Tuesday, September 16, 2014

Freight Forwarder to Open New Chinese Logistics Centre

Automobile Expertise Leads to 45,000 Square Metre Joint Venture Development
Shipping News Feature

GERMANY – CHINA – DB Schenker continues to increase its presence in China with the news that the group is proceeding with a joint venture together with an unnamed Chinese partner to open a new logistics centre targeted at the burgeoning automobile industry in the country. Earlier this month the group saw its first Eastbound rail freight service travelling to Zhengzhou whilst this latest announcement means a €20 million investment in the new development in Shenyang, North Eastern China.

Shenyang is a major focus for foreign and Chinese investment and one of the largest centres of the Chinese automobile industry and somewhere DB Schenker has been working for more than a decade. Some 25 employees currently offer the full spectrum of freight forwarding services whilst they have also acquired special expertise in logistics services for the automobile industry, including supplying production lines.

A new 45,000 square metre logistics centre is planned, which will distribute spare parts and supply local car production. Construction is due to start in 2015 and the project remains subject to approval from the authorities. Schenker currently has a contract packing car parts in a large logistics centre in Leipzig before shipping these to China, where a major automobile manufacturer uses them in its production processes. Dr. Thomas C. Lieb, Chairman of the Management Board of Schenker AG said:

"This joint venture is a further important step on the way to expanding our leading position in contract logistics in China too. It is part of our strategy to have a clear presence in the Chinese growth regions and provide top-quality logistics services for our customers all around the world."

Photo: Shenyang is an ancient, but now much industrialised city, yet still boasting some interesting architecture, old and new as this coin shaped building illustrates.