JAKARTA - DHL Global Forwarding has launched DHL Asiaconnect+ in Indonesia, a less-than-truckload (LTL) scheduled service that connects the country to DHL Asiaconnect which provides road freight network across Singapore, Malaysia, Thailand, Vietnam, and China.
With DHL Asiaconnect+, shipments from various Indonesian cities including Bandung, Balikpapan, and Semarang are consolidated in Jakarta by air or truck before being air-freighted to Singapore and transported via road freight to Kuala Lumpur, Penang, and Bangkok. A service extension to Vietnam and China will follow at a later stage.
“Adding Indonesia to the service portfolio gives customers a new option for multimodal freight service, which is up to 35% cheaper and reduces carbon emissions by up to 54% compared to airfreight,” said DHL Forwarding Indonesia President Director Vincent Yong at the official launch of DHL Asiaconnect+ at the Fairmont Hotel, South Jakarta on Tuesday (15/10).
“It is also 65% faster as compared to ocean freight, providing the perfect middle-ground for customers who want more flexibility.”
DHL, Mr Yong added, views Indonesia as being of “paramount importance” to the company’s operations, owing to the country being the world’s largest archipelago and its logistics costs, which are among the highest in Asia at 24% of its GDP.
“Indonesia is an excellent manufacturing hub for companies looking to diversify from China due to rising costs. Building a greater range of transportation options for businesses enables companies to better leverage Indonesia’s strategic location as a production base for the increasingly affluent domestic and regional markets,” said DHL Head of Road Freight & Multimodal ASEAN and South Asia Bruno Selmoni.
Currently DHL has six bonded logistics centres (BLCs) across Indonesia, with the newest being located in Medan. According to Mr Yong, the company is prepared to set up more BLCs in accordance with customer demand, with Batam being the most likely location in the near future. (MS)