28 October 2021
DHL Express will invest RM200 million to build its first fully auto sort gateway at the Kuala Lumpur International Airport (KLIA), its largest investment in Malaysia to date and part of the company’s expansion plans to meet the demands of Malaysia’s growing logistics sector.
Located at the KLIA Air Cargo Terminal 1, the 13,422 sqm gateway will nearly triple the size of DHL Express’ current facility, also located at KLIA, and will increase the shipment processing capacity by more than 400%.
The facility will be equipped with an automated sort system that can handle 10,000 packages per hour, 24 hours a day, compared to the current 2,400 packages per hour. This will be the second auto sort facility in DHL Express’ Southeast Asia network after Singapore.
DHL Express Asia Pacific CEO Ken Lee said the expansion demonstrates the importance of Malaysia in DHL Express’ Asia Pacific network.
“The new Kuala Lumpur Gateway will strengthen our logistics capabilities to support the growth of trade in Southeast Asia as it occupies a strategic position along key trade lanes between Malaysia and countries like Singapore, Taiwan, Hong Kong, and China,” he said today.
Ministry of Transport secretary-general Datuk Isham Ishak said the expansion demonstrated the importance of Malaysia in DHL Express’ Asia Pacific network.
“The new Kuala Lumpur Gateway will strengthen our logistics capabilities to support the growth of trade in Southeast Asia as it occupies a strategic position along key trade lanes between Malaysia and countries like Singapore, Taiwan, Hong Kong, and China,” he said.
DHL Express Malaysia and Brunei managing director Julian Neo said in recent years, even prior to the pandemic, DHL Express has seen a significant rise in import and export volumes in Malaysia.
“The fully auto sort gateway will enable us to manage the increasing growth of shipment and parcel volume driven by the rise of cross-border e-commerce, and help us to continue meeting Malaysian consumers’ ever growing demand for efficient logistical services.”
DHL’s new Kuala Lumpur Gateway will be equipped with state-of-the-art technologies and designed for optimal shipment processing efficiency including a high-speed dimensioning and weighing system.
“In line with DHL Express’ commitment to the security of customers’ shipments, the gateway will be equipped with more than 250 closed circuit television and high-speed X-ray screening systems. A 500 kilowatt-peak solar system and energy-efficient lighting systems will also be outfitted at the gateway, as part of the company’s commitment towards achieving its zero emissions target by 2050,“ it said.
The new gateway will see two dedicated aircraft flying five times a week to and from Hong Kong, and four times-a week to and from Singapore. Presently, DHL Express has six international gateways in Malaysia, which are in Penang, Johor Baru, Kota Kinabalu, Kuching, Subang, and Kuala Lumpur.