The Geography of Transport Systems Chapter 2 – Transportation Systems and Networks Concepts Copyright © 1999-2006, Jean-Paul Rodrigue, Dept. of Economics & Geography, Hofstra University, Hempstead, NY, 11549 USA.
[email protected] You may use the figures within for educational purposes only. No modification or redistribution permitted. For more information: http://people.hofstra.edu/geotrans
Concept 1
Transportation and Commercial Geography
Commercialization of Transportation
Global
l
ntia e t o P t Marke
Market Size
Integrated demand
Local
Standardization and integration
Expansion and interconnection Introduction (isolation / proprietary)
Time
Number of providers
Commercial and Transport Geography
Commercial Geography Transactions Movements Transport Geography
Global GDP, 2002
32.3%
34.2%
UnitedStates Japan Germany Other G7 Restof theworld
15.1%
12.3% 6.1%
Share of Global GDP Growth, 19952002
25 20 15 10 5 0 China
US
Other Asia
EU
Japan
Restof the World
World GDP per Capita, 2000 ($US)
Not Available Less than $2,000 $2,000 to $5,000 $5,000 to $12,000 $12,000 to $20,000 More than $20,000
Increases in U.S. Commercial Freight Shipments and Related Growth Factors, 1993–2002 Retail goods sales Wholesale goods sales Value of freight shipments Gross Domestic Product Manufacturer's goods sales Ton-miles of freight Tons of freight Employment Resident population 0
10
20
30
40
50
60
70
World Trade Flows, 2001 (billion $US)
255
Western Europe (1,677) 188
195
252 312
North America 376 (391)
207
333 205 287
Asia / Pacific (722)
96
Rest of the World (285)
174
Share of Asia in World Trade, 19802003
28 26 24
Exports Imports
22 20 18 16 14 12 10 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002
Value of U.S. Merchandise Trade with Canada and Mexico: 1994-2000
2000 1800 1600 1400 1200
Total TradewithCanada Total TradewithMexico Total U.S. International Trade
1000 800 600 400 200 0 1994
1995
1996
1997
1998
1999
2000
Global Inflows of Foreign Direct Investments, 1990-2003 (in millions of $US) 1,600,000 1,400,000 1,200,000
Developing countries Developed countries
1,000,000 800,000 600,000 400,000 200,000 0 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003
Worldwide Mergers and Acquisitions, 1980-2001 4,000
45% All Mergers Cross Border Mergers %Cross Border
3,500
35% 30%
2,500
25%
2,000
20%
1,500
15%
1,000
10%
2001
2000
1999
1998
1997
1996
1995
1994
1993
1992
1991
1990
1989
1988
1987
1986
1985
1984
0% 1983
0 1982
5% 1981
500 1980
Billions of 2000$US
3,000
40%
Transportation and the Supply and Distribution Chain
Supplier
Supply Transport
Customer
Activity Distribution Transport
Trends in International Standards by Technical Fields, 1980-1990 2500 1985 1990
2000 1500 1000 500 0 Mechanical engineering
Basic chemicals
Non-metallic materials
Ores andmetals
Information processing, graphics and photography
Agriculture
Others
0
500
Precision instruments
Other transportation equipments
Motor vehicles
Communication and electronics equipment
Electrical machinery
General machinery
Iron and steel
Chemicals
Value of Japanese Technology Imports with North America (in millions $US)
600
1986 1989
400
300
200
100
0
350
300
250
Precision instruments
Other transportation equipments
Motor vehicles
Communication and electronics equipment
Electrical machinery
General machinery
Iron and steel
Chemicals
Value of Japanese Technology Exports with North America (in millions $US) 1986 1989
200
150
100
50
Consumer Expenditures in the US by Age Group, 1988 100% 90% 80% 70%
Automobile related Savings Living related Education-related Medical
60% 50% 40% 30% 20% 10% 0% Under 24 years old
25-34
35-44
45-54
55-64
Over 65 years old
Consumer Expenditures in the Japan by Age Group, 1990 100% 90% 80% 70% 60% 50%
Automobile related Savings Living related Education-related Medical
40% 30% 20% 10% 0% Under 24 years old
25-34
35-44
45-54
55-64
Over 65 years old
Concept 2
Transport Costs
Components of Transport Cost
Transaction Costs
A
Friction of Distance
Shipment
B
Fixed and Operating Transport Costs
Mode
Fixed/Capital Costs
Operating Costs
Rail or Highway
Land, Construction, Rolling Stock
Maintenance, Labor, Fuel
Pipeline
Land, Construction
Maintenance, Energy
Air
Land, Field & Terminal Construction, Aircraft
Maintenance, Fuel, Labor
Maritime
Land for Port Terminals, Cargo Handling Equipment, Ships
Maintenance, Labor, Fuel
Conditions Affecting Transport Costs Condition
Factors
Examples
Geography
Distance, physiography, accessibility Packaging, weight, perishable
Shipping between France and England vs. shipping between France and the Netherlands
Economies of scale
Shipment size
Trade imbalance Infrastructure
Empty travel
A 747 compared to 737 (passengers) A ULCCbetween compared to aand VLCC Trade China the (freight) United States
Type of product
Mode Competition and regulation
Shipping coal Shipping flowers or wine
Capacity, limitations, operational Capacity, conditions limitations,
The Interstate
operational Tariffs, safety, conditions ownership
The European Union, The Jones Act
A bus compared to a car
Costs
Different Friction of Distance Functions 1
2
3
4
Zone Change Fixed Costs Distance
Transshipment Costs
Different Components of Transport Time Ti me
Transport Time
Timing
Distance Punctuality
Frequency
Average Length of Haul by Major Commodity Group, 2002 Gravel andcrushed stone Gasolineand aviation turbinefuel Fuel oils Wasteand scrap Alcoholic beverages Fertilizers Basic chemicals Woodproducts Coal Cereal grains Pharmaceutical products Machinery Plastics and rubber Electronic, electrical, and officeequipment Textiles, leather, and products 0
100
200
300
400
500
600
700
Freight Transportation Service Spectrum High Air Cargo $1.5 / lbs
Low TruckRail Intermodal Rail Carload Rail UnitWater 5 - 10¢ / lbs3¢ / lbs
Fastest, most reliable and most visible. Lowest weight, highest value and most timesensitive cargo.
1¢ / lbs0.5 - 1¢ / lbs 0.5¢ / lbs
Fast, reliable and visible. Range of weight and value. Rail intermodal competitive with truck over longer distances.
Slower, less reliable and less visible. Highest weight, lowest value and lest timesensitive cargo.
Shipment Size and Transport Costs
10000000 1000000
Shipment Size (lbs) Transport Charges ($/ton)
100000 10000 1000 100 10 1 Parcel
LTL Truck Truckload
Railcar load
Multirailcar
Unit train Barge load
Top 10 Commodity Groups Ranked by Value Per Ton, United States, 2002 Pharmaceutical products Electronic, electrical, and officeequipment Transportation equipment, n.e.c. Precision instruments and apparatus Tobacco products Textiles, leather, and products Machinery Motorized and other vehicles and parts Miscellaneous manufactured products Furniture, mattresses and lighting products CFS total
0
4,000
8,000
12,000
16,000
20,000
Transport Costs by Industry Type, 1999
Finance, Insurance&Real Estate Services Wholesale&Retail Communications &Utilities Manufacturing Construction Mining Agriculture, Forestry &Fishing
0
1
2
3
4
5
6
Transport costs per output (%)
7
8
9
FOB and CIF Transport Costs
Costs
Freight-on-Board
Cost-Insurance-Freight
}
Production Costs Distance
Estimates of Total Imports Freight Costs Relative to Imports (CIF), 1997
14 12 10 8 6 4 2 0 Total
Developed Developing
Africa
Asia
Europe
South America
Oceania
Zonal Freight Rates
Real transport cost
Costs
D1 D2
I
II
Flat zonal rate
III Distance
IV
Fixed and Variable Costs and Service in the Transportation System Characteris Fixed tic Infrastructure
Variable Costs
Examples
Highways, rail tracks, airports, ports
Trucks, railcars, planes, ships
Ownership
Mostly public
Mostly private
Lifespan
Very long (decades)
Rate of change Impact on service Competition
Slow
Short to average (5 to 20 years) Rapid redeployment
Shapes accessibility
Shapes level of service
Level the playing field
Source of comparative advantages
Averageannual miles traveledper vehicle
Fuel Costs Versus Annual Vehicle Mileage, United States, 1960-2000
13,000 12,500 12,000 11,500
R2 =0.8825
11,000 10,500 10,000 9,500 9,000 $0.06
$0.08
$0.10
$0.12
$0.14
$0.16
AverageCost Per Vehicle-Mile(2001dollars)
$0.18
$0.20
Concept 3
The Spatial Dimension of Transportation Networks
Types of Networks (under construction) Physical / structural Relational Distribution
Network Structures
Centralized
Decentralized
Distributed
Transport Structures
Node
Feeder
Link
Flow
Hub / Interface
Corridor Distribution Warehousing Financial / Insurance Retail / Wholesale
Centrifugal and Centripetal Networks Centrifugal
Centripetal
Point-to-Point and Hub-and-Spoke Networks Point-to-Point
Hub-and-Spoke
Hub
Detour Level in a Hub-and-Spoke Network A
1
D B
C
Impacts of Integration Processes on Networks and Flows Before Integration
Flows
Network
International border
After Integration
Cost, Revenue and Level of Network Coverage A
4
5 3
7
Cost: 10 10Revenue: 15 Benefit: 5
B
Cost: 12 Revenue: 18 Benefit: 6
C
Cost: 14 Revenue: 25 Benefit: 11
D
Cost: 19 Revenue: 29 Benefit: 10
Transport Rates and Network Structure
Low
Rate Average High
Topology of a Network
Unidirectional link Bi-directional link
Entry and exit
Link
Node
Exit Entry
Types of Network Topology Mesh
Linear
Hub-and-Spoke
Tree
Network Geometry and Number of Links For each node to be linked to anotherFor node all the nodes to be linked together Even number of nodesOdd number of nodes
Number of possible combinations For each node to be linked to all other nodes
Topology and Network Connectivity
A
C
B
D
B or C D Geographic Barrier
Network Length
Fully Connected Network
Minimum Network
Average Path Length
A
A Typology of Transportation Networks - I Relative location
Abstraction level
Concrete
Abstract
Orientation and extent
Number of edges and nodes 1 7
6
2
5
4 3 4
3
5 2
1
6
A Typology of Transportation Networks - II Modes and Terminals
Distance, road type and control of the vehicle
Port Maritime Rail
Railyard Road
Highway 100
50
125 km
Depot
Type of traffic
Continuous Divided
Secondary road
90 km
Volume and direction
t/hr 3500
8000
t/hr
A Typology of Transportation Networks - III Type of correspondence
Load and capacity
Hierarchical Non- hierarchical
0.3 0.9
0.7 0.5
0.7
Change (dynamics)
Pattern Linear Random Mesh
Transport Networks and Space
Transport Network
Space
Accessibility
Mode of Territorial Occupation by Transport Networks Overlap
Rail
Air corridor
Road ridor r o c ime t i r a M
Clearly defined
Vaguely defined
e”
rvic e s “No
Cellular coverage
Without definition
Network Strategies to Service a Set of Locations
A
B
C
D
E
F
Absolute and Relative Distance in a Network
10 km
30 minutes
Networks and Spatial Continuity A
B
C
Concept 4
Transportation Supply and Demand
Transport Supply and Demand
Aij i
Modal Supply Intermodal Supply
j
Tij i
Realized Demand Potential Demand
j
Ton-Miles of Freight Transported within the United States, 1975-2000 (millions) 4,000,000 3,500,000 3,000,000
Air Water Pilelines Truck Rail
2,500,000 2,000,000 1,500,000 1,000,000 500,000 0
1975
1980
1985
1990
1995
2000
Ton-Miles of Transported Freight, United States, 1960-2003 (millions) 16,000
1,400,000 1,200,000
Intercity truck Rail Coastal Air
14,000 12,000 10,000
1,000,000
8,000
800,000
6,000
600,000 400,000
4,000
200,000
2,000
0
1960
0
1965
1970
1975
1980
1985
1990
1995
2000
2005
Air
1,600,000
Passenger-Miles Transported within the United States, 1975-2004 (millions) 4,000,000 3,500,000 3,000,000 Rail Urban Transit Bus Car Air
2,500,000 2,000,000 1,500,000 1,000,000 500,000 0 1975
1980
1985
1990
1995
2000
2004
Quantity of Passengers or Freight
Growth Factors in Transport Demand
Passengers Freight Growth in production and consumptio n Income growth
s m k n-
o r e ng
o t r
e
s as
P
Industrial relocation Economic specializationKM Suburbanization
Average Distance
Factors behind Freight Transport Demand Economy Industrial location Spatial Structure International Agreements JIT practices and warehousing Strategic alliances Packaging and recycling Regulation and deregulation Fuel costs, taxes and subsidies Infrastructure and congestion Safety and environmental policies Technology
General derived demand impact. Linked with the GDP. Function of the structure of the economy in terms of resources, goods, and Effect on ton-kms and on modal choice. services. Effect on ton-kms. Function of international trade structure. Containerization and intermodal transportation. Both concerning trade and transportation. Economic specialization. Increased transborder traffic. Simplified custom procedures. Decreased inventories. More shipments. Smaller line hauls. Shift to faster and more reliable modes. Use of 3rd party logistics providers. Between carriers, shippers and often producers and retailers. Lower distribution costs. Increased transportability of products. Lower freight density. Reverse distribution. Increased competition, level of service and lower costs. Growth of intermodal transportation. Large and volatile cost components, specifically for energy intensive modes. Preferred mode or carrier. Efficiency, operating costs and reliability. Operating speed, conditions and costs. Capacity and weight limits. Containerization, double-stacking, automation and robotics, handling and interchange systems and automated terminals. Information systems (IDE). Lower costs, increased efficiency and reliability and new opportunities.
Share of Total Domestic Freight Activity by Mode, G7 Countries, 1996
%of total domestic metric ton-km
100% 80%
Road Rail Oil Pipeline Water Air
60% 40% 20% 0% Canada
France Germany
Italy
Japan
United United Kingdom States
Share of Total Domestic Passenger Activity by Mode, G7 Countries, 1996
%of total domestic passenger-km
100% 80% 60%
Rail Road Air
40% 20% 0% Canada
France
Germany
Italy
J apan
United Kingdom
United States
Major Supply Variables for Transportation Modes Rail
•Lanes •Tracks •Width •Grade •Speed limit •Parking
Air •Corridors
Maritime •Canals •Locks
VehiclesTerminals Routes
Road
•Yards •Runways •Docks •Transshipment•Dockways •Transshipment
•Speed •Speed •Speed •Speed •Passengers •Passengers •Passengers •Tonnage •Tonnage •Tonnage •Tonnage
Atmospheric Conditions
Impacts of Modal Competition and Intermodal Capacity on Transport Supply C
1
C = T(A) + T(B)
Traffic
T(A) Modal Competition Mode A
Mode B T(B) Assignment
2
Capacity
C(A) C(B) T(AB) = C(B)
Terminal A
Intermodal Capacity
Terminal B
Classic Transport Demand / Supply Function
Cost Demand D
Elasticity =
T 2 − T1 C 2 − C1
Supply
S1
S2
Equilibrium
C1 C2 T1
T2
Traffic
Transport Elasticity by Activity
100%
Emergency Commuting Major Purchase
Traffic
Special Event
Social Activities
0%
Recreation
Cost
Transport Supply, Demand and Travel Time
Traffic
Transport supply (A)
Transport Demand (T)
Travel time
Morning peak
Afternoon peak
T>A
T
Time of the Day