DP World and Zhejiang Seaport Group have inked a strategic partnership, it has been announced.
The partnership is aimed at strengthening port logistics and shipping routes between Jebel Ali Port in Dubai and Ningbo-Zhoushan Port in China, the parties shared.
Commenting on the move, Abdulla Bin Damithan, CEO and Managing Director of DP World GCC, said: “China is the UAE’s largest trading partner and we are committed to supporting the Belt and Road Initiative through this and other ventures.”
According to the two entities, they will work together to promote the construction of “low-carbon ports,” establishing an information-sharing mechanism, and share experiences in the construction of “green” terminals, the use of shore power and the refuelling of ships with fuel such as “green” methanol and LNG.
LNG, or liquified natural gas, is a fuel which consists primarily of methane, which is, over a 20-year period, over 80 times more potent than carbon dioxide. Dubbed a “transition” or “bridge” fuel by proponents, environmental groups call its rebranding greenwashing.
The collaboration between the two parties will also expand the application of “new energy,” encourage ships to use what the parties called “clean fuels”, and establish a “green shipping corridor” between Jebel Ali Port and Ningbo-Zhoushan Port, the two shared.
Logistics and transport is a heavy-emitting sector, contributing just over a third of global carbon dioxide (CO2) emissions. Global shipping alone accounts for roughly 3 per cent of global emissions, with forecasts projecting it could account for around 10 per cent of global GHG emissions by 2050. As such, accelerated decarbonisation of logistics and transport with real, proven solutions is crucial for keeping 2050 climate goals within reach.
Commenting on the partnership, Tao ChengBo, Chairman of Zhejiang Seaport Group and Ningbo-Zhoushan Port Group, said the UAE is an “important hub” for China’s Belt and Road Initiative and that the partnership will create opportunities for Chinese businesses to access customers across the Middle East, Asia, Europe and Africa.