Prime minister seeks ways to lower logistics costs and says Lach Huyen holds the key.
A deep-water port will open this month in Haiphong in northern Vietnam, according to a report in Nikkei Asian Review.
Construction on the Lach Huyen International Gateway Port began in 2013 and is a Vietnamese-Japanese joint venture, according to a report in Ship Technology.
With 14 meters of water, the new terminal will be able to accommodate larger ships than existing river terminals around Haiphong, Nikkei said.
The port website said the terminal will be able to accommodate containerships with a capacity of 4,000 to 6,000 TEUs.
Meanwhile, the Vietnamese company Gemadept said it also received its first vessel call in February at Nam Dinh Vu Port, one of three it operates in Haiphong.
Nikkei reported Vietnam Prime Minister Nguyen Xuan Phuc has said the Lach Huyen port holds the key to Vietnam’s maritime strategy.
A report from the country’s official Vietnam News Agency said that the prime minister has said high logistics costs have become a major barrier for businesses and reduced the competitiveness of Vietnam’s economy. “Ways to reduce logistics costs and improve transport connectivity” were the main topics of a national conference held in Hanoi on April 16 that Phuc chaired, it said.
The article said a World Bank report showed that the expenses for logistics services accounted for 20.9 percent of Vietnam’s gross domestic product, of which transportation costs amount to 59 percent.
Clarification: Although the port’s website says it will have a draft of 14 meters and will be able to accommodate containerships between 4,000 TEUs and 6,000 TEUs, with the potential to accommodate 8,000-TEU ships after expansion, MOL and Wan Hai revealed in May 14 press releases announcing the port’s opening the prior day that the berth depth is 16 meters (with a channel access/turning basin depth of 14 meters) and it can handle 14,000-TEU containerships. See today’s story for the latest coverage.