The Port of Melbourne has announced that it has joined forces with the world’s largest container port to establish a green shipping corridor between the two locations.
The agreement between the Port of Melbourne and the Port of Shanghai was formalised during the 2025 North Bund Forum in Shanghai on October 19.
The joint initiative, supported by the C40 Cities Climate Leadership Group, brings the two ports together in response to the Clydebank Declaration and broader efforts to decarbonise the maritime supply chain.
Under the Memorandum of Understanding (MoU), the parties will collaborate with industry partners to reduce the environmental impact of shipping. They will focus on environmentally sustainable practices, such as adopting cleaner technologies, using renewable energy sources, and implementing best industry practices. The ports will also work with shipping lines to promote the adoption of clean fuels between the two destinations.
Both ports will also explore opportunities to work with energy suppliers to accelerate breakthroughs in production technologies, improve efficiency and cost control, and develop an integrated supply chain solution covering production, transportation, and storage — ultimately enhancing low-carbon fuel supply capacity.
“This memorandum represents a significant step forward in our efforts to decarbonise the supply chain. As an island nation that relies heavily on sea freight, Australia has a key role to play in global efforts to reduce shipping emissions,” said Saul Cannon, CEO of the Port of Melbourne.
“As Australia’s largest container port working alongside the world’s largest container port, we are in a strong position to lead by example and guide the industry toward a greener future. We look forward to working with our industry partners to advance this initiative.”
As part of this partnership, the Port of Melbourne and the Port of Shanghai will aim to:
- Collaborate with industry partners (including Shanghai International Port Group (SIPG), COSCO SHIPPING Lines, HAMR Energy, and ABEL Energy) to explore opportunities for implementing measures that reduce the environmental impact of the shipping industry;
- Focus on environmentally sustainable practices, such as adopting cleaner technologies, using renewable energy sources, and applying best practices to minimise the ecological footprint of shipping activities;
- Work closely with shipping lines to promote the use of clean fuels, with the goal of increasing the number of clean energy-powered vessels 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, aimed at boosting low-carbon fuel supply capacity.
China accounts for 50% of total container imports and 20% of container exports through the Port of Melbourne, making it the port’s largest trading partner. The high volume of trade between the two locations presents an opportunity to deliver tangible environmental benefits.
This agreement marks the culmination of an almost two-decade-long partnership between the Port of Melbourne and the Shanghai Municipal Transportation Commission (SMTC), which began in 2006.
