DP World is looking to expand its logistics and supply chain capabilities in the Southeast Asian region building on its existing terminal business.
“As we seek to grow our legacy ports & terminals business, we are also working to significantly enhance our capabilities within the fuller spectrum of supply chain solutions – from landside logistics and warehousing to freight forwarding and industrial parks,” Glenn Hilton, CEO & Managing Director, Asia Pacific for DP World, tells Seatrade Maritime News. This dovetails with a global ambition to become an end-to-end logistics provider.
DP World has terminals in Laem Chabang in Thailand, Ho Chi Minh City in Vietnam, and Manila and Batangas in the Philippines. It is also growing a presence in Indonesia with projects and terminals in Belawan in Sumatra and Gresik in Java.
Across it’s Asia – Pacific portfolio of 18 terminals in Asia – Pacific DP World saw 3.1% volume growth in the first half of 2023 – this compared to a 2% decline for its global terminal business as a whole.
Hilton says they continue to be optimistic about their Asian terminals business and Southeast Asia highlights growth in the Philippines.
“For example, our Batangas and Manila ports, which are managed by Asian Terminals Incorporated where DP World is a shareholding partner, handled a consolidated container throughput of over 384,000 teu in the first quarter of 2023, representing 19.8% year-on-year growth,” he says.
“The Port of Batangas is the Philippines’ busiest container, passenger and car carrier port and a key link with the Asia-Europe trade corridor.”
In 2021 DP World set-up in Asia-Pacific regional headquarters in Singapore which Hilton notes is a “regional point of convergence” for its business partners. Focus is on working with these partners on logistics and supply chain in specific verticals.
“Within Southeast Asia, DP World is on the lookout for suitable opportunities to help streamline the flow of trade, especially for the automotive, technology, health and consumer goods sectors. Our strategy in the region is centred on providing customers with integrated solutions and servicing new markets,” he says.
One such partnership is a majority stake DP World acquired in Korean multi-modal transport specialist UNICO in 2020, which operates in 20 countries. “UNICO’s strong position in the fast-growing transcontinental rail freight market between East Asia, Central Asia and Russia is aligned with DP World’s strategy to bolster its logistics capabilities and expand within APAC and Europe,” Hilton explains.
Source: Seatrade Maritime
