In Hong Kong, a significant initiative is underway to improve the logistics of chemical transportation. The Global Shipping Business Network (GSBN), a consortium focused on advancing sustainable global trade, has reached a key milestone in its efforts to digitalise cargo booking processes. This development has led to a partnership between COSCO SHIPPING Lines and Longxing Chemical Stock Co., aimed at enhancing the safe transport of hazardous materials.
At the centre of this initiative is carbon black, a flammable substance widely used in tyre manufacturing. Before shipping, carbon black must be certified as safe for transport, but the current certification process can be complex and burdensome. Customers often face intricate documentation requirements, while shipping companies deal with an overwhelming amount of paperwork, making the booking process inefficient.
To address these challenges, COSCO and Longxing Chemical launched a pilot project in December 2024. By utilising GSBN’s blockchain-enabled infrastructure, they aim to streamline the sharing and verification of safety certifications. Longxing Chemical, a prominent producer of carbon black, provides COSCO with necessary safety certifications that can be quickly verified through a network of accredited laboratories.
This collaboration places a strong emphasis on safety. Capt. Wuzhen, executive deputy general manager of Safety & Technology Management Division at COSCO, highlighted the company's commitment to prioritising safety in its operations. He stated that the focus is on prevention, ensuring the safety of personnel, the environment, vessels, and cargo.
Longxing Chemical's marketing director, Liu Sha, noted that employing blockchain technology not only facilitates the verification of safety certifications but also improves audit efficiency, contributing to a more secure transportation process.
As COSCO and Longxing Chemical work together, their efforts reflect a broader trend in the shipping industry, where companies are increasingly adopting technology to enhance operational processes. Bertrand Chen, CEO of GSBN, pointed out the importance of these advancements in meeting the rising demands of global trade while maintaining safety standards.
With GSBN continuing to expand its network and include additional laboratories, the future of chemical transportation looks more structured. Through their partnership, COSCO and Longxing Chemical are taking steps to improve safety and efficiency in the supply chain, establishing practices that may influence the industry as a whole. This collaborative effort highlights the ongoing need for effective solutions in the transport of hazardous materials.
