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Photo: VIMC
By Alison Koo
Chinese intra-Asia carrier Zhonggu Logistics and national line Vietnam Maritime Corp (VIMC) have launched a container shipping service connecting China’s Beibu Gulf with Vietnam and India.
Zhonggu, the largest operator of Chinese domestic container services, ventured into shipping during 2021’s Covid-fuelled boom with two China-Vietnam services.
The VIMC-Zhonggu collaboration, launched yesterday, will see both operators deploying a feeder vessel every three weeks from Qinzhou port, calling at Hai Phong and Kolkata.
Linerlytica’s Tan Hua Joo told The Loadstar: “India and Vietnam are 2 of the fastest growing regions for container shipping and trade between the two countries are also growing. However, the Zhonggu/VIMC service is largely symbolic as it uses small 500 teu ships with sailings every three weeks.”
Beibu Gulf, also known as the Gulf of Tonkin Economic Belt, encircles China’s south-western coastal region and is part of the government’s Go West strategy to boost the less-developed area.
Those involved expect the service to handle exports of Chinese goods such as glass, paper products, and electronics, and return with imports of wood chips, starch, spices, sandstone, and food products from Vietnam and India.
VIMC deputy general director Le Quang Trung said the service would further encourage trade between China, Vietnam and India, while Beibu Gulf Port Group GM Liu Shengyou said it would “foster integration between China’s Belt and Road initiative and Vietnam’s Two Corridors, One Belt project as a new shipping channel for provinces along China’s land-sea trade corridor is created”.
.Qinzhou and neighbouring Fangchenggang port in Beibu Gulf are set to handle more than 10m teu this year, up from 9m teu in 2024.
China remains Vietnam’s largest trade partner, exceeding $200bn ilast year, while Vietnam has been Guangxi’s largest trade partner for 26 years.
Amid growing Sino-US trade tensions, Vietnam has seen a jump in container exports as more manufacturers shift output to the South-east Asian country to circumvent US tariffs. India’s container shipping market has also seen rapid growth, driven by increased trade and government initiatives like Sagarmala, which has reduced logistical costs through port-led development.
VIMC wants to expand trade links with India, and plans to introduce container services to Chennai and Kattupalli ports this year.
Listen to this clip from The Loadstar Podcast to hear Bjorn Vang Jensen, EVP, Ocean, Easy Speed International Logistics, explain the many reasons why manufacturers are now rapidly moving out of China:
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