Kuehne + Nagel sets 2011 as China focus year

KUEHNE + NAGEL is boosting its presence in China's logistics and freight forwarding market next year in anticipation of further growth, according to Jens Drewes, managing director for Central and North China.

Speaking to London's International Freighting Weekly, Mr Drewes said investments in inland ports and trucking would be prioritised. "Inland distribution depends largely on infrastructure availability and customer requirements."

Mr Drewes said: "We often use domestic feeder services on the Yangtze River as well as railway services. However, the majority of shipments in China are still transported by truck.

"The local trucking market is very fragmented, with only a few regional players. Therefore, Kuehne + Nagel has decided to strategically develop its road transportation service in China as of 2011," he said.

The report noted that Kuehne + Nagel operates in 40 locations in China, employing 2,700 staff. As well as covering the major coastal ports, the company also operates more than 20 container freight stations of more than 265,000 square metres.

"In recent years, we have continuously invested into new facilities and expanded our service portfolio offering also, for example, sea-rail," he said. "In response to the domestic surge we are also operating at more inland ports, such as Chongqing, Chengdu, Xian and Nanjing.

In 2011, Kuehne + Nagel will open offices in nine mainland cities: Changsha, Kunming, Leshan, Luoyang, Taicang, Wuxi, Yangzhou, Yinchuan and Zhengzhou.

"The offices will facilitate serving customers in our core business and will also support the development of inland transportation," said Mr Drewes.
(Source:www.schednet.com)