DHL Opens Domestic Transportation Hub in Shanghai

DHL has opened its Eastern China Domestic Transportation Hub in Shanghai, as part of a US$25 million investment that strengthens the company’s expertise in the domestic road transportation and distribution market in China.

The domestic market in China has been growing due to the improved purchasing power of the local population. Total revenue from the domestic road transportation industry in China rose 66 percent between 1998 and 2007, from US$15 billion to US$25 billion, and it is projected to reach US$36 billion by 2013 at an annual growth rate of 7.1 percent.

The Chinese government has also released a roadmap for developing Shanghai into an international shipping center. This is expected to boost demand for domestic transportation services in order to deliver goods from inland production bases to the ports and airports, as well as distributing imported goods to end consumers in the cities.

"The launch of the DHL Eastern China Domestic Transportation Hub in Shanghai reflects our continued confidence in China and commitment to be the best integrated logistics solutions provider," said Frank Appel, Chief Executive Officer, Deutsche Post DHL. "We are confident that this hub will enhance our competitive edge in managing domestic transportation and distribution, enabling DHL to continuously meet and exceed our customers' expectations."

DHL, www.dhl.com