As reported by newswire Yonhap, the K-UPA centre will be located in Dong Nai to allow South Korean SMEs to store goods at room or low temperatures. The Ministry of Oceans and Fisheries has been working with the state-run Ulsan Port Authority to launch the project in collaboration with South Korean logistics firm KCTC.

With an estimated capital of $14.3 million, the facility will feature 12,000 square metres of warehouse space with a storage capacity of 4.3 million pallets of goods.

Under the joint venture, the Ulsan Port Authority will hold an 80 per cent stake, while the Vietnamese subsidiary of KCTC will retain the remaining 20 per cent.

"When the centre opens its doors, it will significantly enhance the export competitiveness of South Korean firms operating in Southeast Asia," Oceans Minister Kang Do-hyung said.

The centre is slated to be put into preliminary operation in December 2024, with full service being scheduled to begin by July 2025. South Korean SMEs will enjoy discounts of around 10-15 per cent.

Established in 2008, KCTC Vietnam has become one of the leading third-party logistics companies in the country, providing optimal solutions to meet the needs of all customers.

Meanwhile, as the port's governing body, the Ulsan Port Authority has developed its site into a competitive hub for shipping and logistics.