Sustainability and Smart Technology in Supply Chains, Law, and Economic Development: A Comparative Study of Logistics Performance in Smart Ports of China and Pakistan

Abstract

This research offers a comparative examination of how China and Pakistan’s recent port developments are revolutionizing the supply chain and logistics from the perspective of the interrelation of policy, law, and technology. It examines how these developments respond to the imperatives of sustainable development, aiming to reconcile economic development, environmental protection, and social justice. The extent to which policy and regulatory frameworks facilitate or undermine the adoption of technologies such as artificial intelligence and blockchain in port operations is also investigated. We provide a conceptual framework to examine the development of smartness in Chinese and Pakistani ports at the nexus of sustainability, emerging technologies, and supply chain logistics. This study engages in qualitative secondary data analysis, drawing on government policies, international reports, and the relevant literature. Against the backdrop of the peculiar development stages of Pakistani and Chinese ports, this study aims to identify the determinative policy and legal drivers that substantially improve both economic performance and environmental outcomes. This study aims to present a replicable model of sustainable port modernization, providing strategic direction to policymakers and port authorities in developing maritime countries.

1. Introduction

In recent years, the marine industry has undergone significant upheaval, particularly at ports, where smart technology and environmental considerations are becoming increasingly important. With technologies such as big data, artificial intelligence, and the Internet of Things, smart ports are transforming logistics operations, making them more effective and sustainable. Although environmental and technological conditions have evolved, there is a notable lack of discussion on how these conditions relate to new technologies, sustainability, and the law, particularly in developing nations. Optimize supply chain and logistics operations at smart ports. This study compares China and Pakistan to investigate the relationships among sustainability, cutting-edge technology, and the legal framework [1,2]. The two countries are among the world’s top commercial powers, with Pakistan’s port economy having substantial development potential. China’s ports rank among the busiest in the world [3]. How the port community and the broader economy can achieve sustainability goals, including carbon neutrality and resource optimization, through the intelligent integration of technology, such as lean efficiency, waste reduction, and process optimization, remains a question. Although smart port technologies have advanced significantly, China and Pakistan face particular challenges in implementing them [4]. Regulatory barriers, varied national sustainability goals, and disparate degrees of technological infrastructure complicate the deployment of smart technology in ports.

Smart ports are those ports that utilize new technology, such as IoT, AI (artificial intelligence), big data, etc., to work effectively and efficiently in cutting the cost for logistics management and supply chain management. Sustainability-rich performance refers to an organization or entity’s ability to meet today’s needs while ensuring the well-being of the environment and society in the future and to maintain financial strength in line with sustainable development objectives. Legal drivers encompass the regulatory environments, laws, and policies that guide decision-making within sectors, leading to adherence to standards and driving outcomes such as environmental protection, respect for labor rights, and ensuring safety. Why were Pakistan and China selected for this comparative study? The rationale behind these choices involves influential roles in global maritime trade, port development, and the adoption of smart technologies in logistics and supply chains.

Furthermore, considering the close geographical proximity between the two countries, coupled with their strong, brotherly relationship, this comparison holds particular significance. These, in combination with existing gaps in research, provide a reasonable basis for making Pakistan and China a suitable focus for the present study. The adoption of technologies and policies across countries is examined, with the aim of understanding their impact on economic and environmental performance, with the intention of closing the research gap.

This study aims to compare the economic and ecological outcomes of port development in China and Pakistan, analyze the policy and legal framework supporting smart port business, and evaluate the role of smart technologies in the development of sustainable port logistics [5]. It aims to guide industry leaders, port authorities, and policymakers on how to address the challenges of implementing cutting-edge, sustainable technologies in the global ports sector. The adoption of cutting-edge technologies, sustainability programs, and trade liberalization policies is driving significant change in the worldwide shipping and port sectors. The logistics and supply chain industries are undergoing a revolution thanks to the widespread deployment of smart ports [6]. Ports can become more ecologically sustainable, economically efficient, and operationally efficient through these innovations [7]. Two of the leading nations creating smart ports are China and Pakistan. China has invested heavily in port technology, especially in key marine cities such as Shenzhen, Ningbo, and Shanghai [8].

The Hainan Free Trade Port, created as part of China’s broader effort to liberalize and modernize trade and port operations, is a prime example. Since its founding, Hainan has emerged as a leader in integrating green practices, trade facilitation, and smart technology, as well as in developing a streamlined and effective port ecosystem [9]. The Hainan Free Trade Port optimized port operations, improved logistical transparency, and reduced carbon emissions by leveraging cutting-edge technologies, including blockchain, AI, and IoT, as well as implementing new regulations. As such, it is a case study that exemplifies best practices for evaluating the collaborations between smart technologies and sustainable port practices [10]. Taking Gwadar Port and Karachi Port as its flagships, Pakistan’s port sector is still in its infancy when it comes to sustainable development and digitization. Infrastructure issues, along with financial and regulatory matters, have hindered port modernization efforts [11]. The busiest port in Pakistan, Karachi Port, also implemented AI and automation pilot programs; however, adoption rates were below global norms.

The region’s commercial center, Gwadar Port, is falling behind in terms of technology and regulations [12]. A network of ports with distinct strategic and economic roles serves the Pakistani coast. The bulk and containerized cargo volumes are handled at Karachi Port, the country’s busiest and oldest commercial hub. Supported by a robust industry and urban conveniences, it serves as the nation’s gateway to global trade. The second-largest port in southeastern Karachi, Port Qasim, exports bulk goods, including fertilizer, coal, and grain. It is a part of the country’s industry because it is connected to the largest steel factory in the country and to the nearby industrial region. Baluchistan’s Port Gwadar is a cutting-edge deepwater port [13]. The China–Pakistan Economic Corridor (CPEC) plays a strategic role in stimulating regionally focused development while serving as a major transshipment hub and an economic gateway to landlocked Central Asia.

The local fishing industry is the primary driver of the other two ports, Pasni and Jiwani. Furthermore, the Pakistan Navy’s defense and maritime security heavily depend on specialized naval bases, such as Karachi Naval Harbour and Ormara [14]. Compare the supply chain and logistics development, sustainability initiatives, and smart technology in Chinese smart ports, with a focus on the Hainan FTP. This study examines the potential and drawbacks of these innovations, as well as their impact on improving economic and environmental performance in these nations (as shown in Figure 1, which depicts the port-technology nexus), and the investigation seeks to provide essential insights into the role of regulatory frameworks and government support in fostering intelligent, sustainable, and effective port ecosystems by analyzing Hainan’s experience and that of other major ports [15]. The remainder of this paper is organized as follows. Section 2 presents the background and literature review, with a focus on marital studies research. Section 3 discusses the data collection method and the data sources used in this study. Section 4 presents the results, which are discussed and analyzed in detail. Finally, Section 5 presents the conclusion, which includes this study’s findings, a discussion of this study’s limitations, recommendations for future research, and policy recommendations for Pakistan based on China’s successful model.

Figure 1. This model was created to understand research themes and knowledge.

2. Literature Review

2.1. Sustainability in Smart Ports

Sustainability is an increasingly pressing concern for the ports sector as the environmental impacts of proposed widespread port activity intensify. Ports around the world, from those in Pakistan to those in China, are adopting green initiatives to reduce their environmental impact. The plan aims to achieve an effective balance between efficiency and eco-friendliness, resulting in greater emission savings, the exploitation of renewable energy resources, and improvements in waste management techniques [16]. This response is based on the input provided and the given guidelines. Hainan Free Trade Port, through the effective implementation of green technologies within the infrastructure, such as the automation of cargo handling processes through the exploitation of clean technologies, hopes to be a pioneer for the green development of the country, China, given the proactive efforts to reduce carbon emissions within the infrastructure by the utilization of wind and solar energy resources at the Shanghai Port [17]. Pakistan’s ports have also made some progress in adopting green technologies. For example, the Karachi Port is soon to introduce greener terminal management processes and sustainable waste management methods, although it is still powered by traditional energy sources.

Port Qasim has started utilizing renewable sources in some of its facilities. Sustainability measures are also being given importance in the development of the Gwadar Port, which falls under the framework of the China–Pakistan Economic Corridor [18]. Although not yet fully exploited due to a lack of infrastructure development and investment, both countries’ legislation plays a critical role in the successful execution and maintenance of the mentioned sustainability measures, and maintaining supply chain carbon footprints is just one of a few instances of sustainable measures being integrated into ports’ processes, as indicated by recent studies [19]. According to the International Maritime Organization, the maritime transport sector accounts for between 2% and 3% of global greenhouse gas emissions, underscoring the need for immediate action through the integration of sustainable measures into port processes [20].

2.2. Smart Technologies and Artificial Intelligence

The application of artificial intelligence and other intelligent technologies proves crucial for improving supply chain and logistics management in ports. Artificial intelligence, in particular, can revolutionize the management of ports in every aspect, as it reduces human intervention, accelerates decision-making processes, and enhances the capability for forecasting future logistics needs. At the forefront of implementing artificial intelligence in their management are the ports in Shanghai and Shenzhen, China. Artificial intelligence-based technologies are effective in optimizing traffic flow, streamlining berth allocation, and automating cargo management processes at ports [21]. Furthermore, the Hainan Free Trade Port places high importance on the implementation of artificial intelligence in its management to optimize processes and establish an environment conducive to innovative ideas for logistics management at the ports. Additionally, the cost-effectiveness and optimized processes associated with the implementation of artificial intelligence at ports have contributed effectively to the sustainable development of the ports [22]. The development of ports in Pakistan remains in its early stages. Yet, the ports are showing keen interest in the applications of artificial intelligence for logistics management, traffic control, and predictive maintenance. For instance, the Karachi Port is exploring the use of AI applications for cargo tracking and customs clearance. However, a lack of skilled personnel, high costs, and inadequate technology infrastructure prevent widespread use [23].

2.3. Environmental Protection Through Smart Technologies

Since the shipping and transportation sector is a significant source of pollution, environmental preservation is also a top issue in the creation of smart ports. The environmental impact of port operations is being monitored and mitigated through the use of intelligent technologies, including automation, IoT, and artificial intelligence [24]. To reduce air and noise pollution, the Port of Shanghai in China has implemented green policies that include the use of automated guided vehicles (AGVs) and electric-powered cranes [25]. Energy-saving devices, including solar-powered lights and electric cargo trucks, are used at the Port of Shenzhen. One of China’s larger environmental projects, the Hainan Free Trade Port, is developing with sustainability and green technology as its primary tenets [26]. Its automation and digitization initiatives should also improve energy efficiency and lessen its environmental impact. Despite efforts to incorporate environmental protection into port operations, progress has been slow in Pakistan. Although the Port of Karachi employs some green technologies, such as waste management and energy-saving lights, the process remains relatively new. Although such projects are still in the early stages, the Port Qasim Authority is exploring the feasibility of utilizing alternative energy sources to power operations within the port. More efforts should be made to focus on green technologies and environmental conservation initiatives for Pakistan’s ports to mitigate their environmental impact [27].

2.4. Lean Principles in Port Logistics and Supply Chain Efficiency

Lean ideas, such as eliminating waste and optimizing processes in logistics and manufacturing, are applicable within the ports sector for greater efficiency. Using a lean approach in logistics could enhance the clean environment at the ports through the reduction of traffic congestion, automation of cargo management, and minimizing delays at the ports. Technology advancement and the lean approach are always interconnected, given the aspect of performance monitoring and optimizing resource allocation and planning, among other elements, within the context of the ports sector, which are only possible through the advancement of information and communication technologies [28]. The smooth movement of goods and other commodities from ports through the supply chain depends greatly on intelligent port supply chain logistics for effective performance within the port sector, as well as the country’s supply chains. With the convergence of technologies such as artificial intelligence, blockchain, and the Internet of Things, ports can enhance their performance in terms of goods tracking, supply chain transparency, and optimize their processes for greater efficiency within the port sector [29]. Since the ports of the Asian country of China are utilizing the vast majority of the intelligent logistics technologies available today, the ports of Shanghai and Shenzhen, combined, are among the most efficient in the global ports sector.

The ports of the Asian country of China are employing blockchain technology for the enhanced, smooth, and safe tracking of commodities for the prevention of possible commodities fraud within the ports sector at the particular country and are therefore one step ahead of other ports at the global level, where the primary concern among the vast majority of ports today lies within the aspect of commodity fraud within the ports sector. The Hainan Free Trade Port within the Asian country of China today appears to be focusing on the development of intelligent infrastructure for the enhancement of the country’s supply chain logistics within the context of the country’s goal for port development for the country’s development into the logistics center of the entire Asian Continent within the near future [30]. An experiment appears to be nearing completion within the ports of Pakistan for the introduction of information management into the ports’ supply chain logistics, specifically in the ports of Qasim and Karachi [31].

2.5. Legal and Policy Frameworks in Port Development

A significant aspect proposed for the development of intelligent, sustainable ports is the establishment of a legal framework that facilitates such developments. Despite the vast public investment made in port development in nations such as China, the absence of favorable legislation renders the effective implementation of smart and green technologies impossible [32]. In the case of Pakistan, outdated legislation and a lack of government support for implementing port technologies are serious concerns. To analyze the possibility of sustainable development at ports within the two nations, examining the regulations and other aspects associated with the legislation within the context of China and Pakistan may be a practical step for the development of smart ports [33]. For new technologies to be implemented effectively in ports and for sustainable development to be ensured, favorable legislation must be established within nations [34]. China has made significant progress in developing legislation to facilitate the implementation of smart technologies for port development and environmental conservation [35].

The Green Port policy, which requires ports to construct facilities for environmental protection, reduce emissions, and utilize renewable energy, among other requirements, encourages the development of smart ports within the Chinese legal framework [36]. For instance, China’s extensive regulatory framework, which supports innovation without environmental infractions, and the identified gaps in the literature have both contributed to the success of Shanghai Port, a model of smart port growth. Legal support for smart ports is lacking in Pakistan [37]. There are some environmental protection laws in the nation; however, they are not strictly enforced. The lack of a consistent legal framework will hinder the implementation of sustainability and innovative technologies. Pakistan’s ports, including Karachi, Qasim, and Gwadar, are governed by antiquated legislation that does not fully account for the benefits and challenges posed by emerging technologies. To enable Pakistan to maximize the benefits of its ports and establish a more sustainable and competitive logistics system, the legislative frameworks must be strengthened [38]. The gaps presented in our paper are the result of a systematic and comprehensive literature review, including major sources from China and Pakistan, as well as global tech and sustainability policies. In addition to the academic literature, the review was also informed by experts, who helped identify the relevant knowledge gaps in these areas. Although we acknowledge that some of these may seem banal at first glance, they actually represent substantial, interesting, and as yet unexplored considerations, perhaps even more so in the changing landscape (as shown in Table 1).

Table 1. Research gaps identified in the literature review.

Section	Identified Research Gaps
Sustainability in Smart Ports	Few studies have examined the financial impacts of sustainability initiatives, especially the cost–benefit analysis of implementing green technologies in ports. In Pakistani ports, this disparity is particularly noticeable [39].
	Comparative studies of Pakistan’s ports are lacking, especially regarding the efficiency and obstacles to each nation’s adoption of sustainable practices, whereas China’s ports have made notable strides in this area [40].
	Few studies specifically address the challenges Pakistani ports face in achieving sustainability, including infrastructure constraints, investment deficits, and regulatory hurdles.
Artificial Intelligence and Smart Technologies in Supply Chain and Logistics	The specific obstacles to AI adoption in Pakistan’s ports, including a lack of experienced human resources, gaps in the technology infrastructure, and budgetary limitations, have not been thoroughly examined.
	Although the impact of AI on operational efficiency is emphasized, little is known about how AI may directly support sustainability objectives, such as reducing emissions or improving port energy efficiency.
	A thorough comparison of AI integration between Pakistan’s developing port infrastructure and China’s more developed ports (such as Shanghai and Shenzhen) is lacking, particularly regarding logistics, traffic control, and sustainability outcomes.
Environmental Protection through Smart Technologies	The long-term environmental effects of innovative technology in port operations are not adequately evaluated in the current literature. More thorough long-term research is required, especially for ports in both nations.
	Although specific green technologies, such as waste management and renewable energy, are mentioned in the literature, there is limited knowledge about how to scale them and fully integrate them into Pakistan’s port operations.
	Despite widespread discussion of cutting-edge technologies such as the Internet of Things and automation, there has been little research conducted to evaluate their environmental return on investment (ROI) and their effectiveness in reducing pollution.
Lean Principles in Port Logistics and Supply Chain Efficiency	Although lean concepts are discussed in relation to port logistics, no thorough study has examined how applying lean principles to waste minimization, process optimization, and integration with cutting-edge technologies (such as AI and IoT) might improve operational effectiveness and sustainability in ports.
	A literature review reveals the scarcity of research on integrating the latest technologies, such as blockchain and artificial intelligence, with the lean philosophy, as well as the benefits that such integration could bring regarding security, tracking, and transparency in the supply chain at ports.
Legal and Policy Frameworks in Port Development	Pakistan’s legislation for sustainability and innovation is outdated, according to the available literature. However, little attention has been given to the importance of filling the mentioned loopholes to enhance the competitiveness and efficiency of ports within Pakistan.
	Comparative studies about the China and Pakistan frameworks for innovative ports are also limited. Perhaps this could offer some insights into the effects of such regulations on the adoption and feasibility of technologies.
	To facilitate the faster implementation of smart and green technology in Pakistan’s ports, research is needed to develop policy recommendations.
	Therefore, studies must be conducted to understand the impact of the existing challenges posed by the law on the adoption of sustainable and smart technologies at Pakistan’s ports.

Note. Considering the economic implications, challenges of adopting technologies, environmental concerns, and regulations for both China and Pakistan, the table above highlights the primary research requirements in the literature for sustainability, new technologies, and logistics within smart ports.

3. Research Methodology

3.1. Materials and Methods

This research is primarily based on a systematic literature review for quantitatively analyzing supporting data related to smart port technologies, economic development, and sustainability in the context of China and Pakistan (as shown in Figure 2). The approach aims to maintain analytical coherence and transparency in how the data were reasoned through this process, transparently, while being interpreted. The goal of this study is to evaluate the effectiveness of advanced port technologies in stimulating economic development, mitigating environmental impacts, and enhancing operational productivity. Critical reading could explore how the adoption of this trending technology in Pakistan and China’s ports impacts port logistics performance and the industry’s economic and environmental effects. The research identifies best practices and challenges in both countries, providing insights for optimizing smart port operations globally.

Figure 2. Research methodology spectrum.

3.1.1. Data Collection and Selection Criteria

Secondary data were derived from a thorough literature search conducted in several academic databases, including Web of Science, Google Scholar, and Scopus, over the past decade. Eligibility was limited to studies relevant to the themes of smart port technologies, economic growth, and sustainability. We paid particular attention to studies on regulatory issues, the acceptance of technological innovation, and its implementation in smart ports, as well as the economic and environmental effects of smart ports. This review only included peer-reviewed articles from reputable publishers (Elsevier, MDPI, Springer Nature, Wiley, and Taylor & Francis). To complement this academic literature, we also considered secondary data sources, such as reports from the Chinese Ministry of Transport and the Pakistan Marine Affairs Ministry, as well as the sustainability implications. Additionally, the international news media were searched to identify new information on the problems and progress in these countries’ ports [41].

3.1.2. Data Analysis and Methodological Approach

Thematic analysis of literature was employed to identify significant themes and patterns in the adoption of smart port technologies, their economic implications, and sustainable initiatives. Based on this thematic framework, we grounded the findings in three overarching categories: (1) technology adoption, (2) economic consequences, and (3) sustainability strategies. On the quantitative side, indicators such as port tonnage, vessel numbers, and cargo volumes were included in the analysis of port performance. Summary statistics were used to describe the quantitative data, and comparative analysis was employed to examine the economic/ecological effects of port development between China and Pakistan. The comparison was based on the key performance indicators (KPIs) of operational efficiency, environmental impact, and economic growth.

3.1.3. Methodological Transparency

For the sake of methodological transparency, this study employs a distinct and replicable procedure, as illustrated in Figure 1, for data analysis. The combination of qualitative and quantitative methods enhances the credibility of the findings, while descriptive statistics provide a reliable method for presenting quantitative data. The comparative framework enriches our analysis, enabling a deeper understanding of the global ramifications of smart port technologies through direct comparison between China and Pakistan.

3.1.4. Synthesis and Implications

The final step involved integrating the findings obtained through quantitative analysis. This creation enabled a comprehensive examination of the impact of smart port technologies on economic growth, environmental sustainability, and operational efficiency. It also provides good practices and identifies barriers to the application of these technologies in China and Pakistan, which can be used to improve port operations worldwide.

3.2. Results of Analysis

Pakistan and China have demonstrated commitment to international labor standards by ratifying significant ILO Conventions. A significant achievement has been the ratification of all eight core conventions, which prohibit forced and child labor, eliminate workplace discrimination, and foster freedom of association. China completed this series in 2022 by ratifying core forced labor conventions (as shown in Table 2), emphasizing China’s model implementation of ILO and IMO conventions and demonstrating that it has a sound maritime legal regime that supports the maintenance of labor and environmental standards. The success of China in adhering to these international regulations has made it a global player in maritime governance, and it has set an example to be followed by other states, including Pakistan. While Pakistan has ratified 36 conventions and China has ratified 28, they have mutual commitments to the government and to core conventions on employment policy and labor inspection. This provides a common foundation for workers’ rights, although there are differences in their ratification of other technical arrangements (please refer to the official sources cited [42]).

Table 2. China and Pakistan’s maritime legal regimes under ILO and IMO conventions.

Convention Name (Code)	Convention Subsection	Adopted by the ILO (Year)	Ratified by Pakistan (Year)	Ratified by China (Year)
MLC, 2006—Maritime Labour Convention (MLC, 2006)	Technical	2006	14 March 2025	12 November 2015
C029—Forced Labour Convention (No. 29)	Fundamental	1930	23 December 1957	12 August 2022
C100—Equal Remuneration Convention (No. 100)	Fundamental	1951	14 February 1951	2 November 1990
C105—Abolition of Forced Labour Convention (No. 105)	Fundamental	1957	26 May 1952	2 November 1990
C111—Discrimination (Employment and Occupation) Convention (No. 111)	Fundamental	1958	11 October 2001	12 January 2006
C138—Minimum Age Convention (No. 138), minimum age 16 years	Fundamental	1973	15 February 1960	28 April 1999
C155—Occupational Safety and Health Convention (No. 155)	Fundamental	1981	24 January 1961	25 January 2007
C155—Occupational Safety and Health Convention (No. 155)	Fundamental	1981	24 January 1961	8 August 2002
C182—Worst Forms of Child Labour Convention (No. 182)	Fundamental	1999	11 October 2001	Non
C122—Employment Policy Convention (No. 122)	Governance (Priority)	1964	10 October 1953	17 December 1997
C144—Tripartite Consultation (International Labour Standards) Convention (No. 144)	Governance (Priority)	1976	25 October 1994	17 December 1997

Note. ILO ratification for China and Pakistan can be found via https://normlex.ilo.org/dyn/nrmlx_en/f?p=NORMLEXPUB:11200:0::NO::P11200_COUNTRY_ID:103166. Accessed on 15 October 2025.

3.2.1. Converging Paths and Strategic Divergence

The comparative analysis reveals the divergent but calculated approaches to modern development. China represents the top–down, state-led approach, relying on massive domestic financing and global initiatives such as the Belt and Road Initiative (BRI), with the Hainan FTP serving as a pioneering workshop for record economic opening up. Pakistan’s success is partnership-oriented and heavily based on the bilateral China–Pakistan Economic Corridor, which fuels its infrastructure and digital development (as shown in Table 3). As China exports cutting-edge smart ports and digital technology, it is one of Pakistan’s prime recipients, building its underlying paradigms. They both share UN sustainability goals, yet while China actively sets global standards, Pakistan excels at national implementation, focusing on regional requirements, and demonstrates a combination of complementary strengths and strategic priorities [43].

Table 3. Modernizing supply chains and port infrastructure.

Aspect	Category	Pakistan	China	Hainan Free Trade Port	Ref
Sustainability and Climate Change	Legislation and Policies	Pakistan Climate Change Act (2017), National Climate Change Policy (2021).	Dual Carbon Goals (peak CO2 by 2030, carbon Neutrality by 2060).	Hainan FTP Master Plan (2020) with green development and ecological zone mandates.	[44]
	Investments	Green Bonds and the Ten Billion Tree Tsunami Programme.	The world’s most significant investment in renewable energy.	Dedicated green investment funds, eco-tourism, and clean energy projects.	[45]
	Projects	10-Billion Tree Tsunami and Solar Power Expansion.	Leading producer of solar/wind tech, largest carbon market.	Building a zero-waste city pilot, promoting New Energy Vehicles (NEVs) across the island.
	Adoption of UN Frameworks	Paris Agreement (ratified 2016).	Paris Agreement (ratified 2016).	Aligns with national goals and is positioned as a model for green and high-quality development.	[46]
Smart Technology and Digitalization	Legislation and Policies	Digital Pakistan Policy (2018), National AI Policy (draft).	Active member of ITU.	Special FTP laws promoting cross-border data flow, blockchain, and digital trade.	[47]
	Investments	China–Pakistan Fiber Optic Project and 4G/5G Rollout.	Belt and Road Initiative (BRI) (2013), Intelligent Shipping policies.	A core pillar of the FTP is a significant investment in the Boin Data Center Park and international submarine cables.	[48]
	Projects	Digital Payments (Raast, JazzCash), NADRA Digital ID.	Development of fully automated ports (Shanghai Yangshan).	Pioneering offshore data innovation, attracting global tech R&D centers.	[49]
	Adoption of UN Frameworks	Supports the UN’s Digital Cooperation roadmap.	Shanghai Yangshan Port (the world’s largest automated terminal).	Piloting new international digital trade rules that could inform future UN/global standards.	[50]
	Smart Technology Integration	Planned and initial stage.	Advanced Implementation (AI, IoT, 5G, Blockchain).	Hainan FTP Law (2021) creates a standalone customs territory with tailored policies for Yangpu Port.	[51]
Overall Supply Chain Development	Legislation and Policies	National Transport Policy (draft).	Made in China 2025, National Integrated Transportation System Plan.	Massive upgrades to Yangpu Port as the FTP’s main deepwater port and logistics hub.	[10]
	Investments	CPEC infrastructure, ML-1 Railway upgrade.	Trillions in domestic and global logistics networks.	Implementing ship registry reform and streamlined customs for zero-tariff trade.	[52]
	Projects	New motorways, energy projects.	Dominance in global shipping (COSCO), high-speed rail.	A key test-bed for blockchain in trade finance, port logistics, and single-window systems.	[52]
	Adoption of UN Frameworks	Uses UNESCO frameworks and the WTO Trade Facilitation Agreement.	Uses UN/CEFACT standards and aligns BRI with the SDGs.	Positioned as a global free trade hub, attracting HQ companies for regional supply chains.	[53]

Note: The information and resource materials placed in the table for comparative purposes have been carefully collated from an array of sources. These sources include official reports from the government, documents from the People’s Republic of China and the Islamic Republic of Pakistan, as well as analysis from prominent global organizations in the form of publication releases and peer-reviewed studies. The intent behind compiling such resources is to provide a comprehensive overview of the subject.

3.2.2. Built by China and Pakistan

Based on observed development patterns in Pakistan and China (as shown in Table 4), we can categorize their major ports into the following typologies. The distribution reveals a clear strategic division between the two countries [54].

Table 4. Distribution of node types in port networks.

Node Type	Definition	China	Pakistan	Node Type
Smart Ports	Ports that are leaders in both operational power (cargo volume) and the adoption of advanced technologies (AI, IoT, automation, data platforms).	Shanghai, Ningbo-Zhoushan, Shenzhen, Qingdao	Karachi Port and QICT–Emerging	Smart Ports
Prestige–Power Ports	Ports that are dominant in power and are rapidly integrating smart technologies to solidify their status, but are not the absolute pinnacle of innovation.	Tianjin, Xiamen, Guangzhou	None	Prestige-Power Ports
Power Ports	Ports with very high cargo throughput and strategic importance, but where technological adoption is not the primary defining characteristic.	Dalian, Yingkou	Port Qasim	Power Ports
Prestige Ports	Ports where the strategic vision, modern design, and potential for future smart technology integration are the key assets, even if current cargo volumes are low.	Hainan’s Yangpu Port	Gwadar Port	Prestige Ports

Note. This basis shows that while China has built a comprehensive and advanced port system, Pakistan’s network is strategically positioned, with each node playing a distinct and complementary role in the broader Sino-Pakistani shipping and investment corridor.

3.2.3. Strategic Port Analysis of China and Pakistan

A strategic port analysis of the China–Pakistan relationship reveals a high level of synergy. China boasts a multi-layered framework of internationally unmatched, entirely mechanized smart ports, such as Shanghai, and a policy-driven Hainan Free Trade Port. Pakistan’s framework is strategically divided into Karachi and Port Qasim, the current commercial lifelines, with Gwadar as a future strategic asset (as shown in Table 5). This supporting framework, deeply embedded within the CPEC structure, forms an impenetrable trade corridor that combines Chinese technological prowess with Pakistani strategic geography [55]. This indicates that Chinese smart harbors are relatively higher in comparison with Pakistani ports in terms of technological integration, operational efficiency, and sustainability. The automation and green technology adopted by China are more productive while also reducing emissions, unlike those of Pakistan’s ports, which are characterized by infrastructure deficiencies, making them less efficient yet environmentally unfriendly.

Table 5. Data and analysis of the smart ports of China and Pakistan.

Port Name	Country	Smart Port Status and Important Technologies	Strategic Role and Economic Impact	Latest Growth and Key Drivers
Shanghai Port	China	Global Leader. Full automation, AI scheduling, IoT, 5G, blockchain.	China’s Trade Engine. Handles ~20% of China’s total trade volume; critical to the Yangtze River Delta economy.	~4.5% (2023). Sustained by advanced manufacturing and robust export demand.
Ningbo–Zhoushan Port	China	Global Leader. Automated guided vehicles, AI yard management, and digital twin.	World’s Largest Cargo Hub. Handles the highest cargo tonnage globally and serves as the backbone of Zhejiang’s industrial sector.	~5.0% (2023). Growth in bulk commodities and international transshipment.
Shenzhen Port	China	Global Leader. 5G-enabled autonomous cranes, smart gate systems.	Tech and Export Hub. Primary port for the Pearl River Delta, serving a massive manufacturing and tech export base.	~2.1% (2023). Resilient performance despite global trade shifts.
Hainan Yangpu Port	China	Prestige and Policy-Driven. Test-bed for blockchain trade finance, offshore data, and special customs regimes.	China’s Singapore Rival. Aims to be a $300Bn+ trade hub by 2035. Impact is strategic, leveraging free trade port policies.	~15% (2023). Explosive growth driven by preferential policies and duty-free retail.
Gwadar Port	Pakistan	Emerging/Prestige. Focus on operational capacity. Planned: Digital single window under CPEC.	Strategic Future Gateway. Potential to reshape regional trade. Minimal current GDP impact; high future potential.	N/A–Early Stage. Growth is prospective, tied to the full activation of CPEC and the development of special economic zones.
Port Qasim	Pakistan	Emerging. Digital cargo tracking is underway. Focus on capacity over automation.	Energy and Industrial Lifeline. Handles ~40% of Pakistan’s cargo, including all LNG imports, which is vital for the country’s energy security.	~4% (Est.). Driven by growing energy imports and container trade.
Karachi Port (KPT and QICT)	Pakistan	Emerging. QICT has modern cranes and is undergoing initial digitalization; KPT is also modernizing.	National Commercial Heart. Handles the majority of Pakistan’s international trade; it is the country’s most significant commercial port.	~2.5% (Est.). Steady growth, constrained by urban congestion.

Note. These data are compiled from port authority reports, government policy documents, Pakistan and Hainan FTP Master Plan, international shipping, and economic research reports. GDP contributions are estimates based on the value of trade handled and its multiplier effect on the respective national economies.

3.2.4. Ports Increased Production

China has dramatically expanded its port production capacity in recent years, a testament to its quality as an orderly and competitive nation. The growth of both inland and coastal ports is a key element in China’s push to increase the efficiency of its trade while making itself an indispensable engine of the global commerce structure (as shown in Figure 3). Especially for larger ships in China, the capacity to handle a wide range of cargo, from containerized goods and bulk to LNG, has increased. This expanding infrastructure not only facilitates the increasing levels of trade but also highlights China’s potential to handle large volumes of personal effects rapidly and cost-effectively [56].

Figure 3. Output of Chinese ports and the number of berths, tons, and crossings. Source of data: Ministry of Transport of the People’s Republic of China.

3.2.5. China’s Water Transport Sector Reveals Solid Growth

There were 110,200 water transport ships in the country by the year’s end 2024, fewer than the year’s end of last year by 8100, and by indicators (as shown in Table 6), there was a net cargo of 312 million tons, an increase of 12 million tons, a passenger capacity of 783,100 passengers, 29,400 fewer passengers, a container capacity of 3,232,100 TEUs, and an increase of 189,700 TEUs [57].

Table 6. Data density and comparison.

Metric	Total	Change from the Previous Year 2024
Number of Ships	110,200	−8100
Net Load (Deadweight Tonnage)	312 million tons	+12 million tons
Passenger Capacity	783,100 passengers	−29,400 passengers
Container Capacity (TEUs)	3,232,100 TEUs	+189,700 TEUs

Note. China’s water transport fleet in 2024 saw a consolidation in vessel numbers but significant growth in cargo and container capacity.

Comparison of Vessel Inventories

The data reveal an increase in container ships in Chinese ports, indicating that the capacity to carry goods around the globe remains high (as shown in Table 7). It is in line with China’s move to emphasize technology upgrades in port operations, reflecting the global trend of innovative port development.

Table 7. Indicator of ports crossed.

Indicator	Unit	Year-End Value	Year 2024 Growth (%)
Total Transport Vessels
Number of Transport Vessels	10,000 vessels	11.02	−6.9
Net Tonnage	10,000 vessels	31,237.98	3.9
Passenger Capacity	10,000 passenger seats	78.31	−3.6
Container Capacity	10,000 TEUs	323.21	6.2
Inland Transport Vessels
Number of Transport Vessels	10,000 vessels	9.87	−7.5
Net Tonnage	10,000 vessels	15,134.75	−1.9
Passenger Capacity	10,000 passenger seats	54.49	−2.3
Container Capacity	10,000 TEUs	60.61	−2.9
Coastal Transport Vessels
Number of Transport Vessels	Vessels	10,245	−4.0
Net Tonnage	10,000 vessels	9466.82	−3.3
Passenger Capacity	10,000 passenger seats	22.95	−5.3
Container Capacity	10,000 TEUs	85.81	24.7
Ocean-going Transport Vessels
Number of Transport Vessels	Vessels	1217	25.2
Net Tonnage	10,000 vessels	6636.40	37.5
Passenger Capacity	10,000 passenger seats	0.87	−31.3
Container Capacity	10,000 TEUs	176.79	2.2

Source: Ministry of Transport of the People’s Republic of China.

3.2.6. Transport Fleet of Ports

Year-round freight turnover of commercial cargo was 9.811 billion tons, increasing by 4.7% compared to last year, and cargo turnover was 141,423 billion ton-kilometers, increasing by 8.8%. Among them, the inland cargo volume was 4.953 billion tons, an increase of 3.4%, and inland cargo turnover was 2183.3 billion ton-kilometers, an increase of 5.1%; the ocean freight volume was 4.858 billion tons, an increase of 6.1%, and marine cargo turnover was 11,959 billion ton-kilometers, an increase of 9.5% (as shown in Table 8), The commercial passenger traffic yearly was 260 million, an increase of 0.8% compared with last year, and the commercial passenger turnover was 5.467 billion person-kilometers, an increase of 1.7% [58]. The ports’ annual freight-handling capacity reached 17.595 billion tons, up 3.7% from last year. Among them, inland port cargo handling was 6.378 billion tons, an increase of 3.9%, and coastal port cargo handling was 11.218 billion tons, an increase of 3.5%; foreign trade cargo handling was 5.397 billion tons, up by 6.9%, and domestic trade cargo handling was 12.198 billion tons, an increase of 2.3%. Container throughput reached 332 million TEUs, representing a 7.0% increase in volume. The annual port passenger throughput was 78,907,100, up by 0.6% over the same period last year. Among them, the inland port passenger throughput was 3,714,900, up by 8.0%, while the coastal port passenger throughput was 75,192,100, up by 0.3% [59].

Table 8. Transport of marine cargo.

Category	Metric	Total Volume	Year Change 2024
Freight Transport	Commercial Freight Volume	9.811 billion tons	+4.7%
	Commercial Cargo Turnover	14,142.3 billion ton-km	+8.8%
	Inland Waterways
	Freight Volume	4.953 billion tons	+3.4%
	Cargo Turnover	2183.3 billion ton-km	+5.1%
	Ocean Shipping
	Freight Volume	4.858 billion tons	+6.1%
	Cargo Turnover	11,959.0 billion ton-km	+9.5%
Passenger Transport	Commercial Passenger Traffic	260 million persons	+0.8%
	Commercial Passenger Turnover	5.467 billion person-km	+1.7%
Port Throughput	Cargo Throughput	17.595 billion tons	+3.7%
	By Location
	Inland Ports	6.378 billion tons	+3.9%
	Coastal Ports	11.218 billion tons	+3.5%
	By Trade Type
	Foreign Trade	5.397 billion tons	+6.9%
	Domestic Trade	12.198 billion tons	+2.3%
	Container Throughput	332 million TEUs	+7.0%
	Passenger Throughput	78.91 million persons	+0.6%
	By Location
	Inland Ports	3.71 million persons	+8.0%
	Coastal Ports	75.19 million persons	+0.3%

Note. Annual metrics for China’s water transport show strong growth in cargo and container throughput, with stable passenger traffic performance, as sourced by the Ministry of Transport of the People’s Republic of China.

3.2.7. Support Port Operations and Local Shipping Activities

As a subsidiary of the Maritime Administration of Pakistan, the Mercantile Marine Department was founded in 1930 as a subordinate department of the Ministry of Maritime Affairs, with a principal officer as its head. Its primary responsibilities are to protect the marine environment, ensure safe navigation, and promote the safety of life at sea, in accordance with national and international laws, regulations, and conventions (as shown in Table 9). It also serves as the registration authority for ships and craft flying the Pakistani flag and conducts surveys and inspections. Under the Maritime Administration, this department also tests several kinds of sailors. Since February 2007, the Mercantile Marine Department has maintained a sub-office in Gwadar, where it is required to participate in port operations and related shipping activities. On 21 May 1948, the Government Shipping Office (GSO) began operations at Karachi Port. According to Article 3 of the Merchant Shipping Ordinance 2001, the Ministry of Maritime Affairs currently maintains and operates it [60].

Table 9. Functions under the Merchant Shipping Ordinance.

Main Office, Karachi	Indicators	Achieved
1	Survey and Inspection	2310
2	Issuance of Statutory Certificates of Ships	20
3	NOC For Outward Port Clearance	3193
4	Registration Change of Ownership of Ships and Crafts	595
5	Examination (Technical Personnel Inland)	534
6	Crew Card	510
Sub-Office, Gwadar	Indicators	Achieved
1	Survey and Inspection	09
2	NOC for Outward Port Clearance	26
3	Registration Change of Ownership of Ships and Crafts	09
Revenue Receipts	Target (Million)	Achieved (Million)
1. Survey, Registration, Examination, and Misc	60.000	62.65
2. Lighthouse Dues	600.000	785.78
	Performance 2022–2023
Computerized Seamen Service Book (SSB) Issued	Machine Readable Seafarers’ Identity Cards (MRSID) Issued	1. Seafarers Engaged on Ships 2. Seafarers Discharged from Ships
1444	1437	5050-2861

Note. Ensures the safety of life at sea, safe navigation, and protection of the marine environment in accordance with international conventions, as per the Pakistan Ministry of Maritime Affairs.

3.2.8. Pakistan National Shipping Corporation

The national flag carrier, Pakistan National Shipping Corporation (PNSC), is well-known worldwide in the shipping industry. It competes even for the carriage of Pakistani imports and exports; conducts business in a highly competitive international arena; and, by operating a fleet of twelve (12) ships, generates much-needed foreign exchange for the nation [61]. Transporting all kinds of cargo on more than a dozen routes spanning practically the whole world, PNSC has become a major provider of maritime cargo and related services (as shown in Table 10). To be a significant worldwide shipping company with a variety of marine assets, it offers trustworthy and effective shipping services to the international and Pakistani maritime markets; maintains honest and dependable relationships with our clients, partners, and staff; protects the interests of all parties involved; and contributes towards the national economy, society, and the environment’s improvement.

Table 10. Highly competitive international shipping environment.

	Dry Bulk	Liquid Bulk	Total in Millions
Pakistan Seaborne Trade	2023–2022	2023–2022	2023–2022
PNSC’s Share	54.13/70.72	28.80/36,096	82.95/106.8
	1.57/1.316	90.26/10.655	11.97/10.83
	Unit of Measurement	2022	2023
Dry Cargo (Bulk Carrier)	Million Tons	1.574	1.316
Liquid Cargo (Tanker)	Million Tons	9.26	10.655
Slot Charter
Break Bulk	Higher of MT or CBM	0.075	0.026
Containerized Cargo	Thousand TEUs	1.230	2.159

Note. Maintaining diversified marine assets and providing reliable, efficient shipping services.

3.2.9. Port Operations in Pakistan

The goal of the Chinese operator is to increase the number of ships that call the port. Since March 2018, two shipping lines, COSCO and Sino-Trans, have been making frequent port calls at the port. Gwadar Port handled 446,195 metric tons of wheat and 94,559 metric tons of urea as government cargo with ease in 2022 [62]. The information about the shipments dealt with thus far is displayed (as shown in Table 11).

Table 11. Ships calling into the port.

Year	Imports	Exports	Tons
2007-08	63,607.8		63,607.8
2008-09	1,496,514.5		1,496,514.5
2009-10	1,261,842.4		1,261,842.4
2010-11	475,966.1		475,966.1
2011-12	1,426,003.7		1,426,003.7
2012-13	507,582.3		507,582.3
2013-14	648,987.9		648,987.9
2014-15	438,880.0	270.0	439,150.0
2015-16	50,603,8	750.0	51,353.8
2016-17	80,409.6	1925.1	82,334.6
2017-18	24,087.4	2748.9	26,836.4
2018-19	3636.9	1317.2	4954.1
2019-20	26,553.2	706.8	27,260.1
2020-21	50,945.5	3752.4	54,697.9
2021-22	77,346.6	2397.6	79,744.2
2022-23	591,512	843	592,355
Total	7,362,694	14,711	7,377,405

Note. The Chinese operator is increasing ship traffic and handling; COSCO and Sino-Trans call regularly.

3.2.10. Imports and Exports of Pakistan’s Port Quasit

Compared with 46.665 million tons in the previous fiscal year, 33.382 million tons were accounted for by containerized and non-containerized imports. A total of 82.4% of Port Qasim’s total trade consisted of import cargo. Chemicals, grain, steel coils, edible oil, petroleum products, liquefied natural gas (LNG), LPG, and containerized cargo were among the main imports (as shown in Figure 4). In total, 17.5% of the port’s total trade was exports, totaling 7.118 million tons, up from 7.654 million tons the previous year. Cement (0.865 mt), rice (0.415 mt), steel coil (0.009 mt), condensate (0.260 mt), furnace oil (0.174 mt), and containerized cargo (5.208 mt) were among the commodities exported this year [63].

Figure 4. Million tons of trade volume.

3.2.11. Cargo Composition

The primary type of cargo being processed at Port Qasim, Pakistan, all year round (as shown in Figure 5). Containers made up the most significant portion, confirming the port’s critical place in global trade. Coal and LNG claimed second standings, evidence of the port’s role in handling energy imports. Such distribution is a reflection of the broad spectrum of cargo sectors integral to the total throughput volume at Port Qasim as well as its strategic role in Pakistan’s trade [64].

Figure 5. Largest imported cargo.

3.2.12. Containers Trade and Port-Callings

It is evident when we look that ports in China remain successful and highly effective, adding significant value to global trade as the years pass. These are ports that have developed and expanded for over a century, with a variety of cargo moving through them regularly year after year. In the case of Port Qasim, Pakistan, container movement and tonnage were down this year (as shown in Figure 6), but this indicates that global trade is elastic and port activity remains strong. China’s ports manage massive flows of trade and continually adjust and reinvent themselves to fulfill new requirements [65]. China’s port system has maintained an excellent performance thanks to its successful infrastructure management, advanced logistics practices, and strategic planning, which have contributed to the continuous growth of trade volumes year after year. The ability of Chinese ports to handle a wide range of cargo, from containers to bulk and energy shipments, further underscores the nation’s leadership in global trade. With the world’s largest and most advanced ports, China remains at the forefront of maritime commerce, cementing its role as one of the most successful and well-organized nations in the world [18].

Figure 6. Hipping moments.

4. Comparative Study and Discussion

In comparing China and Pakistan’s development of smart ports, a pattern emerges of the two modern approaches. China serves as an illustration of the mature end of the generation model, fueled by high state capacity and vision [1]. A shining example of technology and economic performance remains the key driving force for Chinese ports. Conversely, Pakistan’s ports denote a rising partnership facilitating model, where international investments and the CPEC play a vital role in the development process [66]. The forces driving growth and development differ significantly in magnitude, speed, and the processes involved. For the first time, in both nations, a consensus grows for the integration of sustainability and economic aspirations. Pakistan gains the first-mover advantage in integrating sustainability into the port development process, whereas China pursues a technology-driven approach to facilitate the development of green ports [67]. The legal bases are significantly dissimilar. Pakistan has the first-mover advantage concerning the integration of new technologies for the development process of ports. In contrast, China has a mature state-directed framework for the development process of ports [68]. A disparity among the described nations regarding their legal frameworks reveals that no nation follows a similar strategy for development in smart ports. The trinity associated with technology, sustainability, and law remains the world’s constant.

The development of the China–Pakistan Economic Corridor and the ports at Gwadar and Karachi are key focuses for smarter ports in Pakistan, which are still in their nascent stage, yet hold strategic importance compared to Chinese ports. Being fueled by the financial support and accumulated experience behind the development process, it remains largely an external force in the development process within Pakistan [69]. The aim behind the development of the Gwadar Port is to create a smarter, modern port that can facilitate the development process for neighboring nations and serve as a gateway for the China–Pakistan Economic Corridor. Therefore, the development process within Pakistan remains a slower process, focusing entirely on the development of the required infrastructure for the ports. Challenges abound for the development process of smarter ports within Pakistan, focusing on the development of a robust infrastructure, a lack of financial support, and limitations within the country regarding the development of its technologies [70]. The development process within Pakistan may opt for the development of more innovative technologies compared to the prevailing processes at the initial, nascent level, focusing entirely on the primary phases of security and digitization. Therefore, the placement of smarter ports within the country’s development process presents an essential opportunity for the government to avoid certain phases in the development process of these ports [71]. Its geostrategic location, concerning the developmental process within Chinese ports and the country’s need to enhance economic performance by acting as a gateway for neighboring nations, remains closely integrated within the development process of smarter ports in Pakistan.

The differences observed between China and Pakistan are significant because they illustrate how contextual factors influence the development and sustainability of smart ports. Advanced technological infrastructure, strong governmental support, and coordinated stakeholder engagement enable the rapid adoption of smart port initiatives, leading to improvements in performance efficiency, environmental friendliness, and resilience in China. Meanwhile, there is not much to show because technological readiness is low, policies are fragmented, and resources are limited, as in Pakistan. Therefore, this slows down the process of adopting strategies and makes them less effective in terms of performance efficiency, as well as in addressing environmental issues that can be improved through resilience enhancement. The comparison not only places a report against contrasts but also further establishes how sustainable smart port development is, which is influenced by policy measures, available technologies, and institutional capacity. It highlights the critical enablers and barriers, thereby providing practical lessons on strategy adjustment in different national settings. This cross-national view also serves to heighten awareness of smart port sustainability issues while offering information relevant to both emerging ports and more developed contexts.

4.1. Economic and Environmental Performance

The adoption of smart technologies and sustainable initiatives has significantly enhanced the economic performance of Chinese ports, particularly the Hainan Free Trade Port. The financial performance of the Haikou Port revealed a reduction of up to 15% in costs and an increase of up to 20% in the volume of processed cargo. The adoption of blockchain, AI-based demand forecasting, and energy-saving technologies has primarily contributed to the above improvements. Significant progress has also been made in terms of costs, sustainable performance, and port operations at the ports of Shenzhen and Tianjin [72]. Inadequate operational performance continues to be a significant obstacle to the economic performance of Pakistan’s ports. Although considerable progress has been made, traffic congestion, energy, and infrastructure issues persist at the Karachi Port.

Meanwhile, the port throughput growth has stood at only 5% since 2018, in line with recent reports from the Pakistan Ports Authority, while operational costs remain high. In the same regard, the environmental aspect at the Karachi Port still lags, as there have been very few developments at the port concerning the exploitation of renewable energy sources and the reduction of emissions [73]. From the comparison analysis above, it is apparent that the ports of China, specifically the Hainan Free Trade Port, have adopted smart revolution and sustainable development strategies to achieve superior economic and environmental performance. A great deal can be learned from the Hainan example for Pakistan’s ports to move in the right direction, although significant challenges still need to be addressed [74].

4.2. Smart Technology Adoption in Ports

The implementation of more innovative technologies in ports has grown significantly in both China and Pakistan over the last decade, with remarkable progress achieved [75]. Their major ports, such as those in Shanghai, Shenzhen, and Ningbo, as well as the newly formed Hainan Free Trade Port, have adopted technologies like artificial intelligence, IoT, and blockchain to enhance logistics and efficiency [76]. For example, Shanghai Port has incorporated AI-based demand forecasting and blockchain technology to enable safer and more transparent supply chain management. Shanghai is targeting 70% automation of the operations, as per the China Ports and Harbors Association [77]. Similarly, Ningbo Port has implemented IoT-based real-time monitoring of cargo streams, resulting in a 22% increase in operational throughput. For Hainan Free Trade Port, established as a national scheme to build an even more liberal and tech-enabled trade center, the region has been endeavoring to create an innovative port system. Ports of Hainan, led by Haikou Port, have been integrating AI and blockchain technologies since 2020 to improve customs clearance and logistics transparency. According to the Haikou Port Authority, Haikou Port has also implemented a top-level AI system for demand forecasting and cargo distribution, which has increased processing efficiency by 20% during the previous three years. The port has also been upgraded with automated cranes and driverless vehicles for container handling, serving as a benchmark for other Chinese ports to achieve complete automation [78].

In Pakistan, the adoption of smart technologies has been slower but is gaining momentum, particularly in Karachi Port, the country’s busiest port. The Karachi Port Trust (KPT) has piloted IoT-based container tracking solutions and begun integrating AI into its scheduling and cargo management processes. However, as of 2025, only 15–20% of operations are end-to-end automated, and budget constraints and regulatory delays generally hamper the adoption of technology. At Gwadar Port, efforts to integrate AI-powered systems for controlling port traffic began in 2023, but the full deployment is still under consideration. Additionally, blockchain was considered for enhanced transparency and the prevention of fraud; however, the concept remains in the early stages at the moment [79]. The rapid integration of smart technologies in China’s major ports, including the Hainan Free Trade Port, is primarily the result of support aimed at achieving global leadership in port digitization and automation. Hainan FTP, focusing on innovation, digitization, and seamless customs formalities, is an essential proving ground for the replicability of these technologies at the national level. Hainan would be the trailblazer for other ports in the country regarding the implementation of smart ports. The lack of investment, infrastructure, and effective regulations in Pakistan obstructs the development of technologies for ports in the country. Pakistan could greatly benefit from the achievements of Hainan’s successes in port development using information technology [80].

4.3. Sustainability Practices in Ports

China remains among the leaders in implementing green port technologies worldwide, particularly within the country’s major ports and the Hainan Free Trade Port. Since 2019, Hainan Port has focused on energy conservation, specifically in green technology [81]. Green energy technologies such as solar and wind energy are being implemented within the ports of Hainan. The Hainan Free Trade Port Authority claims that Haikou Port’s megadollar power plant, which was put into service in 2023, presently supplies 30% of its operating requirements. Additionally, the port plans to employ automated cargo-handling technologies, energy-efficient lighting, and electric cranes to cut its CO₂ emissions by 40% by 2030 [82]. The Port of Tianjin and Ningbo Port also used green technologies and emission-reduction measures. For example, Tianjin Port’s CO₂ emissions decreased by 35% between 2018 and 2024 due to the installation of renewable energy systems and energy-efficient machinery [83]. Sustainable practices are still in their early stages of development in Pakistan. The Karachi Port has launched several environmental initiatives, including the adoption of LED lighting and the installation of more energy-efficient cranes. However, such steps are only small, and the carbon emissions level associated with port operations remains higher compared to global requirements. The reduction in carbon emissions associated with port operations at the Port of Karachi and other small ports around the country has remained at only 5–10% since 2018, according to the Pakistan Maritime Security Agency [84].

4.4. Legal and Policy Frameworks Governing Smart Ports

The ports of China, especially the Hainan Free Trade Port, are well-positioned to adopt smart technologies and green initiatives, given the well-developed frameworks that underpin them [85]. The National Intelligent Port Development Plan provides a framework for developing the country’s intelligent ports, implementing automation technologies, and promoting sustainable development strategies. In this regard, the Hainan Free Trade Port offers a distinct framework for the development of the country’s ports, thus increasing their appeal and attracting foreign investors positively. By adhering to such guidelines, the Hainan Free Trade Port aims to develop sustainable ports for the intelligent operation of ports within the country [86]. In fact, Hainan Port presents a policy framework for the development and implementation of blockchain initiatives for green and open logistics. At the same time, the Chinese Port Green Action Plan promotes the reduction of emissions within the port’s operational sphere.

The developmental framework for the intelligent development of ports in Pakistan is currently at a very rudimentary stage. Although the Pakistan Ports and Shipping Policy emphasizes the need for the development and digitization of ports within the country, it currently lacks policy measures for implementing intelligent technologies within the sphere of port activities. Additionally, recent technologies are hindered by the lack of an integrated framework for port development, including frameworks for sustainable port development, as well as technologies such as blockchain and artificial intelligence [87]. A recent initiative by the Karachi Port Trust aimed to develop the country’s ports; however, the lack of support from other agencies has slowed down the development process at present. The Hainan Free Trade Port’s successful performance highlights the importance of well-coordinated public policy and law in the development of such technologies at present [88].

5. Conclusions

Legal frameworks and smarter technologies play a crucial role in facilitating sustainable development within seaports, as observed in a comparison between China and Pakistan. Pakistan’s seaports are struggling to adopt smarter technologies and eco-friendly measures, although China fares well among the leaders in this regard. In particular, the Hainan Free Trade Port, Karachi Port, and the Gwadar Port are examined for their developments in adopting the benefits of smarter technologies, according to the publication, which highlights the fact that Pakistan needs to work on policy development, infrastructure development, and smarter technologies to improve the economic performance and sustainable development level of the country’s ports. The publication, for instance, notes that the Hainan Free Trade Port stands as an exemplary development within recent port development trends and has achieved remarkable growth in areas such as blockchain, artificial intelligence, and Internet of Things technologies. However, Pakistan’s seaports, such as the Karachi Port and the Gwadar Port, are struggling to fully embrace the benefits of the above technologies because of the absence of infrastructure and financial resources, in addition to the inefficient bureaucratic formalities within the country’s ports’ management at the time of this study’s publication.

However, modernization projects for such ports are still underway, and the Hainan example offers crucial lessons concerning the three aspects mentioned above. In general, the significance of technical development, a supportive policy framework, and environmental sustainability in transforming ports and establishing sustainable trade hubs worldwide cannot be overstated. Pakistan has the opportunity to enhance the functionality and level of sustainability associated with the country’s port infrastructure by learning from the Hainan Free Trade Port and other ports in China. Building up the quality of the global ‘smart ports’ essential for the advancement of economic growth and the conservation of the environment’s health will be contingent upon the proper planning and support from the global community.

5.1. Limitations

However, there are certain limitations to this study. Firstly, certain sensitive information regarding port operations and smart technologies may not have been considered, as this study relies solely on publicly available information. Second, this study was confined to the ports of Karachi, Gwadar, and the well-known Chinese ports, such as Hainan; a wider array of ports may provide more comprehensive information [89]. Third, this study may not account for the effects of external economic conditions and geopolitical events, such as the global shipping crisis. Finally, the above research outlines the trend in port operations and the development of innovative technologies up to the year 2025.

5.2. Future Research Directions

Future studies could investigate the long-term effects of sustainable projects and smart technologies on the performance of ports, particularly in emerging countries like Pakistan. An analysis of the differences in the effects associated with green ports within emerging economies could be very informative from both the social and economic aspects. Additional research should be conducted regarding the role of relevant regulatory agencies within emerging economies and their interventions in public–private partnerships, particularly in the context of developing new technologies [90]. Future studies should analyze the implications of integrating technologies by less developed ports alongside the transferability of the Hainan port approach.

5.3. Suggestion for Pakistan

A great deal can be learned from the Chinese experience, particularly from the establishment of the Hainan Free Trade Port and other major seaports in the country, as Pakistan also needs to develop modern seaports and leverage smart technology. The following recommendations are proposed for development in Pakistan’s seaports sector, based on the Chinese experience. To facilitate the development of intelligent ports, there must be policy and regulatory congruence [91]. For example, the China National Intelligent Port Development Plan, in conjunction with local Hainan regulations, is expected to play a crucial role. To facilitate port management and promote sustainable development, Pakistan should adopt rules for the widespread implementation of automation, artificial intelligence, and eco-friendly technologies at ports. Faster adoption of new technologies has also benefited from government spending on infrastructure in China, especially the widespread development of the country’s ports by the government. To enhance performance, Pakistan should adopt public–private partnerships for the development of IoT, blockchain technology, and artificial intelligence. Contributing to the mitigation of the environmental effects of ports will be the development of wind and solar energy. Collaboration with other international nations for the promotion of technology adoption has benefited China’s international cooperation. For the country to be on the maritime ‘bleeding-edge’ brink and facilitate the use of innovative technologies, Pakistan must collaborate with international tech suppliers and conduct research. To effectively implement smart technologies, there is a need for capacity building. The success of China was attributed mainly to its proactive approach to developing the skills of its workers in digital technologies and port management [92]. To boost productivity and competitiveness, Pakistan should offer workers training programs related to automation, data analysis, and intelligence at the ports. In the green port projects installed in Hainan and Tianjin Port, the focus has always been on sustainability; thus, the carbon footprint associated with the ports’ operations has dramatically diminished. Pakistan’s port operations should incorporate sustainable measures, such as the use of renewable energy sources, environmentally friendly cargo handling processes, and energy-saving equipment, at the ports of Karachi and Gwadar.