PENANG, MALAYSIA - Media OutReach - 17 October 2023 - DHL Supply Chain, the global market leader for contract logistics solutions, announces an investment of EUR350 million in Southeast Asia over the next ten years to expand its warehousing capacity, workforce and sustainability initiatives.
"We see many growth opportunities in the Philippines, especially in its strong retail market. Our investments in warehousing and transport capabilities are tailored to support this sector's growth. To enhance our transport network reach, we have partnered with JG Summit via our joint venture – DHL Summit Solutions Inc (DSSI). This partnership combines JG Summit's market knowledge with our specialized logistics expertise, positioning us ahead of the curve to support our customers' demands," said Andries Retief, CEO, DHL Supply Chain Southeast Asia.
DHL Supply Chain: SEA's supply chain partner of choice expanding capacity and future proofing warehouses
Spanning 50,000 square meters, the Sta. Rosa Logistics Hub will be DHL Supply Chain's biggest facility in the country, and will serve as warehousing storage space and the Country Head Office. This Hub will be a pioneer site for future digitalization initiatives deployed in the Philippines. Elsewhere in the Philippines, DHL Supply Chain continues its commitment to customers by deploying SmartOps. The suite of digital applications connects DHL's employees to its data and IT systems, providing real-time information via SmartOps-enabled wearable devices. This seamless integration improves decision-making, boosting productivity in DHL Supply Chain's warehouses.
This investment of EUR 80 million marks the beginning of a series of facility expansions in the Philippines, with plans for another 20,000 square meters site in 2025.
"DSSI also plans to expand its transport fleet by more than 25 percent to over 2,000 trucks. These vehicles will primarily serve major clients in the consumer and retail sectors and will help facilitate the expansion of DSSI's delivery networks to achieve nationwide coverage in the Philippines," added Joseph Aguilar, Managing Director, DSSI.
Investing in talent for a future-ready supply chain
DHL Supply Chain Philippines is set to bolster its workforce by adding 1,000 new roles mainly in warehouse and transportation to support its expanding business and facilities.
"We have a comprehensive career development program for our employees, with 35 percent of our current leadership roles fulfilled by our graduate program. Two of them are with the local senior management board, as we always look to provide existing employees with upward mobility opportunities. In fact, a number of the new roles created as part of the investment would be leadership roles," added Bevan Williams, Country Managing Director, DHL Supply Chain Philippines.
Championing a green supply chain management
The Sta. Rosa Logistics Hub will have environmentally friendly features, including rainwater harvesting and solar panels. The new facility will also have built-in electric vehicle (EV) charging stations, providing DHL Supply Chain with the capability to use EVs in the future.
"We have a global mandate to reduce our carbon emissions, and we will support that when the right technology is made available to us. We have taken our first step with the Sta. Rosa facility, and will look to replicate it across the Philippines," said Bevan.
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DHL – Excellence. Simply delivered.
DHL is the leading global brand in the logistics industry. Our DHL divisions offer an unrivalled portfolio of logistics services ranging from national and international parcel delivery, e-commerce shipping and fulfillment solutions, international express, road, air and ocean transport to industrial supply chain management. With about 395,000 employees in more than 220 countries and territories worldwide, DHL connects people and businesses securely and reliably, enabling global sustainable trade flows. With specialized solutions for growth markets and industries including technology, life sciences and healthcare, engineering, manufacturing & energy, auto-mobility and retail, DHL is decisively positioned as "The logistics company for the world".
DHL is part of DHL Group. The Group generated revenues of more than 94 billion euros in 2022. With sustainable business practices and a commitment to society and the environment, the Group makes a positive contribution to the world. DHL Group aims to achieve net-zero emissions logistics by 2050.
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