What is multimodal transport? Advantages and applications: “Optimal solution” for modern supply chain (2025)

In the context of globalized trade and increasingly complex freight transport needs, multimodal transportation has become an effective logistics solution, helping businesses optimize costs, time and improve supply chain performance. So, what is multimodal transportation? What are its advantages and applications? Let's explore the details with Vietsun Logistics in this article!

1. What is Multimodal Transportation?

Multimodal transport is the use of a combination of at least two different modes of transport (e.g. road, rail, sea, air) to move goods from a location in one country to a designated location in another country, on the basis of a single multimodal transport contract.

The core of multimodal transport is “one carrier, one contract, one responsibility”. This means that the business only needs to work with a single transport unit, which will be responsible for organizing and coordinating the entire transport process, regardless of how many different modes are used.

For example, a container shipment being shipped from a factory in Vietnam to a warehouse in Europe could use multimodal transport as follows:

Road: Trucks carry containers from the factory to Vietnamese seaports.

Sea route: Container ships transport from Vietnamese ports to seaports in Europe.

Rail: Trains carry containers from the seaport to a train station near the warehouse.

Road: Trucks carry containers from the train station to the consignee's warehouse.

In this case, the business only signs one multimodal transport contract with one logistics company, and this company will take care of all the transportation by road, sea and rail.

2. Outstanding advantages of multimodal transport

Multimodal transport offers significant benefits to businesses compared to using each mode of transport separately:

Optimize transportation costs: Combining the most cost-effective modes of transportation for each leg of the journey reduces total logistics costs. For example, ocean freight for long routes is often cheaper than air freight.

Reduced management costs: Working with just one carrier reduces the cost and time of managing multiple contracts and different service providers.

Reduced transit times: Smooth coordination between modes of transport helps to reduce waiting time and transit of goods at delivery points.

Optimal shipping schedules: Multimodal carriers often have the experience and technology to plan optimal shipments, ensuring goods reach their destination as quickly as possible.

Single Responsibility: One entity is responsible for the entire shipping process, making it easy to trace and resolve any issues that arise.

Minimize damage and loss: Moving goods fewer times reduces the risk of damage and loss during transportation.

Meeting diverse transportation needs: Multimodal transport can meet the transportation needs of many different types of goods, from bulk cargo, container cargo to oversized and overweight cargo.

Connecting different geographical areas: Helps connect remote areas, countries without direct sea routes with major economic centers.

Reducing emissions: Choosing lower-emission modes of transport for each leg of the journey (e.g. rail, sea) can help reduce negative environmental impacts.

3. Common applications of multimodal transport

Common applications of multimodal transport

Common applications of multimodal transport

Multimodal transport is widely applied in many different fields and routes:

This is the most common application of multimodal transport, especially on long international routes. Combining sea with road or rail allows goods to be transported efficiently from inland factories to major seaports and vice versa.

For example, transporting textiles from industrial zones in Vietnam to consumer markets in Europe or North America often uses this form of transport.

Multimodal transport is also applied in domestic freight transport, especially for long routes and large volumes of goods. Combining rail or water with road helps reduce pressure on the road system and optimize costs.

For example, transporting coal from mines in the North to thermal power plants in the South can use a combination of rail and river.

Multimodal transport is the optimal solution for transporting goods whose size and weight exceed the limits of a single mode of transport, such as large industrial equipment and road and bridge structures.

For example, transporting wind power equipment from seaports to remote mountainous areas often requires a combination of sea, road and even river transport.

With the rapid growth of cross-border e-commerce, multimodal transport plays an important role in ensuring that goods are delivered to consumers around the world quickly and efficiently.

For example, orders from major e-commerce sites are often shipped by air for the international leg and then use a ground courier service to deliver to the customer's doorstep.

4. Factors to consider when choosing multimodal transport

Factors to consider when choosing multimodal transport

Factors to consider when choosing multimodal transport

To maximize the effectiveness of multimodal transport, businesses need to consider the following factors:

Type of goods: Characteristics, weight and size of goods.

Shipping Time: Delivery time requirements.

Transportation costs: Budget for logistics operations.

Origin and destination: Geographical location of the sender and receiver.

Transport infrastructure: The development and connectivity of transport modes in relevant areas.

Reputation and experience of the multimodal transport unit: Choose a capable and experienced partner to ensure the transportation process goes smoothly.

Conclude

Multimodal transport is a modern and effective logistics solution, bringing many benefits to businesses in optimizing the supply chain. With the ability to combine the advantages of many different modes of transport, multimodal transport is increasingly becoming the first choice for complex and global freight transport activities. Understanding the concept, advantages and applications of multimodal transport will help businesses make smart logistics decisions, contributing to improving competitiveness in the market.

Vietsun Logistics is ready to meet all multimodal domestic transportation solutions according to customer requirements.

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