Bangladesh and APM Terminals sign landmark $550 million investment agreement

Bangladesh has taken a major step toward strengthening its maritime and trade infrastructure with the signing of a concession agreement for the development of the Laldia Container Terminal in Chattogram. The project represents an investment exceeding USD 550 million, making it one of the largest Public Private Partnership (PPP) investments in the country’s history.

The agreement was signed between the Chittagong Port Authority (CPA) and APM Terminals – part of A.P. Moller-Maersk – together with local partner QNS Container Services Ltd. The concession agreement will allow APM Terminals to operate the terminal for a period of 30 years, which can be extended based on KPIs (key performance indicators). The Laldia Container Terminal will be fully designed, financed, built and operated by the investors – a first-of-its-kind model for Bangladesh’s port infrastructure.

Keith Svendsen, CEO, APM Terminals, said: “It is with great honour that we enter this agreement with Bangladesh, which underscores the great potential that this important market has. This greenfield project enables us to play an active role in supporting the growth of the local manufacturers, exporters, importers and the broader Bangladeshi economy. We are strengthening our commitment to the country with an aim of creating a safe and efficient terminal as well as creating skilled jobs for the future prosperity of the region.”

Strengthening partnerships for sustainable growth

The project is part of the Sustainable Green Framework Engagement between Denmark and Bangladesh, a bilateral initiative aimed at fostering green investment, job creation and sustainable economic relations.

Honourable Chief Adviser of the Government of Bangladesh, Professor Muhammad Yunus, said: “The Laldia Container Terminal demonstrates Bangladesh’s commitment to reform, transparency and investment-friendly growth. Laldia will be the country’s first green port and the single largest European foreign direct investment in Bangladesh. This landmark collaboration with APM Terminals will unlock new capacity for our exporters, reduce logistics bottlenecks and enhance our competitiveness in global markets. We look forward to seeing this world-class terminal drive new opportunities for our people and our economy over the next decades.”

Lars Løkke Rasmussen, Minister of Foreign Affairs of Denmark, said: “Maersk has been a long-standing partner to Bangladesh and an important driver of the strong commercial ties between our two countries. Today the company handles almost 30 percent of all containers in and out of Bangladesh. The investment in Laldia container terminal by APM Terminals is a powerful symbol of enduring and real partnership, and shows strong confidence in Bangladesh’s future.”

Rear Admiral S. M. Moniruzzaman, Chairman of the Chittagong Port Authority, said: “The Laldia Container Terminal will usher in a new chapter in our port ecosystem. Through this project, the capacity and efficiency of Chittagong Port will increase significantly, which will make the country’s trade flows more dynamic.”

Nurul Qayyum Khan, Chairman of QNS Container Services Ltd., said: “We are proud to partner in a project that will redefine Bangladesh's port infrastructure and demonstrate the strength of local enterprise in driving national progress. The Laldia Container Terminal is a testament to what can be achieved when international expertise and Bangladeshi entrepreneurship come together with a shared vision for sustainable growth. It will offer more robust and efficient supply chains for Bangladeshi exporters and importers and reduce the overall cost of doing business. Bangladesh is one of the fastest growing economies of the world, and with the graduation from LDC just around the corner, it's an ideal time for Bangladesh to experience the reduced cost of trade from cutting-edge technology and best practices of an ‘international standard’ terminal operator.”

Boosting national trade capacity and competitiveness

Once operational in 2030, the terminal will expand Bangladesh’s annual port handling capacity by over 800,000 TEUs (twenty-feet equivalent units), improving the country’s global trade efficiency and connectivity – helping the key engines of Bangladesh’s export economy such as textiles, apparel and manufacturing reach their import markets around the world.

The new deep-water facility will, over time, allow the Port of Chattogram to handle vessels potentially up to 6,000 TEU, compared to the current limit of 2,800 TEU. This advancement will reduce congestion, lower logistics costs for supply chain actors and support the continued growth of the export sector.

The project marks a pivotal leap in Bangladesh’s future port performance, positioning the nation as a competitive maritime hub in South Asia.

The terminal is expected to generate over 1,000 jobs during construction and more than 500 when in operation. Furthermore, it will create significant indirect employment across logistics, manufacturing and services, driven by knowledge transfer and industry-wide improvement. As part of APM Terminals’ policy on sustainable workforce development, training and apprenticeship programmes are being developed to support local skills and talent.

The ambition is to build one of South Asia’s first energy-efficient, low-emission terminals – aligned with net-zero principles and designed to support Bangladesh’s long-term climate goals. Laldia Container Terminal will be designed and operated in accordance with internationally recognised safety and environmental standards, ensuring a secure, efficient and reliable working environment.

Key features include:

• Electrified cargo handling equipment
• Solar power installations on terminal structures
• Shore power-ready systems enabling vessels to plug into the grid

These measures will reduce greenhouse gas emissions, noise and air pollution, benefiting employees, nearby communities and the environment.