Port connectivity and competition among container ports in Southeast Asia based on Social Network Analysis and TOPSIS

Abstract

The evolution of the single-hub container system in Southeast Asia into a multi-hub system, with several emerging container ports serving deep-sea container vessels and forming their feeder service network, may result in intense competition in the region and a transformation in the ports’ roles. Thus, major ports in the region have sought to enhance their competitiveness by offering improved cargo handling capabilities, well-developed infrastructure, and modernised facilities as well as increased service coverage and connectivity to more countries both directly and indirectly. Several major container ports in the area have taken full advantage of competitiveness to become new hub-ports in the area. To understand the dynamics of competition in this rapidly developing region more clearly, this paper presents an evaluation of connectivity of major ports. In addition, the competitiveness of the top ten Southeast Asian container ports is evaluated using the TOPSIS method and K-mean cluster analysis. The results indicate that the top ten ports are categorised into three groups, and while Singapore (Group 1) takes the most advantage of its connectivity, ports in Groups 2 and 3 may be able to enhance competitiveness by developing cargo handling facilities and infrastructure.