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Release Date:
Release ID: 4977

DHL expands Asia LCL offering with new Shanghai to Tokyo service

Singapore, 2 November 2010: DHL, the world’s leading logistics company, today announced a significant expansion of its intra-Asian services with the launch of a direct service for Less than Container Load[1] (LCL) between Shanghai, China, and Tokyo, Japan.

DHL is already one of the world’s leading LCL freight forwarders, with an annual volume of almost 2 million cubic meters. The service will enhance DHL’s already strong presence in China and boost connectivity between two of the biggest markets in the Asia-Pacific region. In the first seven months of the year, bilateral trade between the two countries reached US$164 billion[2], with Chinese imports from Japan rising 44%, and exports rising 24%.

“By listening to our customers, we are able to respond quickly to their demands for more direct LCL services in the region,” said Mr. Kelvin Leung, CEO, North Asia Pacific, DHL Global Forwarding. “And by offering a cost-efficient solution on this route, we can further enhance the market-leading service we provide in China and Japan and increase our customers’ competitiveness.”

The new service has a number of advantages over existing shipment options. Currently, shipments need to be re-handled in Hong Kong and the shipment time totals five to seven days. But the direct shipment between Shanghai and Tokyo will reduce the transit time to four days. This not only saves costs and reduces the impact on the environment, but also improves the security of the supply chain, reducing the risk of damage or loss during transit.

Mr. Steve Huang, CEO, DHL Global Forwarding, China, said the service would particularly benefit companies operating in the automotive, technology and apparel industries. “This service is ideal for firms that rely on timely distribution as part of a secure supply chain,” he said. “In particular, we expect the Chinese automotive and fashion industries to be attracted by this direct service to Tokyo to enhance the time-to-market of their products.”

Mr. Clas Thorell, Head of LCL Management Asia Pacific, DHL Global Forwarding, said, “Our North Asia Pacific team can handle LCL as well as Full Container Load, or buyers’ consolidation. Our local expertise can help our customers ensure smooth freight collection, customs clearance and delivery through our outstanding assembly and distribution networks. The new Shanghai-Tokyo LCL service adds to DHL’s unrivalled service in the North Pacific, where it operates 2,700 weekly point pairs from 24 terminals.”

As a global leader in LCL, DHL carries more than 97% of its total volumes in-house. The in-house systems and strong global network enables the control of cargo flow, information flow, speed, accuracy, cost efficiency and reliability. Going beyond port-to-port, DHL’s LCL service also offers complete end-to-end supply chain management that includes pick-up at origin, consolidation and deconsolidation, delivery at destination and customs clearance. 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.

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