Work begins on Maersk’s Singapore distribution hub

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Maersk's Singapore distribution hub
Maersk Asia Pacific executives and partners join Png Cheong Boon (fifth from left), chairman of Singapore Economic Development Board, and Kenneth Lim (third from right), assistant chief executive of Industry & Transformation of the Maritime and Port Authority of Singapore, at the ground-breaking for the World Gateway 2 project in Singapore, on July 19, 2023. Photo from A.P. Moller-Maersk
  • World Gateway 2 will strengthen Maersk’s omnichannel-fulfilment capabilities in Singapore
  • The Jurong West facility broke ground on July 19 and is targeted for completion in Q1 2025
  • The new distribution hub will have a 30,000-pallet automated storage & retrieval system and a large floorplate of 160,000 sq. ft.

Work has begun on the A.P. Moller-Maersk’s Singapore distribution hub that is meant to strengthen the group’s omnichannel-fulfilment capabilities in the city-state, the global transport and logistics giant said in a press statement.

The ground-breaking ceremony for World Gateway 2, a brand-new 1.1 million sq. ft. facility being built in Jurong West, was held on July 19, 2023. The distribution center is expected to be completed in the first quarter of 2025, Maersk said.

Strategically located in the industrial area with direct access to Ayer Rajah Expressway (AYE), the facility has convenient access to Tuas Mega Port and Changi International Airport. It is also close to World Gateway 1, Singapore’s largest automated and customs bonded warehouse.

Maersk’s Singapore distribution hub is designed to have a capacity of 30,000-pallet automated storage & retrieval system (AS/RS), with a large floorplate of 160,000 sq. ft. This multi-story facility will have a high ceiling with an 11-meter clearance per floor, suitable for dense storage and automation.

Equipped with ample loading bays and container parking places to manage peak season volumes, the warehouse caters to the booming e-commerce fulfilment needs and offers logistics solutions for different industries, including footwear & apparel, beauty & wellness, healthcare, and luxury fashion products across Asia and the rest of the world.

“Maersk’s World Gateway 2 regional distribution centre will increase Singapore’s capacity and capabilities to support omnichannel fulfilment in Southeast Asia,” said Png Cheong Boon, chairman of Singapore Economic Development Board.

“With extensive use of automation and robotics systems, it will be one of the most productive warehouses in Singapore, and will also create many skilled and high value jobs in technology, digitalisation, data analytics and e-commerce.”

Dominic Gates, CEO of Omnichannel-fulfilment, Maersk Asia Pacific, said that as Maersk becomes a global integrator of logistics, its powerful omnichannel-fulfilment solutions provides customers predictability, visibility and efficiency in their supply chain, improving their profitability and brand reputation in today’s complicated marketplace.

“Our continued investment in logistics and services underscores our commitment to support customers’ business needs. Expanding the warehousing footprint and omnichannel-fulfilment competence is essential to our strategic growth, and we’re very excited about the opportunities that lie ahead,” Gates said.

Maersk said supporting customers’ emissions targets and strengthening sustainable solutions are among the strategic priorities of the group.

“This new facility will be both LEED Platinum- and Green Mark Platinum-certified for its outstanding design and performance in environmental aspects. It will be equipped with motion sensor-LED lights, solar panels, composite panel façade system for building insulation, and building management system for energy efficiency,” Maersk said in the statement.

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