Release Date:
Release ID: 4557

DHL launches direct LCL services from the United States to Korea

* New Direct LCL Services from New York and Chicago to Pusan
* US Exporters and SMEs to Benefit from DHL Global Forwarding Network and LCL Capabilities to South Korea

Singapore, February 26, 2010 – DHL, the world's leading logistics company, today announced the launch of its direct LCL[1] (Less than container load) services from New York and Chicago to Pusan, enhancing its connectivity between South Korea and the United States. These new direct services will greatly enhance the company’s strong presence in both the United States and Asia, where customers, especially small and medium sized enterprises (SME), will be provided with an expanded service portfolio and access to the Korean market in a more secure and efficient manner.

DHL’s latest LCL service from New York and Chicago to Pusan will serve to bolster the significant trade volumes between United States and South Korea – bilateral trade between the two countries amounted to USD 67.9 billion in 20092 while Korea is the United States' seventh-largest trading partner.

The new direct weekly LCL service, operated by Danmar Lines, the in-house carrier of DHL Global Forwarding, can reduce the transit time between the U.S. and South Korea by three or more days from New York and by three to five days from Chicago when compared to current service transit times. The direct service can reduce the risk of damage, loss and other contingencies, resulting in enhanced security for customers’ shipments.

The weekly New York-Pusan service, with an estimated 26-day transit time, offers greater flexibility and eliminates rail delays and rehandling of cargo in Los Angeles by moving directly from the Port of New York. The Chicago-Pusan weekly service, via the Port of Long Beach, eliminates rehandling of cargo utilizing intact containers.

Kelvin Leung, Chief Executive Offer, DHL Global Forwarding, North Asia Pacific, said, “Today’s challenging environment calls for greater productivity and cost efficiencies. DHL is constantly aligning to changing market conditions and evolving customer needs, holding true our commitment to be customers’ First Choice. The launch of this new direct LCL route connecting New York and Chicago to Pusan underscores DHL’s position as the industry frontrunner.”

SP Song, Country Manager, DHL Global Forwarding South Korea, said, “We hope that the introduction of this service will serve as a catalyst to the expansion of small and medium sized Korean companies by strengthening their supply chains along the US-South Korea trade lane while creating cost efficiencies. The launch of our new LCL service from New York and Chicago to Pusan is in line with our ongoing plans to expand our service offerings to customers in South Korea and the region.”

Not limited to traditional port-to-port service, the new LCL service also offers complete end-to-end supply chain management, which includes pick-up at origin, consolidation and deconsolidation, delivery at destination, customs clearance and DHL Track & Trace - a unique IT system allowing customers full visibility of cargo throughout the process. The all-round reliable supply chain solutions will continue giving customers an edge over the competition.

Clas Thorell, Head of LCL Management Asia Pacific, DHL Global Forwarding, said, “We are operating the world’s largest LCL network – close to 2,000,000 cubic meters of LCL freight handled annually via 45,000 point-pairs – and offering our customers the best in one-stop solutions. By leveraging our LCL capabilities, our customers will not only be maximizing our robust and efficient service offerings but will also be improving our overall service quality.”

Prior to the Chicago, New York LCL service to Pusan, DHL has launched nine other direct LCL services from the US in 2009 to meet increasing demand. From Pusan, Korea, DHL operates 10 direct LCL routes around the world.
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