CJ Korea Express has very recently acquired a logistics foothold in Indonesia after Myanmar and Malaysia, making inroads into the Inter-Asian logistics markets at a quicker pace.
CJ Korea Express unveiled on Nov. 2 that it has secured a large logistics center in Bekasi Industrial Complex (BIC) bordered by Jakarta, the capital city of Indonesia, for the price of 28.5 billion won.
The logistics center aimed at distribution for enterprises is very large with a land area of 42,414㎡ including the site space of 30,273㎡, larger than four football playgrounds combined. It is equipped with racks using 3-way forklifts capable of handling various types of cargo.
With the logistics center based in BIC one hour away by car from Jakarta, the major consuming area, there are 3,000 enterprises located in BIC including global transport players with high potential logistics demand. The geographic position of the logistics center is most optimal, two hours away by car from the nearest Jakarta International Airport and Jakarta’s Container Port.
CJ Korea Express is now capable of smoothly handling container traffics in latest growth for global multi-national enterprises operating in Indonesia, and is expected to more competitively enliven its strategic business through its own infrastructure.
The company is presently operating 106 footholds in 22 countries over the world including 22 footholds in 8 Southeast Asian countries including Malaysia, Indonesia, Thailand, the Philippines, and Vietnam. It is determined to use the acquired logistics network, providing international integrated logistics service in combination with sea and air service, differentiated from other regional logistics service in Indonesia.
In addition, the logistics player considers debuting a logistics service differentiated from the current market in Indonesia by using most advanced logistics technology and updated logistics equipment through the acquired center on the back of its own cutting-edge TES (technology, engineering, system & solution) and of its own consulting capacity.
Of late, CJ Korea Express has been aggressively expanding its footholds and capacity in the Intra-Asian countries. Last year it set up a regional joint-venture company with Road Transport Administration Department, Myanmar’s state run logistics player, and is now operating it. In last Sept. it acquired stakes in Century Logistics, a Malaysian flag logistics player, for 47.1 billion won, becoming its largest shareholder and being lifted up as the top-ranking logistics player in Malaysia combined with the JVC.
In Thailand CJ Korea Express is actively providing Korean-model courier service tailored to the local sites across the country, relying on auto-bikes and small trucks through its network under direct management.
CJ Korea Express has inked an exclusive agreement for special direct courier service in the Intra Asia with Lazada.com, an associate with Lazada Group ranked top in Southeast Asia in e-commerce transactions. Under the agreement, the logistics player is exclusively providing special international courier service for Korean products which 560 million consumers in 6 Southeast Asian countries are buying by e-commerce.
A CJ Korea Express official said: “We are spurring the expansion in logistics footholds in Southeast Asian countries after China at a faster pace. We are pushing to pursue our multi-faceted growth strategy through M&A and acquisition of stakes in other overseas logistics players in a move to grow into one of the five top global logistics players at a leap.”