at the national and regional levels. Transportation is one of the earliest agents of development, preceding industrialization. The emergence and development of regional trade blocs has an important impact on transportation requirements. Air transport plays an important role in business communications and for some countries also in the development of the national tourist industries. In mature economies domestic freight transportation services measured in ton-miles may grow at about the same rate as Gross Domestic Product or even more slowly, as freight transport is generated mostly by primary and secondary industries. The availability of transportation allows markets to grow and economies of scale to be achieved through division of labor and specialization. Maritime container services were established by the developed countries in the late 1960s as a response to rising labor and operating costs.