AD Ports Group, Ningbo Zhoushan Port Group to establish automotive logistics ecosystem
ABU DHABI (ALETIHAD)AD Ports Group and Zhejiang Provincial Seaport Investment & Operation Group Co., Ltd. (Ningbo Zhoushan Port Group), one of China's largest and most dynamic port operators, have entered into a preliminary strategic agreement to establish a comprehensive automotive logistics ecosystem connecting Chinese manufacturing capabilities with Middle Eastern, Central Asian, and African markets through integrated terminal operations, dedicated fleet services, and multimodal transport solutions.The agreement was signed by Captain Mohamed Juma Al Shamisi, Managing Director and Group CEO of AD Ports Group, and Tao Chengbo, Chairman of Zhejiang Provincial Seaport Investment & Operation Group Co. Ltd, at a ceremony marking the maiden voyage of UGR Zakher, the second LNG-powered vessel operated by United Global Ro-Ro (UGR), a Joint Venture formed between AD Ports Group and Erkport.Leveraging the established automotive sourcing of Ningbo Zhoushan Port and distribution capabilities of UGR and responding to the growing demand for vehicle exports from China, the agreement outlines plans to reciprocally develop Ro-Ro and automotive terminals at Ningbo Zhoushan Port and AD Ports Group's hub locations.Enhancements considered under this agreement include accommodating larger vessels, increasing vehicle handling capacity and reducing turnaround times at the ports. These improvements aim to boost operational efficiency while delivering world-class performance standards and customer service.Plans include using UGR as the designated Ro-Ro carrier, which has a specialised PCTC and Ro-Ro vessel fleet and operational expertise. UGR already operates Ro-Ro services connecting China with terminals in the Middle East, Asia and the Mediterranean.Al Shamisi said this preliminary strategic partnership marks a defining moment in both sides' efforts to establish smart, connected automotive corridors across continents. 'With our fleet and global experience in the Ro-Ro segment complemented by UGR's operations, we offer immediate vessel availability and operational excellence,' he stated.He added, 'With the introduction of our second LNG-powered vessel in the UGR fleet, it not only increases cargo capacity for our customers but also demonstrates our commitment to investing in a fleet that supports global decarbonisation. The continued expansion of our Ro-Ro operations is a key element of our growth strategy, particularly as demand for automobile exports from China continues to rise; we are also excited at the possibility of seamless multimodal connectivity by integrating the Middle Corridor's rail and maritime routes.'Chengbo stated, 'Ningbo Zhoushan Port, a key deep-water port in China, ranks first globally in cargo throughput and serves as a vital hub for world trade. The maiden voyage of the new UGR ship, UGR Zakher, at Ningbo Zhoushan Port marks a new phase in our strategic partnership with AD Ports Group. Leveraging the cooperation in car roll-on/roll-off services, we will further expand our business areas, enhance comprehensive cooperation in logistics, warehousing, green energy, and talent exchange, and inject strong momentum into the coordinated development of the China-Arab Economic Corridor.Moving forward, Ningbo Zhoushan Port will continue to embrace the principles of openness and cooperation, continuously improve its service functions, strengthen cooperation with ports along the Belt and Road Initiative, and contribute more to building a more open and inclusive global economic landscape.'UGR Zakher, with a capacity of 7,000 Car Equivalent Units (CEUs), mirrors the attributes of sister ship, UGR Al Samha, which was acquired earlier this year. Together, the two vessels boast the same lower greenhouse gas emissions thanks to the use of LNG, alongside improved energy and operational efficiencies.Technology integration will also be considered as per the agreement, including comprehensive digital platforms providing real-time visibility, predictive analytics, and automated coordination capabilities to enhance operational performance while reducing complexity and manual intervention.
In addition, the partners will explore synergies between sea and inland rail routes to create a comprehensive multimodal transport network through the Middle Corridor and offer alternative routing options for China-Central Asia-Europe trade flows.
Source: Aletihad - Abu Dhabi
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