Port of Melbourne has partnered with the world’s largest container port, Port of Shanghai, to establish a green shipping corridor between the two locations.
The agreement was formalised at the 2025 North Bund Forum in Shanghai, China, on 15 October, and was supported by the C40 Cities Climate Leadership Group.
Under this partnership, Port of Melbourne and Port of Shanghai will seek to:
- collaborate with industry partners (including Shanghai International Port Group (SIPG), COSCO SHIPPING Lines, HAMR Energy and ABEL Energy) to explore avenues to implement measures to reduce the environmental impact of the shipping industry;
- focus on environmentally sustainable practices such as the adoption of cleaner technologies, use of renewable energy sources and implementation of best practices to minimise the ecological footprint of shipping activities;
- work closely with shipping lines seeking to promote the adoption of clean fuels, with the goal of increasing the usage of clean energy-powered ships operating between Shanghai and Melbourne; and
- explore opportunities with energy suppliers to accelerate breakthroughs in production technology, improve efficiency and cost control and establish an integrated supply chain system covering production, transportation and storage to boost low carbon fuel supply capacity.
Port of Melbourne CEO, Saul Cannon, said this deal is instrumental for Australia’s decarbonising efforts.
“This initiative is a significant development in our work towards decarbonising the supply chain,” he said.
“Given Australia’s position as an island-nation that heavily relies on sea freight, we have a key role in global efforts to decarbonise shipping.
“As Australia’s largest container port working together with the world’s largest container port, we are well-placed to lead by example towards a greener future for our industry.
“We look forward to working with our industry partners to progress this initiative.”
China is Port of Melbourne’s largest trading partner, accounting for 50 per cent of total container imports and 20 per cent of container exports.
With the high volume of trade between both ports, this partnership has the potential to provide material benefits for the environment.
This milestone is also a culmination of a nearly two-decade partnership between Port of Melbourne and SMTC, which commenced in 2006.
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