Donghae Port's First 'Vietnam Direct Flight Route' Established... Service to Begin in the First Half of Next Year

Starting the Establishment of a Northeast Asia Hub Port through the Opening of New Northern and Southern International Routes

Reference photo (East Sea Hub City Meeting) [Donghae City]

[Asia Economy Reporter Ra Young-cheol] The first new direct container route from Donghae Port in Gangwon to the New Southern Region (Donghae~Ho Chi Minh, Vietnam) is being established.

According to Gangwon Province on the 10th, as the first direct route from Donghae Port to Vietnam, two 1000 TEU-class vessels will be deployed in the first half of next year to transport cargo between Donghae Port and Ho Chi Minh Port within a week.

The province plans to maintain the route for at least five years to stably support import and export logistics.

It aims to attract 1.2 million tons (60,000 TEU) of wood pellets from Gangneung Yeongdong Thermal Power Plant imported from Vietnam annually, and 600,000 TEU of cargo exported to Vietnam annually, with 70% of the total cargo volume coming from within the province and the Seoul metropolitan area.

Vietnam is South Korea’s third-largest export country after China and the United States. Through the Vietnam headquarters established in 2017, the province will continuously support local companies in expanding their market channels in Southeast Asia and establishing export bases.

Gangwon Province and Donghae City expect to create 5,000 local jobs, attract 150 related companies, and generate a direct economic ripple effect of 560 billion KRW by 2030 following the opening of the Donghae~Vietnam route.

Once this route is connected to the inland logistics network, it is estimated that the inland logistics costs for export and import by companies in the province and the Seoul metropolitan area will be reduced by at least 20% compared to using Busan Port.

The opening of a route connecting the New Northern Region and the New Southern Region at Donghae Port is expected to establish Donghae Port as a hub port in the East Sea Rim, linking China’s two northeastern provinces, Russia’s Primorsky Krai, Japan’s western coast, and South Korea’s Seoul metropolitan area.

Choi Moon-soon, Governor of Gangwon Province, said, “As a foundation for building a carbon-neutral logistics network and a transverse logistics network across the Korean Peninsula, we will focus our capabilities on pioneering the future logistics paradigm of ports in the province, including eco-friendly ports and hydrogen ships.”

Meanwhile, the province will sign a memorandum of understanding (MOU) this afternoon at Gangwon Provincial Office with Donghae City, Donghae Regional Maritime Affairs and Fisheries Office, and SW Shipping Co., Ltd. to establish a regular container route at Donghae Port.

The main contents of the agreement include the shipping company preparing all necessary matters to open the New Southern Region regular route and to promote the opening of the New Northern Region (Russia) route within one year, while administrative agencies will provide policy support based on laws and ordinances.

SW Shipping Co., Ltd. owns Panamax and Capesize vessels and has been providing long-term coal transportation services to Korea Midland Power, Korea Southern Power, and Taiwan T.P.C. since 2008.

Starting with the establishment of a regular route with three sailings per month between Donghae and Ho Chi Minh, Vietnam, the company plans to newly open the New Northern Region route (Donghae~Russia Vostochny, Vanino) in 2023, investing a total of 285 billion KRW, and by 2030 plans to open routes to the Americas.

This content was produced with the assistance of AI translation services.