DP World grows in South Korea

DP World has announced a $50 million (USD) investment to develop a new logistics centre in Busan New Port, South Korea.

The move is expected to strengthening the port’s position as a logistics hub for Northeast Asia, and reinforce the global standing of the wider Busan-Jinhae Free Economic Zone (BJFEZ) in business and logistics.

“With this major investment, DP World will be able to combine our strong freight handling and multimodal transportation capabilities with new warehousing and logistics solutions to provide customers in South Korea a more seamless end-to-end supply chain offering,” said CEO and Managing Director Asia Pacific, Glen Hilton. “The DP World Busan Logistics Centre (BLC) will cement Busan New Port’s position as a key supply chain hub for Asia Pacific, and thus empower local and international businesses to seize the expanding opportunity in intra-Asia trade.”

Construction of the facility on the 75,000-sqm piece of land is set to commence at the end of 2024, with operations expected to start by the second quarter of 2026. The centre will have capacity to process nearly 80,000 TEUs of cargo per year by 2028 and offer comprehensive value-added logistics services such as assembly, processing and packaging to local and regional customers.

Leveraging South Korea’s manufacturing prowess and the BJFEZ’s central position in the country’s advanced manufacturing sector, the BLC plans to specialise in exports of completed automobiles, automotive parts and materials, fishery equipment, machinery and other key Korean industry outputs.

BJFEZ is the third-largest free economic zone in South Korea, with 700 million people living within a 1,200 km radius. A gateway to Eurasia and the Pacific, the economic zone is developing a mega ‘Logistics Tri-Port’, which will span sea, air and land ports including Busan New Port, the forthcoming Jinhae New Port, the forthcoming Gadeok International Airport and the Busan New Port Freight Station with rail connections to parts of Eurasia.

In other news, Maersk has launched a new 30,000 square metre facility in Tijuana, Mexico.

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