Chinese shipping company COSCO is making use of Tesla’s expertise to digitize its international logistics operations, reports Nikkei Asian Review.
Apart from unsnarling the mess that shipping logistics has become amid the pandemic, the tie-up will also see COSCO sharing its shipping data with Tesla so that the EV pioneer can put the system through its paces at a Shanghai port.
“We have established a system to exchange shipping data in real-time, using blockchain technology,” says COSCO chairman Xu Lirong.
The Tesla system will take care of important functions, such as paperless work, amid the coronavirus crisis.
It will also try to reduce seaborne freight shipping fees that have risen since 2020, and combat the shipping industry’s shortage of containers.
With container distribution becoming snarled, Xu said that they were doing their utmost to stabilize logistics networks by proactively increasing the number of containers to raise their shipping capacity.
According to the Nikkei, the group’s shipping amount came to 1.34 billion tons in 2020, up 2.5% from the previous year.
COSCO Group currently calls at more than 1,500 ports in 160 countries. Greece’s Port of Piraeus, which the group has invested in, has become the biggest hub port in the Mediterranean.
Established in 2016 by the merger of China’s two largest state-owned shipping companies, COSCO – at the end of 2020 – owned the world’s third-largest fleet of container carriers.
Image and content: Rafael de Campos-Pexel/Nikkei Asian Review