Seaport enterprises "join hands" to expand logistics supply chain

Representatives of Long An International Port and Opascor (Philippines) signed a Memorandum of Understanding.

Collaboration to develop logistics services

In addition to investing in modern equipment to enhance services at ports, many enterprises engaged in port services have "joined hands" with foreign enterprises with the goal of developing services and participating in the global supply chain.

According to the assessment of many economic experts, if cooperation between Vietnamese seaport enterprises and leading and reputable partners from other countries in port operation activities is well developed and substantial, it will contribute to promoting import-export transportation activities between Vietnam and other countries.

Recently, on March 21, 2024, during the Port and Logistics Philippines 2024 Conference and Exhibition, Long An International Port and Opascor (Philippines) identified opportunities for cooperation and officially signed a Memorandum of Understanding, formalizing the cooperative relationship. Cooperation with Opascor will bring mutual benefits and cooperative activities in areas of mutual interest, including a commitment to developing smart ports, green ports, and sustainable development. This will be an opportunity for Long An International Port to become an internationally recognized and chosen port in Asia.

At this event, Vo Quoc Huy, Chairman of the Board of Directors of Long An Port JSC, shared about the strategic vision and desire for long-term cooperation with Opascor: "As neighboring countries in the ASEAN region, Long An International Port always wishes to connect cooperation opportunities with Opasco and the business community of the two localities, thereby building good relationships, sharing, and learning in port operation activities" - emphasized Huy.

In early March 2024, Saigon Port and Thanh Dao Port, a subsidiary of SPG Group (China), signed a memorandum of understanding and cooperation agreement in port operation. Working with the SPG Group, Director General of Saigon Port, Nguyen Le Chon Tam, shared that Saigon Port hopes to cooperate in connecting logistics to serve the development of import-export activities between the two countries. According to Tam, in 2023, the volume of goods through SPG was 1.7 billion tons of bulk cargo and 40 million TEUs; the volume of goods through Saigon Port including joint ventures was 20 million tons of bulk cargo and 2.5 million TEUs. The SPG Group operates in multinational fields, but the three most prominent areas are port operation, global supply chain management services, and logistics services. Accordingly, the two ports will cooperate in the maritime transport and logistics sectors, while Saigon Port and SPG will share experiences in green maritime transport initiatives, encourage more frequent professional exchanges and site visits, as well as research and study cooperation to promote knowledge sharing and innovation.

Developing the supply chain to the US

The US is the largest export market for Vietnam's goods. According to preliminary statistics from the General Department of Customs, in 2023, Vietnam's exports to the United States reached US$97 billion. To effectively exploit the supply chain between the two countries, support Vietnamese enterprises in exporting goods to the US, many Vietnamese seaports have chosen to cooperate with major ports in this nation.

At the end of 2023, during a working trip to attend the APEC Conference, the delegation from Hai Phong City visited and worked with many major ports in the US to cooperate in logistics services. In particular, to exploit the deep-water port cluster in Lach Huyen, capable of accommodating 200,000-ton ships and multi-modal connectivity in the international transport network, Hai Phong City has chosen to cooperate with New York and New Jersey ports, the largest ports on the East Coast of the US and an important gateway for multi-modal transport. The two sides committed to enhancing information exchange related to developed and emerging markets; industry research and related supply chain opportunities; organizing joint trade events in New York and New Jersey or Hai Phong City; sharing knowledge about emerging digital technologies; reducing carbon emissions; and energy transition.

As part of the development and improvement of the logistics operations chain, earlier, during a working session, the Hai Phong City delegation signed a Memorandum of Understanding on cooperation to research, invest, and develop Nam Do Son Comprehensive Port (Hai Phong) with the Port of Los Angeles, the Kinh Bac Urban Development Corporation, and Energy Capital Group.

Similarly, within the framework of a visit and working program in the US by the Long An Province delegation to connect businesses with the US in industries, digital transformation, import-export, services, and logistics, Long An International Port and the Port of Long Beach (USA) signed a Memorandum of Understanding to establish a relationship. Thereby, officially formalizing the sisterhood relationship between the two ports, opening up opportunities for cooperation, sharing experiences in management and operation of ports, and connecting markets to increase transshipment cargo volume, towards sustainable development. The event has contributed to promoting global trade and exploring growth opportunities between two key seaports in the Pacific region.

Assessing this cooperation, Mario Cordero, Executive Director of the Port of Long Beach, believed that the signing reflected the Port of Long Beach's desire to promote the signing of cooperation agreements not only in trade but also towards sustainable development, reducing emissions, and environmental friendliness. "Through this, we want to cooperate in the long term to make Long An International Port and the Port of Long Beach a bridge for the transshipment of goods from Vietnam to the US and vice versa" - emphasized Mario Cordero at the event.

According to Vo Quoc Huy, in addition to Long Beach Port, Long An International Port also cooperates with Oakland Port (USA). According to the cooperation memorandum signed in August 2023, Long An International Port and Oakland Port will closely cooperate in port operation areas, including: sharing experiences in port management, operation; promoting relationships to create markets to increase transshipment cargo volume between the two ports. Simultaneously, support to connect import-export enterprises, thereby enhancing trade connections between enterprises in Long An province and California State in particular, between Vietnamese enterprises and the US in general.