Texts and photos by Monsi A. Serrano
KAOHSIUNG, TAIWAN – Today, ports are more than just gateways for cargo. In trade-dependent economies like the Philippines and Taiwan, they serve as crucial economic stabilizers, especially during peak seasons. How a port system handles surges can determine whether supply chains run smoothly or create bottlenecks that drive up the cost of goods, ultimately impacting consumers.
Taiwan’s global maritime system, exemplified by Evergreen Marine Terminal 7 at Kaohsiung Port, offers valuable lessons for maritime economies across the region, including the Philippines.
During my recent coverage of Taiwan’s port operations and an interview with Captain Wu Kuang Hui, President of Evergreen Marine Corporation, one message was clear: modern port competitiveness is built on integration, not scale alone.
“Terminal 7 demonstrates how a highly automated terminal can operate, from the ship side to the gate and the yard,” Captain Wu explained, highlighting Evergreen’s end-to-end approach to smart port operations.
Peak seasons test port systems
In the Philippines, port activity predictably spikes during the year-end “Ber months,” when imports surge ahead of the holidays. Retail replenishment, manufacturing inputs, and consumer demand converge, compressing operations and stretching logistics networks—especially in and around Metro Manila.
Even with preparation, peak periods expose operational bottlenecks. Congestion delays transshipment and inland cargo movement, increasing vessel turnaround and truck dwell times. These inefficiencies translate into higher demurrage, detention, and logistics fees, which ultimately raise costs for consumers and businesses.
Taiwan experiences similar trade cycles, but its ports are structured to absorb volume surges without disrupting flow.
Integration as a strategic advantage
At Kaohsiung Port, Terminal 7 operates as a unified digital ecosystem. Ship-to-shore cranes, yard operations, truck gates, customs data, security systems, and even energy use are interconnected and monitored in real time from a centralized control center.
Automation reduces dependence on manual processes, while contactless, OCR-enabled gate systems let trucks enter, load, and exit efficiently. Remote crane operations improve safety and consistency, and dedicated traffic lanes cut congestion, idle time, fuel consumption, and emissions.
This integration doesn’t eliminate peak demand—but it softens its impact, allowing terminals to maintain predictable performance even during high-volume periods.
Strategic location matters
Kaohsiung Port’s layout reinforces its operational efficiency. Positioned outside central business districts yet accessible to major roads and logistics networks, it avoids the urban bottlenecks common to inner-city ports. Smooth cargo flows between the port and industrial zones strengthen Taiwan’s role in global transshipment, exports, and trade partnerships.
The result is a maritime system where port operations, inland logistics, and industrial activity are aligned—supporting trade growth without overburdening urban infrastructure.
Optimizing before expanding
Another lesson from Taiwan: infrastructure development is disciplined and strategic. Evergreen consolidated and modernized existing facilities rather than building entirely new terminals.
“We transferred operations from the old port and integrated existing container centers into one modern terminal, step by step,” Captain Wu said.
The results are measurable: Kaohsiung Port handled 3.3 million TEUs (Twenty-foot Equivalent Unit) before Evergreen’s expansion; today, it reaches 4 million, with a future target of 6.5 million TEUs. Optimization, automation, and planning unlock capacity without unnecessary duplication.
Sustainability embedded in operations
Terminal 7 integrates sustainability at its core. Fully electrified, it employs energy-efficient container-handling equipment, solar power, onsite wastewater recycling, and LED lighting. A SCADA system monitors energy use in real time, supporting carbon-reduction goals while boosting efficiency.
As global shipping lines align with decarbonization and ESG standards, such features are competitive advantages, not optional investments.
A forward look: Luzon Economic Corridor
The Philippines can reshape its logistics landscape through the Luzon Economic Corridor, a multi-year initiative linking Subic, Clark, Metro Manila, and Batangas.
When fully realized, the corridor could maximize port capacity in Subic and Batangas, reduce pressure on Metro Manila gateways, and improve cargo flow between ports, industrial zones, and consumption centers. Improved inter-port and inland connectivity would shorten delivery times, lower congestion-related delays, and reduce logistics costs.
For consumers, manufacturers, and exporters, this translates into reliable, cost-efficient trade operations, enhancing competitiveness in global markets.
Key takeaways for Philippine ports
Taiwan’s experience offers a practical roadmap for Philippine ports: integrate digital systems, expand contactless and automated processes, and use technology to manage peak-season demand. The key lesson is clear, adaptation, not imitation.
Taiwan’s maritime system demonstrates how ports can evolve from congestion-prone choke points into intelligent trade platforms. As regional trade intensifies and peak seasons grow more pronounced, resilience, not just capacity because it addresses the port’s competitiveness.
For maritime economies like the Philippines, Kaohsiung offers a timely reminder: technology integration, strategic location planning, and forward-looking infrastructure are no longer future goals—they are present-day necessities for sustaining growth and safeguarding trade flows.