DHL Launches 8th Global Multinational Gateway in Busan

New half a million Euro facility launches 13 direct LCL services saving customers up to seven days transit time
SEOUL, South Korea, Aug. 23, 2012 /PRNewswire-Asia/ — DHL Global Forwarding, the air and ocean freight specialist within Deutsche Post DHL, has launched its 8th Global Multinational Gateway in the South Korean port of Busan. The hub enables DHL to launch 13 new cost-effective Less than Container Load (LCL) (Note 1) services, adding to the existing 13 services offered. Operated and managed wholly in-house by DHL, customers enjoy total visibility over shipments on some of the busiest trade routes in the world and reductions in transit times of up to one week.

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Kelvin Leung, CEO, DHL Global Forwarding Asia Pacific, said, “Busan’s location between Japan and China makes it an ideal transshipment point for cargo moving to the Americas from North Asia. According to some industry reports, we will see trade between Asia and North America grow almost 5 per cent in 2013 and over 5 per cent in 2014 (Note 2). The launch of DHL’s 8th Global Multinational Gateway in Busan puts us in prime position to take advantage of that growth potential. In addition to the 13 new services that will be introduced with the opening of this facility, we plan to launch another 20 new direct LCL services out of South Korea over the next year.”

Added SP Song, Country Manager, South Korea, DHL Global Forwarding, “The 13 new LCL services we are introducing to the market consolidates shipments from five North Asian origins such as Dalian, Xingang and Qingdao in China, Hakata in Japan, and Busan in South Korea. The consolidated shipments are then delivered to eight countries in the Americas, namely the USA, Canada, Mexico, Colombia, Chile, Brazil, Ecuador, and Argentina. With the new Gateway, DHL not only gives our customers more trading opportunities, we also give them peace of mind over their shipments – we are one of the first logistics players in South Korea to wholly own and operate our LCL services end-to-end, guaranteeing full visibility over these shipments.”

DHL has invested approximately half a million Euros in the setup of the Busan Multinational Gateway, which shortens transit times for customers and businesses in Japan, South Korea and China, and helps them foster better relations with customers and partners in the Americas. Previously shipments were routed through the Hong Kong Multinational Gateway. With the shorter feeder distance to South Korea from Japan and China, and the decreased transit time for shipments in South Korea, DHL is offers a more carbon efficient and environment friendly solution for customers.

Said Marc Meier, Global Head, LCL Management, DHL Global Forwarding, “Analysts project the logistics industry in Asia Pacific to record double-digit growth increases over the next three years (Note 3). With increasing integration and free trade agreements, DHL understands that customers need service providers to create infrastructure and services that offer single market simplicity, speed and service. DHL’s strategically sited multinational gateways allow us to offer customers fast and flexible access to a network that spans the globe with consolidation services and consignment visibility that are unrivalled.”

DHL Global Forwarding operates eight Global Multinational Gateways including four in Asia Pacific (Hong Kong, Busan, Singapore, Colombo), three in Europe (Bremen, Antwerp, Koper) and one in the Americas (Los Angeles).

All LCL services are accompanied by DHL’s first-class IT solutions, such as DHL Track & Trace and other tools, to allow full visibility throughout the whole supply chain. For complete peace of mind, DHL also provides insurance services to customers as a value-added service. DHL’s Shippers Interest Insurance (SII) covers losses or damages of all cargo transported by DHL, as well as transportation costs.

As a global leader in LCL, DHL provides a robust in-house LCL offering that is built upon the concept of National and Multinational Gateways. DHL carries more than 97 per cent of its total volumes in-house. The in-house systems and strong global network enables the control of cargo and information flow, increasing speed, accuracy, cost efficiency and reliability. Going beyond port to port, DHL local experts ensure controlled and timely customs clearance of their freight. Meanwhile, customers are provided with a choice of ocean freight management systems that control their shipping transactions and give full tracking visibility.

Note:

1. Less than Container Load (LCL) refers to smaller amounts of ocean freight cargo that are insufficient to fill a Full Container Load (FCL) on its own. The service is widely used by customers across many industries as it offers greater flexibility in the management of supply chains by being able to ship smaller quantities on a timelier basis.
2. http://www.mdst.co.uk/attachments/trade_data/CIJune2012.pdf
3. According to a report from Transport Intelligence as mentioned in “2012 Business Outlook – DHL Asia”, http://www.logisticsasia.asia/articles/2012-business-outlook—dhl-asia

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SOURCE﹛DHL