Keith Svendsen, CEO of APM Terminals, recently emphasized the importance of productivity from existing port infrastructure and stated that the future growth of this sector relies more on capital discipline and operational efficiency than merely adding cranes and extending docks.
The Necessity of Long-Term Decision-Making
In this interview, Svendsen referred to the importance of capital decision-making with a multi-decade perspective and said that since port contracts typically last between 30 to 50 years, investors should exercise greater caution in their choices. He pointed out the advantages of deep-water terminals in suitable locations, considering them irreplaceable assets.
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Maximizing Existing Infrastructure
The CEO of APM Terminals also stressed the need to extract more capacity from existing infrastructure. According to him, APM Terminals' hub centers, which support the company's Gemini network, currently handle more than 70% more cargo than a decade ago. This increase in efficiency is related to the company's Lean-based operational system.
Svendsen also warned in this interview that technology or investment costs cannot replace operational discipline, stating, "Without operational discipline, you are merely purchasing a larger version of the same problem."
APM Terminals is currently the third-largest container terminal operator in the world by total cargo volume, according to DynaLiners' ranking in 2025.
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