The city of Chongqing has set up a fund for the development of the logistics industry, Xinhua reported.

The city government plans to spend CNY200 million (US$29.3 million) every year subsidising the city's major logistics operations and the weakest links in the industry.

Chongqing has been positioned to the logistics hub for southwestern China and one of the key hubs for the whole country according to China State Council's development plan. In order to realise the plan, Chongqing is to pour CNY164.3 billion on 175 logistics projects. By 2012, the city's logistics industry added value will reach CYN65 billion; port capacity of 3.5 million TEU.

Chongqing achieved a logistics industry added value of CNY36 billion and a cargo movement of 560 million tonnes in 2008.