News / Wan Hai launches another regional loop as India-Vietnam trade expands

Taiwanese carrier Wan Hai Lines is targeting the trade expansion between India and Vietnam as the regional supply chain dynamics change.

The carrier has launched an intra-Asia loop linking Cat Lai Port (at Ho Chi Minh City) with Chennai, a gateway to southern India.

Deploying four 2,200 teu ships, the Tamil Nadu–Thailand Express (TTX) will offer a rotation of Cat Lai-Laem Chabang-Singapore-Port Kelang (North)-Chennai-Visakhapatnam-Port Kelang (North)-Singapore-Cat Lai – a 28-day round-trip.

“This new service will help to expand Wan Hai Lines’ network by providing direct delivery from Vietnam and Thailand to East India,” the Taiwanese operator said. “It will provide customers with better frequency and service coverage.”

The service will begin with the 20 April departure of Wan Hai 317 from Cat Lai Port, arriving at Chennai on 4 May.

Wan Hai already has an expansive network of services out of India for trades to and from Asia, especially China and the Middle East.

It claims the TTX will be a boon for East India shippers increasingly sourcing raw materials and semi-finished goods for their production verticals, which have seen increased investment in recent years due to the trade diversification.

Bilateral trade between India and Vietnam stood at some $15bn in fiscal year 2023-24, with Indian imports from Vietnam pegged at $9.5bn, versus the $5.5bn worth of goods it exported to Vietnam, according to available data.

Tamil Nadu State, in particular, has emerged as a national hub for automotive and electronics manufacturing, and which sources believe has the potential to provide significant cargo scalability for container lines.  For example, contract manufacturing by Foxconn and Pegatron of Apple iPhones has been a big push for industrial development in the region.

The state features four container ports – Chennai, Kattupalli, Ennore and Tuticorin – with feeder or regional lines for transhipment trades dominating the supply chain ecosystem. On the mainline/long-haul front, the Maersk/Hapag-Lloyd Gemini Cooperation has regular calls at Ennore for Europe, while South Korean liner HMM has converted Kattupalli into a hub for Indian coverage.

“More ocean capacity helps a steady supply of raw materials to support manufacturing in Tamil Nadu,” said Pushpank Kaushik, CEO and head of business development for Indian subcontinent, Middle East & SEA at Hyderabad-based Jassper Shipping.

“With that, India’s industrial and trade ecosystem is strengthened, creating new opportunities for economic growth,” he told The Loadstar.

Ocean rates for backhaul Asian trade to India have been relatively stable and strong in recent months, prompting a wave of new services from major and regional lines.

Average booking rates from Ho Chin Minh to Chennai now stand at $750 per teu and $1,500 per feu, according to data from industry sources.