Private sector proposes $10 billion international maritime centre

Oct 2nd at 13:32

02-10-2025 13:32:25+07:00

Representatives from the private sector have proposed the establishment of a $10 billion international maritime centre in Ho Chi Minh City.

At a meeting organised by the Vietnam Private Economic Panorama model (ViPEL) in Ho Chi Minh City on September 29, Pham Quoc Long, deputy CEO of Gemadept, said it was high time for the establishment of an International Maritime Centre in the greater Ho Chi Minh City region (after the merger with Binh Duong and Ba Ria - Vung Tau provinces in July).

Long noted that 60 per cent of global maritime trade passes through Asia and 30 per cent through the East Sea, while Vietnam's ports already handle around 800 million tonnes of cargo annually, leading the region in growth pace.

“Vietnam is losing about $1 billion annually due to a fragmented port system and low handling fees. If we link a maritime centre with a free trade zone (FTZ), a financial hub, and coastal services, we could become a vital link in the global supply chain,” he said.

It is estimated that the project will require about $10 billion over the next 5-10 years, mobilised through a public–private partnership.

The capital will be allocated to develop wharves, container yards, cold storage, ship repair logistics facilities, and supporting services within the FTZ and financial centre.

Long estimates that once fully operational, the centre could generate more than 20,000 direct and indirect jobs while boosting the competitiveness of Vietnamese goods.

Tran Tri Dung, deputy CEO of My Thuy International Port, stressed that the present moment is “as good as it gets”, with Vietnam having just hosted the World Congress of the International Federation of Freight Forwarders Associations.

“The maritime hub must be accompanied by a national logistics data system that integrates transport, import-export, and payments,” Dung said.

Pham Thi Ngoc Thuy, director of Private Economic Development Research Board (Board IV), praised the proposals and said they will serve as the foundation for the committee to refine the legal framework, preparing for a policy discussion on October 10 with the participation of enterprises and regulators.

“Proposals on maritime, logistics, industrial zones, or energy must be developed into concrete strategies with clearly defined short-term and long-term steps,” Thuy said.

Meanwhile, Nguyen Thanh Binh, CEO of Gemadept, said, "Don't wait for a perfect mechanism. We need to act while refining along the way and eliminate fragmented competition within the private sector to foster stronger collaboration."

According to Binh, deploying the Port Community System (PCS), a shared data platform for ports, enterprises, and regulators, will lay the foundation for an open port model, paving the way for an international-class centre.

Beyond seaports, Long also stressed the untapped potential of inland waterway transport, which could help reduce logistics costs currently accounting for 16-17 per cent of GDP.

“A 200-300 TEU barge can replace hundreds of container trucks. Yet, investment in waterways accounts for only 2 per cent of the transport sector's budget, leaving many bottlenecks unresolved,” he explained.

From a consulting perspective, the experts agreed that the Cai Mep-Can Gio area is the most viable location for the maritime hub.

The area currently handles 30 per cent of the nation's cargo, including over 70 per cent of containers, and could reach 50 million TEUs if its 23 km of wharves are fully utilised. However, businesses highlighted that a fuel supply base and a dedicated governance mechanism are still lacking.

ViPEL is one of four tasks assigned by the PM to Board IV, consisting of four committees that comprehensively cover major economic sectors. Among those, Committee II is in charge of infrastructure, seaports, logistics, and new energy. In 2025, ViPEL was assigned to set up a portfolio of key projects under the public–private co-creation mechanism, including 20 national projects, 200 provincial projects, and 2,000 landslide projects, serving as a model for the spirit of working together and sharing responsibility.