In global logistics, the problem is rarely a shortage of new technology. Ports, shipping lines, freight forwarders and warehouse operators are constantly pitched tools promising to predict delays, automate yards, optimise routes or cut emissions. The harder question is whether those tools can work inside real trade networks, where a single container journey may involve terminals, trucks, ships, customs systems, warehouses and multiple data owners.
That is the gap PSA International and Granite Asia are now trying to address.
The Singapore-headquartered port operator and the Asian private capital platform have launched the G&P Strategic Innovation Fund, a US$50 million vehicle aimed at backing technology companies building for ports, logistics and global supply chains.
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The fund will co-invest with Granite Asia’s existing funds and focus on solutions that can move beyond pilots into practical, scalable deployment.
The timing is not accidental. Artificial intelligence, robotics and automation are beginning to change how goods are planned, handled and tracked. But supply chains remain deeply fragmented, especially across Southeast Asia, where modern mega ports sit alongside manual warehouses, paper-heavy customs processes and uneven digital infrastructure.
For PSA, which operates across 45 countries and handled more than 105 million TEUs in 2025, the fund is a way to bring external innovation closer to the operating floor. (A TEU, or twenty-foot equivalent unit, is the standard measure of container volume.) For Granite Asia, which manages and co-manages US$11 billion in assets, it offers a route into one of the world’s most complex industrial technology markets.
From pilots to ports
Corporate venture funds are not new in logistics. Many large operators have set up accelerators or innovation arms to test new software, sensors and robotics. The challenge is that pilots often stay pilots.
A warehouse robot that works in a controlled demonstration may struggle with irregular floor layouts. An AI model trained on one terminal’s data may not generalise well to another. A digital freight tool may be useful only if enough customers, carriers and intermediaries agree to share information.
The new PSA-Granite fund appears designed around that bottleneck. PSA brings physical infrastructure, operating knowledge and access to trade flows. Granite Asia brings technology investing experience and a portfolio-building lens. Together, they want to identify companies whose products can survive the messy reality of global logistics.
The fund sits within a broader strategic partnership between the two organisations, covering technology insights, venture engagement, talent development and innovation partnerships. It also ties into PSA’s wider AI strategy, which includes operational excellence, customer solutions, trusted data foundations, enterprise productivity and sustainability across its port ecosystems.
“Innovation, automation and artificial intelligence are increasingly becoming critical differentiators in global supply chains,” said Ong Kim Pong, Group CEO of PSA International. He said the partnership reflects PSA’s push to strengthen operational performance and connect its port ecosystems more effectively.
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The phrase matters. PSA has been framing its future around a “Node to Network” vision; the idea that ports are no longer just physical nodes where boxes are loaded and unloaded, but connected platforms in wider supply-chain networks. That shift requires technology not only at the quay crane, but across forecasting, inland transport, inventory visibility and emissions tracking.
Why Southeast Asia matters
For Southeast Asia, the fund lands at an important moment. The region is becoming a larger manufacturing and trade hub as companies diversify supply chains beyond China, while e-commerce, regional consumption and cross-border trade continue to grow. At the same time, logistics costs in many Southeast Asian markets remain high due to congestion, fragmented trucking networks, customs friction and inconsistent warehousing standards.
Singapore is already one of the world’s most advanced maritime hubs, but the region around it is far more uneven. This creates both a problem and an opportunity: technology that can prove itself in complex Southeast Asian supply chains may have relevance in other emerging markets too.
AI could help predict vessel arrival times, reduce idle time at terminals or optimise equipment allocation. Robotics could improve container handling, warehouse operations and inspection work. Automation could reduce paperwork and improve coordination between ports, shippers and inland transport providers. But these tools depend on reliable data, integration with legacy systems and trust among industry players.
That is where PSA’s operating footprint may give the fund an advantage. Startups in logistics often struggle to access real-world environments where they can validate products at scale. A global port operator can provide not just capital, but also use cases, domain expertise and potential deployment pathways.
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Jixun Foo, Senior Managing Partner at Granite Asia, said the fund brings together Granite Asia’s technology investment platform with PSA’s operational scale and supply-chain know-how. He added that the aim is to support entrepreneurs whose solutions can deliver real-world impact for ports, logistics and global trade.
Strategic capital, not just financial capital
The fund also reflects a broader shift in venture and growth investing. In capital-intensive or operationally complex sectors such as logistics, climate and industrial automation, money alone is often not enough. Startups need customers, deployment sites, regulatory understanding and technical feedback.
That is why strategic investors have become more important in parts of the technology market where adoption cycles are long. A port automation startup, for example, cannot scale like a consumer app. It must pass safety checks, integrate with critical infrastructure and prove reliability under heavy operating conditions.
Granite Asia’s track record gives the partnership a financial platform to work from. The firm says it has invested in 121 companies valued at more than US$1 billion and supported 70 IPOs worldwide. Its mandate spans private equity, private credit and public capital, giving it flexibility across company stages.
Still, the success of the G&P Strategic Innovation Fund will depend less on the size of the cheque and more on whether it can help portfolio companies cross the gap between promising technology and repeatable commercial adoption. In logistics, that is usually where startups stumble.
For PSA, the move is also defensive. Ports are under pressure to become faster, greener and more resilient while dealing with volatile trade patterns, labour constraints, climate risks and geopolitical disruptions. Operators that can use data and automation well may gain an edge not only in efficiency, but also in customer stickiness.
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The US$50 million fund is modest compared with the scale of global logistics. But if deployed well, it could serve as a test bed for technologies that make supply chains less opaque and more adaptive. In a region where trade remains central to economic growth, that could matter far beyond the port gate.
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