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Release Date:
Release ID: 5180

DHL Launches New LCL Service between Busan and Manzanillo

· Direct LCL service reduces transit time to 15 days

Singapore, 2 March 2011: DHL, the world’s leading logistics company, today announced the launch of its direct Less than Container Load[2] (LCL) services between Busan, South Korea and Manzanillo, Mexico. The new weekly LCL service will shorten the transit time from Busan to Manzanillo to only 15 days, facilitating trade between South Korea and Latin America.

Since 1999, Mexico has been the top Latin American importer of South Korean goods by volume and now accounts for South Korea’s largest trade surplus among Latin American nations. The annual surplus for the first three quarters of 2010 stood at USD 5.7 billion, a 50 percent increase on the total figure for 2009. The key industries driving this growth are flat panel displays, cold rolled steel sheets, gasoline and optical lenses.[3]

Kelvin Leung, CEO, North Asia Pacific, DHL Global Forwarding, said, “DHL continues to adapt amid the constantly changing international market so when we see a need for our services, we are best positioned to leverage our network to deliver. With our focus on sustainable logistics, the new direct LCL service will also lower the carbon emissions by more than 4 percent as the shipments are no longer re-handled in Hong Kong.”

Operated by Danmar Lines, DHL Global Forwarding’s in-house carrier, the new direct Busan-Manzanillo LCL service will support the healthy trade between Asia and Mexico. Shipments arriving in Manzanillo, a key hub and transshipment port on the west coast of Mexico, will be distributed to other cities within Mexico such as Altamira, Guadalajara, Leon, Mexico City, Monterrey, Puebla, Toluca and Veracruz through DHL’s inland network.

SP Song, Country Manager, South Korea, DHL Global Forwarding, said, “As most trade between South Korea and Mexico currently occurs through the port of Manzanillo, this new LCL service will ensure that South Korean exporters of LCD and automobile components have better accessibility into Mexico and benefit from the reduced transportation time and costs.”

Marc Meier, Senior Vice President, Ocean Freight & Head of Global LCL, DHL Global Forwarding, said, “As a global leader in LCL, we offer unrivalled coverage with more than 2,300 weekly point pairs from 24 North Pacific terminals sailing to 98 destination terminals in Latin America. With the introduction of this new service, we will help expand their footprint in the South Korea-Mexico trade lane.”

DHL operates the world’s largest LCL network with close to 2,000,000 cubic meters of LCL freight handled annually via 45,000 point pairs within the DHL in-house system.

[2] LCL services refer to smaller amounts of ocean freight cargo that are insufficient to fill a Full Container Load (FCL). The service is widely used by customers across many industries as it offers the flexibility of shipping smaller quantities in a timely manner.

[3] Source: Korea International Trade Association (KITA)

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