DHL determined to reinforce position in China, Asia-Pacific

Chief executive officer Frank Appel said the German logistics giant would further expand its market-leading position in China, while Asia-Pacific already accounts for almost 20 per cent of DHL revenue.
“Over the past three decades, we have established a second-to-none platform in the Asian markets, which sets the foundation for the continued success of our DHL divisions,” Appel said at a press conference in Shanghai. “We are well positioned for prolonged profitable growth across the region.”
With more than 30 years of experience in the market, DHL is the No 1 logistics brand in Asia, he said, adding that its Express, Global Forwarding and Supply Chain divisions are the clear market leaders in the international express, air freight and contract logistics businesses both in the region as a whole and in many of its most dynamic economies, including China.
In combination with strong ocean freight services, the company is well placed to capitalise on the expected acceleration of transport and trade of products within Asia, as well as between Asia and other emerging markets in the Middle East, Africa and Latin America, said the CEO.
The company’s market position is based on major investments in its infrastructure and services. Overall, DHL has invested more than US$2.5 billion (Bt79 billion) in Asia over the past couple of years in the development of products and services.
All DHL divisions will further invest in their leading service capabilities to underpin their dominant role in the centre of gravity for global trade, he said.
The upcoming opening of the $175-million DHL Express North Asia Hub at Shanghai Pudong International Airport will create the biggest express hub in Asia. This will enable DHL’s delivery to major cities in northern Asia and beyond, Appel said.
In addition, DHL Supply Chain will shortly open a state-of-the art MegaHub in Hong Kong, which will further enhance the company’s operational efficiency and its customers’ business flexibility by bundling four warehouses into one.
The chief executive said that last, DHL Global Forwarding would soon also inaugurate a new operations hub in the region as part of its efforts to further reduce transit times and save costs by consolidating shipments from customers in various Asian markets before exporting them to the rest of the world.
As China has been and will remain the main engine for both regional and global economic growth for years to come, the company has put particular emphasis on the development and expansion of its business in this important country.