DHL Express €335m investment in Central Asia Hub

DHL Express is to spend €335 million expanding its Central Asian Hub (CAH). This will take DHL’s overall investment in the hub to some €520 million. It will open in Q1 of 2022.

The DHL CAH is one of three global hubs the logistics and express company uses. It will continue to act as the core hub of the DHL Express global and Asia Pacific regional network, handling more than 40% of its total Asia Pacific shipment volumes.

In a statement, Ken Allen, CEO of DHL Express, said: “Given the expected rise in international e-commerce and intra-Asian trade, DHL is committed to strengthening our global network and services. Based in a strategically important location to DHL, the expanded Central Asia Hub in Hong Kong will not only bolster our operational capacity in Asia Pacific, but also facilitate the rapidly-growing international trade demands in the region and around the world.”

The refurbishment of the CAH will have an enhanced material handling system, boosting the hub’s throughput capacity from 75,000 shipments per hour to 125,000 pieces an hour. At full capacity the annual throughput will rise by 50% to just over a million tonnes a year.

Ken Lee, CEO of DHL Express Asia Pacific, commented: “Connecting with more than 70 DHL Express gateways in the region, the Central Asia Hub plays a significant role in strengthening our existing network of hubs in Asia Pacific, including Shanghai, Singapore and Bangkok. The expansion will also help us capitalize the growth in intra-Asian trade lane that currently contributes to 40% of our revenue in Asia Pacific. Equipped with fully automated X-ray inspection machines, it will increase the speed of our shipment inspection by three times – enabling us to expedite the processing speed of shipments that come through the CAH.”
 
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