Operation News

Saigon Newport Corporation Joins Hai Phong City Delegation to Enhance Cooperation with Gothenburg Port (Sweden) in the Logistics Sector

05/09/2024

Saigon Newport Corporation Joins Hai Phong City Delegation to Enhance Cooperation with Gothenburg Port (Sweden) in the Logistics Sector

As part of the official visit to Sweden and Finland, on the morning of September 4, 2024 (Sweden time) in Sweden, representatives from Saigon Newport Corporation joined the working delegation of the Hai Phong City People’s Committee, led by Mr. Le Khac Nam, Vice Chairman of the City People’s Committee. The delegation held discussions with Gothenburg Port—the largest seaport in Northern Europe—with the aim of strengthening cooperation in the logistics sector.

Within the framework of an official visit to Sweden and Finland, on the morning of September 4, 2024 (Sweden time), in Sweden, the delegation of the Hai Phong City People’s Committee, led by Mr. Le Khac Nam, Vice Chairman of the Hai Phong City People’s Committee, held a working session with the Port of Gothenburg—the largest seaport in Northern Europe—to enhance cooperation in the logistics sector.

Mr. Richard Mellgren (standing, right) introducing the Port of Gothenburg

In attendance from Hai Phong City were Mr. Nguyen Van Thanh, Director of the Department of Industry and Trade, Permanent Vice Chairman of the City’s International Integration Steering Committee; Ms. Nguyen Thi Bich Dung, Director of the Department of Foreign Affairs; Mr. Pham Van Huy, Deputy Director of the Department of Transport; Ms. Truong Binh An, Deputy Director of Hai Phong Customs Department; and Colonel Bui Van Quy, Deputy General Director of Saigon Newport Corporation.

From the Swedish side, the meeting was attended by Mr. Martin Jonsson, Global Program Director of the Swedish Trade and Investment Council; representatives of the Gothenburg Business Region Development Agency; and Mr. Richard Mellgren, Senior Director of Business Development, Sales and Marketing, Port of Gothenburg.

Representing the Vietnamese Commercial Affairs Office in Sweden, responsible for the Nordic region, was Ms. Nguyen Thi Hoang Thuy, Director of the Ministry of Industry and Trade, Commercial Counselor, and Head of the Trade Office.

The Port of Gothenburg is the largest port in Northern Europe

The Port of Gothenburg is the largest port in Northern Europe, with more than 11,000 ship calls per year from over 140 destinations worldwide. It is the only Swedish port capable of accommodating the largest, most modern ocean-going container vessels. Gothenburg handles nearly 30% of Sweden's foreign trade, processing 39 million tons of goods annually.

At the working session, Mr. Le Khac Nam provided a brief overview of the socio-economic development of Hai Phong City, highlighting Hai Phong as a reliable and attractive destination for both domestic and foreign investors. Currently, Hai Phong ranks second in the country for foreign direct investment (FDI) attraction, with $3.6 billion in FDI. As of the end of August 2024, the city had 965 active foreign-invested projects with a total registered capital of nearly $31 billion from investors from 39 countries and territories.

Regarding seaports, Hai Phong holds a significant advantage with the largest port system in Northern Vietnam. Cargo throughput at Hai Phong Port reaches approximately 200 million tons per year, projected to reach 300 million tons per year by 2025. Among these, Lach Huyen Port is one of the 20 deep-water ports globally, connecting directly to America and Europe without transshipment through a third country, significantly reducing time and logistics costs. It can accommodate vessels with a capacity of up to 160,000 DWT.

The container terminal at Lach Huyen is currently under operation and in the process of investing in the construction of eight berths. Of these, Berths No. 1 and 2, with a total length of 750 meters, are operational with a throughput capacity of 1.1 million TEUs per year, equivalent to 14.3 million tons per year. Berths No. 3 to 8 are under construction and are expected to be officially operational between 2024 and 2027. These berths can handle vessels with a capacity of up to 200,000 DWT, thereby establishing a modern, intelligent green port system in Hai Phong City, complemented by a post-port service system forming an internationally competitive port service center.

Currently, Swedish investors have three investment projects in industrial parks in Hai Phong, with a total investment of $48.37 million in the fields of battery production, hardware, and textiles.

Regarding seaport and logistics development orientation, Hai Phong City aims to build and develop Hai Phong into a key national and international seaport and logistics service hub. Hai Phong City always values and supports cooperation while committing to creating a favorable and equitable business and investment environment for foreign investors.

Mr Bui Van Quy, Deputy General Director of Saigon Newport Corporation (SNP) introduces SNP’s system of 16 ports across the country

During the meeting, a representative from Saigon Newport Corporation introduced its system of 16 ports stretching from North to South, including two deep-water port clusters with direct shipping routes from Hai Phong (TC-HICT) and Cai Mep to America and Europe. This presents a significant opportunity for shipping lines to deploy direct services to Gothenburg Port—Sweden in the near future. This development requires the collaboration of stakeholders such as shipping lines and import-export businesses.

Earlier, in an interview with Industry and Trade Newspaper when attending Vietnam International Sourcing 2023 in Vietnam, Mr. Richard Mellgren shared that the Port of Gothenburg was eager to connect with Vietnamese businesses, hoping to find mutually beneficial areas to enhance trade between the two countries. “The Port of Gothenburg also looks forward to meeting Vietnamese companies, and businesses in Vietnam can reach out to us for consultation when shipping goods to or from Sweden. The Port of Gothenburg is the largest port in Sweden, and we have an extensive rail network connecting Gothenburg to several inland terminals from the south to the north of Sweden (and even Oslo, Norway). We can work together to facilitate Vietnamese companies’ cargo transport more efficiently,” Mr. Richard Mellgren shared.

In 2023 and 2024, the Vietnamese Commercial Affairs Office in Sweden has led Nordic business delegations to Vietnam to attend Vietnam International Sourcing, organized by the Ministry of Industry and Trade. In 2023, the Port of Gothenburg was one of the ports that participated in the business delegation. In Vietnam, the Port of Gothenburg visited the Tan Cang Hai Phong International Container Terminal (TC-HICT), a subsidiary of Saigon Newport Corporation, and explored cooperation prospects between the two sides.

The delegation visits Gothenburg Port

Today’s working session continues the orientation of both sides in strengthening cooperation in ports and logistics, facilitating direct trade between Vietnam, specifically Hai Phong, and Northern Europe, thereby increasing import and export turnover. At the end of the session, the parties agreed to sign Memoranda of Understanding (MOU) within the framework of the Vietnam-Sweden Business Forum 2024 on September 6, 2024, in Stockholm, Sweden.

These MOUs aim to promote market expansion, exchange experiences in port operations, especially in digital transformation, green transformation, sustainable development, and human resource development for the port operations, logistics services, and supply chain sectors.