Vietnam’s potential in cross-border e-commerce is increasingly tied to its ability to integrate logistics solutions that leverage technology and prioritize sustainability. Speaking at the 2024 E-Commerce Connectivity and Development Forum on November 26 at the Hanoi Museum, Dr. Yap Kwong Weng, CEO of Vietnam SuperPort, emphasized the role of multimodal logistics in addressing these demands. “With a multimodal logistics solution that integrates technological advancements and sustainable development, along with the ability to connect regional supply chains, Vietnam SuperPort will significantly boost cross-border e-commerce in Vietnam,” he said.

The forum brought together industry leaders to explore the challenges and opportunities facing businesses engaged in cross-border e-commerce. Dr. Yap presented logistics initatives to enhance integration for businesses across Vietnam and the broader China-ASEAN region, where e-commerce is witnessing rapid growth.

Opportunities and challenges for logistics businesses

In 2023, Vietnam’s business-to-consumer e-commerce platforms recorded revenue of approximately VND498.9 trillion ($19.6 billion). Combined revenue of the top 5 platforms - Shopee, Lazada, Tiki, Sendo, and TikTok Shop - reached VND233.2 trillion ($9.2 billion), marking a 53.4 per cent increase compared to 2022, according to e-commerce data analytics platform Metric. Deloitte’s research also highlighted Vietnam as a rapidly-developing e-commerce market with robust growth potential.

However, logistics remains a key obstacle for businesses. Experts point to high costs and underdeveloped infrastructure as significant barriers to fully realizing Vietnam’s e-commerce potential. “Cross-border e-commerce requires a transparent and secure logistics system to ensure smooth processes,” Dr. Yap noted. “Additionally, the ability to connect domestic and international supply chain hubs is also a key issue that needs prioritization. Especially in the context of regulations aimed at greening the supply chain from production to end-user, the application of sustainable development solutions in logistics must also receive special attention.”

Strengthening seamless e-commerce across Asia

Located at the heart of the Northern Key Economic Region, Vietnam SuperPort directly connects to over 20 industrial parks, major seaports, and airports, extending to Yunnan and Kunming in China. The project also plays a key strategic role as a link in the ASEAN Smart Logistics Network (ASLN), connecting Vietnam with China and other ASEAN countries.

Leveraging the YCH Group’s nearly 70 years of logistics expertise, Vietnam SuperPort benefits from its connection to supply chain hubs across Asia. According to Dr. Yap, connectivity across Asia and a multimodal approach, integrating road, air, rail, and sea in a “one-stop” solution, allows businesses to access supply chain solutions across the region and flexibly choose the most cost-effective and suitable transportation method for their needs.

Leveraging technological advancements and sustainable development

Previously, at the Innovate Vietnam 2024, Vietnam SuperPort unveiled a comprehensive digital transformation roadmap leveraging cutting-edge technologies, including AI, to drive efficiency and sustainability in the logistics sector. Specifically, Vietnam SuperPort will collaborate with the YCH Group to develop AI-driven automation, warehouse robotics, and transport management solutions. These advanced technologies aim to enhance operational workflows, accelerate order fulfillment, and improve inventory control.

Vietnam SuperPort aims to strengthen cargo capacities at Vietnam’s terminals while enhancing support for SME growth across the country. This initiative seeks to collaborate with both local and international logistics companies to help develop the SME ecosystem, starting from northern Vinh Phuc province.He also shared about an innovative AI-powered logistics marketplace being developed by Vietnam SuperPort in collaboration with world-class partners. This platform is designed to link small and medium-sized enterprises (SMEs), financial institutions, and logistics providers worldwide, ensuring transparency and facilitating businesses’ access to capital.

Additionally, to support its goal of becoming the first net-zero logistics hub in Southeast Asia by 2040, Vietnam SuperPort will develop a blockchain-based environmental, social, and governance (ESG) management system to track carbon emissions.