Home » 3PL/4PL, Breaking News » DHL Express launches $175-M North Asia hub

DHL Express opened on July 12 its US$175 million North Asia Hub at the Shanghai Pudong International Airport in China, which it said is the biggest express hub in Asia and a logistics milestone for the region.

The company also announced plans to further invest $132 million in eight additional aircraft to serve high-demand routes between Shanghai and North Asia, Europe and the U.S. by 2014.

“DHL Express North Asia Hub is a logistics milestone in DHL’s Asia Pacific network and the culmination of a multi-hub and aviation strategy that cements our leadership position in terms of connections, convenience and cost-effectiveness,” said Frank Appel, CEO of Deutsche Post DHL.

He added: “With Asia’s leading economies fast integrating and free trade agreements reducing barriers to international commerce, logistics companies need capabilities that are ahead of the curve and offer simplicity, speed and service.”

The 88,000-square-meter North Asia hub can process up to 20,000 documents and 20,000 parcels an hour. The facility has environmentally friendly features, such as energy efficient T5 lighting and a solar-powered system for hot water.

Together, DHL Express’ four hubs in Asia Pacific—Shanghai, Hong Kong, Bangkok, and Singapore—link to over 70 DHL Express Gateways located throughout the region. DHL’s infrastructural network is served by a comprehensive air network of over 40 aircraft covering 40 countries and territories, and using about 690 commercial flights per day in Asia-Pacific.

Over the next two years, DHL plans to increase the dedicated capacity of its Asia air network by deploying eight freighter aircraft between Shanghai and North Asia, Europe and the US.

The planned investments will enhance capacity on existing direct connections between the North Asia hub in Shanghai to Hong Kong, Osaka, Tokyo, and DHL’s global hubs in Leipzig and Cincinnati, and will also include new connections between Shanghai and East Midlands, UK, the company said in a statement.

DHL further plans to increase capacity on routes between the North Asia hub and other cities in China and Taiwan. Over the next few months, it will add direct connections to Incheon, Taipei, and Chinese cities such as Dalian and Qingdao, with Beijing and Xiamen likely to come on stream in 2013.

“DHL Express North Asia Hub will play a critical role by supporting growth, improving transit times and network reliability, and providing a foundation for later pick-ups and earlier deliveries for customers across North Asia,” said Ken Allen, Global CEO of DHL Express.

 

Photo courtesy of DHL

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