DHL launches new direct LCL service from China to United Arab Emirates

Sea freight from Shenzhen to arrive in Dubai in 13 days

Shenzhen, October 18, 2011: DHL, the world's leading logistics company, today announced the launch of its direct Less than Container Load^{^[1]}(LCL) service from Shenzhen to Dubai, making it the second direct LCL service to connect China and the United Arab Emirates (UAE). With a transit time of 13 days, the Shenzhen to Dubai LCL service offers greater cost efficiency and flexibility for small-to-medium enterprises (SMEs) and other businesses that are engaged in trade activities between the two growing economies.

According to Dubai Customs statistics[2], from January to May 2011, imports from China to Dubai reached Dh18.5 billion, or more than US$5 billion. Dubai is playing an increasingly important role in facilitating trade to and through the UAE, with over two-thirds of import items to the UAE today being directed to Dubai.[3]

Enver Moretti, CEO, Middle East, North Africa & Turkey (MENAT), DHL Global Forwarding, said: "The UAE and China have significantly expanded their trade relationship over the last decade, with total trade amounting to US$119.4 billion between 1999 and 2009[4]. As trade between the two continues to rise, our direct Shenzhen to Dubai LCL service reflects DHL's commitment to Chinese customers who are entering the UAE market or increasing their business activities here."

DHL customers in South China, especially SMEs in Guangzhou, Dongguan, Foshan, Huizhou, Zhongshan and Zhuhai, can benefit from the expanded service portfolio. With this move DHL is adding further important destinations to the existing LCL network originating from Shenzhen. Other direct LCL links from Shenzhen are to the USA, Canada, Northern and Eastern Europe, and Scandinavia. The service is operated by Danmar Lines, the in-house carrier of DHL Global Forwarding.

Alper Reyhan, Ocean Freight Manager, Danzas Dubai, said: "With over thirty years of experience in the UAE, DHL has the expertise to cater to the needs of customers entering this market. Leveraging Dubai's strategic position as a regional logistics hub, DHL is also helping to facilitate increasing bilateral trade activity between China and the UAE, projected to exceed US$100 billion by 2015[5], through this new Shenzhen to Dubai direct LCL service."

"As one of the leading LCL freight forwarders in the world with annual volumes close to 2,000,000 cubic meters, we aim to be the partner of choice for enterprises who need cost-effective and efficient support along this trade lane," said Marc Meier, Senior Vice President, Ocean Freight & Head of Global LCL, DHL Global Forwarding. "With this new direct Shenzhen to Dubai LCL service, we are also offering a 7% more CO2 efficient shipping option".

As a global leader in LCL, DHL carries more than 97 per cent of its total volumes in-house. The in-house systems and strong global network enables the control of cargo flow, information flow, speed, accuracy, cost efficiency and reliability. Going beyond port to port, DHL LCL service also offers a complete end-to-end supply chain management that includes pick-up at origin, consolidation and deconsolidation, delivery at destination and customs clearance.

All LCL services are accompanied by DHL's first-class IT solutions such as DHL Track & Trace and other tools to allow full visibility throughout the whole supply chain. For complete peace of mind, DHL also provides insurance services to customers as a value-added service. DHL's Shippers Interest Insurance (SII) covers losses or damages of all cargo transported by DHL, as well as transportation costs.

-Ends-

DHL - The Logistics company for the world
DHL is the global market leader in the logistics industry and "The Logistics company for the world". DHL commits its expertise in international express, air and ocean freight, road and rail transportation, contract logistics and international mail services to its customers. A global network composed of more than 220 countries and territories and about 275,000 employees worldwide offers customers superior service quality and local knowledge to satisfy their supply chain requirements. DHL accepts its social responsibility by supporting climate protection, disaster management and education.

DHL is part of Deutsche Post DHL. The Group generated revenue of more than 51 billion euros in 2010.

For the latest news and happenings about DHL in Asia Pacific, visit http://press.ap.dhl.com

Media Contact:
DHL Asia Pacific and EEMEA
Corporate Communications and Sustainability
Anita Gupta
Tel: +65 6216 6290
Fax: +65 6216 6603
Email: APEEMEACorpCommunications@dhl.com

DABO & CO
Lisa Flanagan
Tel: 04 344 4901
Email: lisa.f@daboandco.com

[1] Less than Container Load (LCL) refers to smaller amounts of ocean freight cargo that are insufficient to fill a Full Container Load (FCL) on its own. The service is widely used by customers across many industries as it offers greater flexibility in the management of supply chains by being able to ship smaller quantities on a timelier basis.

[2] http://arabiangazette.com/dubais-obtains-uplifting-trade-figures/

[3] http://www.economywatch.com/world_economy/dubai/export-import.html

[4] http://www.almasahcapital.com/uploads/media/MENA_India_China_Report__19-Dec-10_.pdf

[5] http://www.thenational.ae/business/economy/china-trade-with-uae-forecast-to-top-100bn