What Is a Pipeline Transport?

Pipeline transport is a method of transporting liquid and gas materials over a long distance using pipelines as a means of transport. It is a transport method that transports petroleum, coal and chemical products from the place of production to the market. A special component of mainline transportation. Sometimes, a pneumatic tube can do a similar job. It transports solid tanks with compressed gas and holds cargo inside. Petroleum products are more expensive to transport by pipeline than water, but still cheaper than rail. Most pipelines are used by their owners to transport their own products.

Pipelines are an ancient and young transportation method in China. As early as the 3rd century BC, China created the use of bamboo to connect pipes to transport brine.

In 2007, the total length of oil and gas pipelines built in China was about 60,000 kilometers, of which 17,000 kilometers were crude oil pipelines.

Social logistics costs account for the total logistics costs incurred by a country over a period of time. It is believed that when researching the cost of social logistics, people have taken the proportion of the total logistics cost of a country to the gross domestic product as a sign to measure the level of logistics service and logistics development in each country.

The calculation methods of social logistics costs vary from country to country. However, the logistics academia and practice in various countries have a generally accepted concept of social logistics cost calculation.

In the following, our country uses the American statistical method of calculating social logistics costs to illustrate the application of the above conceptual formulas.

Social logistics costs in the United States include three components: inventory holding costs, transportation costs, and logistics administration costs.

Among them, the cost of holding inventory refers to the cost of keeping the goods. In addition to the storage, damage, manpower and expenses, and insurance tax collection fees, it also includes the interest on the funds occupied by the inventory. In the calculation, data on the value of inventories were obtained from the National Income and Production Accounting Report of the US Department of Commerce, the Survey of Current Business Conditions, and the US Statistical Summary. Use this data to substitute AlfordBangs formula to calculate inventory holding cost. Among them, interest is the cost of inventory funds calculated based on the US commercial interest rate.

Inventory holding costs account for about 25% of the value of the goods. When performing logistics cost calculations each year, the proportion data in the table can be adjusted according to the specific conditions of the year.

Transportation costs include road transportation, rail transportation, water transportation, air transportation, freight forwarder-related costs, oil pipeline transportation and cargo owner costs. The transportation cost calculation data is based on the American Transportation Annual Report published by the American Inno Transportation Foundation.

Logistics administrative costs include order processing, IT costs, and management costs incurred by market forecasting, planning, and related financial staff. This cost is difficult to really count, and the United States is based on historical conditions and a fixed ratio determined by expert studies, multiplied by the sum of the inventory holding cost and the transportation cost. Since the first "American Logistics Annual Report" in 1973, the United States has always used 4% multiplied by the sum of inventory holding costs and transportation costs as logistics administrative costs.