DHL Supply Chain embarks on major PH expansion

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Rendering of the Sta. Rosa Logistics Center in Laguna. Image from DHL Supply Chain.
  • DHL Supply Chain is embarking on a major expansion in the Philippines that will increase its warehouse footprint in the country and bolster workforce
  • The €80-million expansion involves ongoing construction of the 50,000-square meter Sta. Rosa Logistics Center slated for opening in the first quarter of 2024
  • It also includes construction of another facility spanning 20,000sqm in the Greater Manila Area in 2025
  • DHL Summit Solutions Inc, a joint venture company, will boost transport fleet by 25% to more than 2,000 trucks
  • 1,000 new roles will be added mainly in warehouse and transportation to support expanding business and facilities
  • The Philippine investment is part of DSC’s €350-million planned investment in Southeast Asia for 2023 to 2028, DSC’s biggest yet in the region

Contract logistics giant DHL Supply Chain (DSC) is embarking on a major expansion in the Philippines that will increase its warehouse footprint and bolster workforce.

The €80-million expansion involves ongoing construction of the 50,000-square meter Sta. Rosa Logistics Center in Calamaba, Laguna slated for opening in the first quarter of 2024, and building a 20,000sqm facility in the Greater Manila Area in 2025.

The Philippine investment is part of DSC’s €350-million planned investment in Southeast Asia for 2023 to 2028, DSC’s biggest yet in the region, according to DSC CEO Oscar de Bok in a press conference on October 17. Of the total, Malaysia gets €131 million, Singapore allocated with €104 million, and Indonesia with €35 million.

READ: DHL Supply Chain to invest €350M in SEA

DSC Southeast Asian CEO Andries Retief in the same conference highlighted the Philippine market’s potential, specifically in the area of technology and consumer retail, including e-commerce. The company is also keeping an eye on industries such as automotive, energy, and mining.

Retief said the primary goal remains delivering value and maintaining quality, distinguishing the company in the market.

The Sta. Rosa Logistics Center, DSC’s biggest facility in the country, broke ground on January 10, 2023, and is DSC Philippines’ (DSCP) first built-to-suit facility with an enclosed area of over 30,000 sqm for warehousing and office space.

READ: DHL Supply Chain invests P4.9B in Sta. Rosa Logistics Center

The facility will hold around 34,000 pallet spaces and feature a temperature-controlled area, along with space for dangerous goods. DSCP offices from Bicutan, Parañaque will later be relocated to this hub.

The Sta. Rosa Logistics Center incorporates digitalization, automation and green initiatives, promoting sustainability.

DSC’s commitment is for all warehouses to be carbon-neutral by 2030, aligning with clients’ sustainability goals.

Transport fleet boost

Meanwhile, the transport fleet will be boosted by 25% to more than 2,000 trucks, through DHL Summit Solutions Inc., DHL’s joint venture with Philippine conglomerate JG Summit Holdings, Inc. DSSI was formed in 2019 to provide domestic transportation, logistics, warehousing and distribution of cargoes, and other supply chain management activities.

The new vehicles will “primarily serve major clients in the consumer and retail sectors and will help facilitate the expansion of DSSI’s delivery networks to achieve nationwide coverage in the Philippines,” DSSI managing director Joseph Aguilar said in a statement.

In the area of human resources, around 1,000 roles in warehousing and transportation will be created. Current employees face promotion, with many new roles in leadership positions.

Bevan Williams, DSCP country managing director, earlier said the company offers a thorough career development program, with 35% of their current leaders benefiting from the company’s graduate program. – Roumina Pablo