Press release
TNT Opens Giant Road Hub in Wuhan, China
Plans to open 10 regional road hubs to tap on China’s growing domestic market
(Wuhan, China - 18 June 2009 ) TNT, one of the world’s leading express companies, today inaugurated its road mega-hub in Wuhan, Hubei Province, China. This state-of-the-art regional mega-hub will be operated and managed by TNT’s wholly-owned subsidiary, TNT Hoau. The mega-hub signifies a new milestone in the development of TNT Hoau in China as it pioneers an upgraded network operation model in the Chinese domestic road distribution service, by significantly improving operation capacity and efficiency. Over the next five years, TNT will establish of 10 regional mega-hubs to tap on China’s growing domestic economy, which is expected to grow by at least 6% in 2009.
Boasting a sprawling 46,620 m² facility at the Wuhan Dongxihu Bonded Logistics Centre, the TNT Hoau Wuhan Regional Mega-hub will further optimise the company’s road distribution network in the region, through improved operations management, enhanced IT capabilities and upgraded infrastructural facilities. The Mega-hub will allow the company to lower operational cost by up to 10% and reduce the delivery time of its key line-hauls, spanning China’s Provinces of Fujian, Jiangxi, Hunan, Sichuan and Chongqing city, by up to 2 days.
"This is all about increasing the competitiveness of our services to bring even greater value to our customers in China," said Michael Drake, regional managing director of TNT North Asia. "Our continued investment in TNT Hoau, despite the current economic challenges, is a clear demonstration of our focus to be the market leader, and will be critical to TNT’s continued success in China. The increasing Chinese domestic consumption will drive a greater need for faster, more comprehensive and consistent road services, and the Mega-hubs will place TNT Hoau in an even stronger position to tap on the future growth of this market."
"We have long-term development plans for TNT Hoau in the Chinese road distribution market and our continued rapid growth since last year has further strengthened our determination to invest in this market," added Edward Xu, CEO of Hoau Group, TNT Greater China. "TNT Hoau has received immense support from the local government to set up the Mega hub. Leveraging TNT’s international road expertise advantage, we envision that the TNT Hoau Wuhan Regional Mega-Hub will further optimize TNT Hoau’s extensive domestic road network and prepare the company for future network expansion and business volume growth. More importantly, our customers will be able to benefit from even faster delivery service on our key line-hauls, increased service consistency and expanded road distribution service coverage."
Situated at the geo-economic heart of Central China, the Wuhan Dongxihu Bonded Logistics Centre is the fourth bonded logistics centre in China, after Suzhou, Beijing and Nanjing. The centre will allow Wuhan to enjoy the treatment of an international free trade port in Central China. The establishment of the purpose-built TNT Hoau Wuhan Regional Mega-hub was fully supported by the Wuhan Dongxihu Bonded Logistics Centre. The mega-hub not only fulfils the operational requirements of TNT Hoau, it also has integrated numerous advanced features of an international road distribution hub, making it the best-in-class and industry-leading logistics facility in China.
"We are happy to see TNT-Hoau, one of China’s most renowned domestic brand in the road distribution industry, to set up their regional mega hub in our centre, creating a win-win situation for TNT Hoau, its customers in the region and the Centre," said Zhai Yufeng, Dongxihu Bonded Logistics Centre. "With one of the largest concentration of the best companies in the region, the Dongxihu Bonded Logistics Centre provides a pool of companies who require TNT Hoau’s reliable and high-quality services to drive greater market competitiveness. At the same time, TNT Hoau’s entry will increase the centre’s overall attractiveness as international free trade port in Central China."
As the the wholly-owned subsidiary of TNT China, TNT-Hoau forms a crucial part of TNT’s strategy to bring the company closer to its global strategic intentions of becoming No.1 in China. TNT Hoau currently operates China’s most extensive private domestic road transportation network, which consists of 56 domestic hubs, serving 1,260 depots, and covering over 500 Chinese cities.
Copyright © 2009 TNT China