On April 28, 1961, the whistle of the Guang Hua – the People’s Republic of China’s first commercial vessel -- announced the start of Cosco’s journey at Huangpu Port, Guangzhou. In the past 50 years, especially since China’s economic reform, thanks to the generations of COSCO employees’ relentless effort, Cosco has achieved compelling growth in fleet size, business efficiency and capital operation. By adopting advanced managerial and operational concepts, and continually fulfilling its social responsibilities, Cosco has become an influential leader in the international shipping community, and on its way to becoming a first class global enterprise.
Cosco Group was established with an international concentration, broad global vision and strength of inclusiveness. Cosco employees have been absorbing advanced concepts and harmonizing differences in every area of operations with the humble attitude and open, inclusive mindset that have remained core values of the Chinese people through more than 5,000 years of civilization.
In the past 50 years, we have established nearly 700 subsidiaries and offices worldwide. Cosco also acquired and reorganized some Chinese companies including the China Ocean Shipping Agency (Penavico), China Road Transportation Co., China Marine Bunker (PetroChina) Co. China Ocean Shipping Tally Co., and other publically traded Chinese and overseas companies. We welcome talented people from all around the world, regardless of nationality, ethnicity and gender, who have a strong desire to realize their personal value through contributions that promote Cosco’s growth. As we say in Chinese: “When you are a Cosco employee, you are ‘Cosco people’. ”
Today, Cosco is headquartered in Mainland China and has a global network that spans every continent. Cosco people consist of more than 130,000 individuals, including over 4,500 non-Chinese citizens. With combined efforts, Cosco is moving forward with a vision of transformation from a global carrier to a full-fledged logistics service provider, from a transnational operator to a world-class, multinational enterprise.
As we entered into a new century, Cosco Group further clarified its core values. Our mission is to consolidate and develop world-leading status in shipping, logistics, ship building and repairing by maintaining relationships with our customers, employees and partners that are built on integrity and trust and yield the best returns for our shareholders, the society and environment. We take a holistic approach to the consistent cultivation of a united business culture throughout Cosco that promotes development that is spiritually, systematically and substantively harmonious. Cosco family of companies follow the same principle to cultivate its unique and productive culture around the globe. The principle consists of “enhancing beliefs, disciplining behaviors, improving organizational environment, and propelling through management”
As we progress, the Cosco culture will continue to grow based on the following principles:
Emphasize Innovation, Produce Excellence:
As we transformed from a transnational operation business to a multinational enterprise, we adopted international standard commercial practices and rules. We have embraced the communities we have become a part of, worldwide. When other carriers left Boston after Sept. 11, 2001, more than 9,000 local workers were poised for job loss. Cosco decisively extended its help by opening up the first direct liner service between Boston and the Far East. The subsequent cooperation among Cosco, Massport and the New England business communities revitalized the Port of Boston and provided many job opportunities. It also generated positive economic returns for Cosco. A statement was entered into the U.S. congressional record recognizing Cosco’s contribution to the local economy and to trade relations between China and the U.S..
In 2005, Cosco Shipping began trading on the Hong Kong Stock Exchange. This marked the beginning of Cosco’s core shipping business’s public trading in an overseas stock market, accepting both shareholder and public supervision. Cosco has now transitioned from a traditional state-owned enterprise to a public company. The most recent success story of Cosco’s localization process is the returns it achieved at Greece’s Port of Piraeus. The operational efficiency and vibrant business activities have generated steady tax revenue for local areas and steady income growth for the local labor force.
Honesty First and With Cooperation, Everyone Wins:
Cosco has been following the principle of “Reputation first, win-win result” in its business practice. We believe that a company’s gain does not have to be based on weakening competitors or depriving its employees. Cosco aims to be a trust-worthy partner to its customers, competitors and employees. Cosco, along with other world-renowned shipping lines that include Yang Ming, “K” Line and Hanjin, formed the largest shipping alliance to enhance timely freight service worldwide and promote the healthy development of the container shipping market. Cosco also has established strategic partnerships with major shippers, venders and government agencies, including Sinopec, CNPC, Bao Steel, Haier, the Port of Qingdao, Samsung, ABB, Philips and others. Cosco strives to provide the best customized service to help our partners achieve their goals while improving our service capability and quality. Within Cosco, we put the utmost value on our employees and provide them with career growth opportunities. We respect local laws and regulations, recognizing our employees’ rights and economic needs. We support and encourage our employees to enhance their job-related skills and capabilities through continued professional development and career training. Our “Model Employee” selection honors not just Chinese staff but Cosco employees worldwide. Cosco’s responsible organizational practice enhances the company’s cohesiveness. Employees are proud to be called “Cosco people.”
Voluntarily Perform Social Responsibilities to Build a Harmonious Society:
While Cosco makes great efforts to maximize its economic performance, we also actively aim to make a positive social impact. In 2005, Cosco raised RMB100 million and formed Cosco Charity Foundation, the first of its kind founded by a Chinese enterprise. Since its establishment, Cosco Charity has made many charitable donations, including RMB450 million in total to the recoveries of the Indonesia tsunami Wenchuan earthquake in Sichuan, China. In recent years, Cosco has actively participated in international promotion of public welfare issues. Cosco became a member of the United Nation’s Global Compact and strictly follows its principles in the areas of development, human rights, labor and the environment. Cosco invest hundreds of millions of reminbi in environmental protection and product quality improvement every year. One example of this is Cosco’s heavy investment in the building of double-hull tankers, reflecting its responsible attitude towards the global common interest and the living environment of all humans.
Over the past 50 years, Cosco has developed a vibrant and distinguished business culture. It has effectively extended the Cosco spirit; promoted the Cosco brand; built the Cosco team; and promoted Cosco’s development. We believe that an open, inclusive and innovative business culture will further enhance Cosco’s core competence and serve as the spiritual strength and cultural foundation of Cosco’s development into a world-class multinational enterprise.
