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SINGAPORE, March 5, 2015 /PRNewswire/ -- DHL Express, the world's leading international express services provider, today unveiled the blueprint of DHL Express South Asia Hub, a 24-hour express hub facility located within Changi Airfreight Center at Singapore Changi Airport. The new facility, in line with DHL Express' global investments to bolster our network connectivity, boasts a total investment of S$140 million (Euro 85 million), the largest infrastructural amount invested by DHL Express in Singapore, to better support regional businesses operating in and out of Singapore.
Speaking at the unveiling event, Mr Jerry Hsu, CEO, DHL Express Asia Pacific, said: "The DHL Express South Asia Hub reinforces our global multi-hub strategy by leveraging the unmatched regional connectivity provided by Changi Airport and Singapore. In Asia Pacific, DHL Express' four hubs -- Shanghai, Hong Kong, Bangkok and Singapore -- link to over 70 DHL Express Gateways located throughout the region. With the continued growth of the Asia Pacific economies, the South Asia Hub will provide the necessary logistics capabilities to support the growth of trade within the region."
The South Asia Hub reinforces DHL's multi-hub strategy to strengthen its market position in Asia with major investments in infrastructure and services. DHL's network is served by a comprehensive air network of over 40 aircraft covering 40 countries and territories, and utilizing approximately 690 commercial flights per day in Asia Pacific.
Occupying a land area of 26,200 square meters and a total floor area of 23,600 square meters, DHL Express South Asia Hub features the first fully automated express parcel sorting and processing system in Singapore and South Asia. Upon completion, the facility will be able to handle a cargo throughput of more than 628 tonnes per day when at full capacity and process shipments at the speed of 14,000 shipments per hour. In comparison, the manual processing system in the current facility handles up to 225 tonnes per day at a speed of 2,400 shipments per hour.
DHL Express has been working with Changi Airport Group (CAG) on its expansion plans since 2013, and will move its South Asia Hub to a bigger premise at CAG, a 24-hour Free Trade Zone managed by CAG.
Changi Airport is currently connected to more than 300 cities across 79 countries, with over 100 airlines operating about 6,500 flights every week. Changi Airport's strong global connectivity, especially across Southeast Asia, coupled with the additional flights on the DHL network will provide more choices and capacity for DHL Express to serve the region in the long term.
Mr Yam Kum Weng, Executive Vice President, Air Hub & Development, Changi Airport Group, said: "CAG is delighted that DHL Express has chosen Singapore as its preferred location for its South Asia Hub which further anchors Changi Airport's position as a key cargo and logistics hub in Asia. The new facility, which has improved capabilities and almost three times more capacity than that of DHL's existing facility, allows air express parcels to be shipped or transshipped within an hour. CAG will build on our collaborative partnership with DHL Express to see to the successful completion of DHL Express' South Asia Hub."
Besides support in the areas of infrastructure and connectivity, CAG has also actively assisted its cargo partners such as DHL Express through innovative and proactive measures to provide cost relief over the past years, such as landing fee rebates for scheduled freighter services.
"DHL has pioneered the logistics sector in Singapore for over 42 years, building market leadership through innovation, service excellence and commitment. The South Asia Hub is a strong statement of DHL's long-term growth plan for Singapore to continue to be one of DHL's strategic air cargo hubs in Asia," said Mr Herbert Vongpusanachai, Senior Vice President & Managing Director, DHL Express Singapore. "The facility is designed with the vision to deliver top-notch productivity and operational efficiency to benefit our customers with improved speed, reliability and flexibility. With the widened global network and increased flight frequency, we will be able to offer businesses faster access to international markets."
The latest development comes on top of a recent series of plans to bolster DHL Express' network infrastructure in the region. This includes DHL Express' Central Asia Hub in Hong Kong which boasts the region's largest throughput, the North Asia Hub in Shanghai Pudong International Airport, and a new gateway in Tokyo slated for completion in 2016.
Singapore has always been at the heart of DHL's network in Southeast Asia and South Asia. Leveraging the island-nation's strategic location, DHL's current facility is responsible for consolidating and distributing shipments to these regions. It is also a vital springboard to other continents as shipments from Singapore can reach Germany via flights through India while those going to Oceania can connect through Australia. Once the expanded South Asia Hub is completed, DHL will be able to support up to five times more flights in Singapore, further capitalizing on the country's prime position.
"DHL's decision to locate its South Asia Hub here will help strengthen Singapore's position as a leading logistics hub and a practice-leader in automation," said Mr Lee Eng Keat, Director for Logistics, Singapore Economic Development Board. "DHL has continually pursued operational excellence and productivity enhancement in its Singapore operations, and this investment marks yet another significant milestone in the partnership between DHL and Singapore."
Construction of DHL South Asia Hub is expected to be completed by the first quarter of 2016.
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DHL - The logistics company for the world
DHL is the global market leader in the logistics and transportation industry and "The logistics company for the world". DHL commits its expertise in international express, national and international parcel delivery, air and ocean freight, road and rail transportation as well as contract and e-commerce related solutions along the entire supply chain. A global network composed of more than 220 countries and territories and around 315,000 employees worldwide offers customers superior service quality and local knowledge to satisfy their shipping and supply chain requirements. DHL accepts its social responsibility by supporting environmental protection, disaster management and education.
DHL is part of Deutsche Post DHL. The Group generated revenues of more than 55 billion euros in 2013.
For more information: www.dpdhl.com
About Changi Airport Group
Changi Airport Group (Singapore) Pte Ltd (CAG) (www.changiairportgroup.com) was formed on 16 June 2009 and the corporatisation of Singapore Changi Airport (IATA: SIN, ICAO: WSSS) followed on 1 July 2009. As the company managing Changi Airport, CAG undertakes key functions focusing on airport operations and management, air hub development, commercial activities and airport emergency services. CAG also manages Seletar Airport (IATA: XSP, ICAO: WSSL) and through its subsidiary Changi Airports International, invests in and manages foreign airports.
Changi Airport is the world's sixth busiest airport for international traffic. It served a record 54.1 million passengers from around the globe in 2014. In terms of airfreight, the airport handled 1.84 million tonnes of cargo during the year.With over 100 airlines providing connectivity to 300 cities worldwide, Changi Airport handles about 6,600 flights every week, or about one every 90 seconds.
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Logo - http://www.prnasia.com/sa/2010/09/02/20100902467742-l.jpg
