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DHL to support Vietnam's ever-growing fashion export industry
Jun '09
DHL, the world's leading logistics company, announced that it will invest US$10 million over the next five years in its new joint venture in Vietnam. The company signed this agreement with its local Vietnam partners including Oriental Logistic to form a new entity, DHL Global Forwarding (Vietnam) Corporation.

The investments will go towards the expansion of facilities, employee training, upgrading of information systems and introducing an enhanced range of services for businesses in Vietnam. “The newly-launched DHL Global Forwarding (Vietnam) Corporation will offer customers the full range of logistics and supply chain services available anywhere in the world to local customers,” said Amadou Diallo, CEO, DHL Global Forwarding South Asia Pacific.

As part of this investment, by end 2009, DHL will also launch the “DHL Fashion and Apparel Center for Excellence” in Vietnam, its first in Southeast Asia. The center will comprise of a core team of industry experts and be responsible for developing tailored solutions and provide consultancy services to customers in DHL's biggest fashion and apparel logistics market in South East Asia.

“The fashion and apparel industry is one of the core focus areas for DHL Global Forwarding in Asia Pacific. This industry contributed nearly US$2.6 billion to Vietnam in the first four months of 2009 alone, with US$9.5 billion in exports projected for 2009. Despite the economic slowdown, the sector is predicted to grow at 5% for the year which demonstrates some degree of resilience compared to other sectors ,” added Amadou Diallo.

Mr. Sam Ang, CEO, DHL Global Forwarding South East Asia, said, “We are very optimistic about Vietnam's growth potential. The country has recorded impressive export growth in the past decade, and even in the prevailing economic climate today, continues to grow its export volumes in various key industries – notably fashion.”

As the global leader in air and ocean freight, DHL estimates the Fashion and Apparel Logistics industry to be worth US$3.9 billion per annum in South Asia and South East Asia. Vietnam, Indonesia and Cambodia alone are estimated to account for well over US$2.5 billion in this fast-growing industry. DHL's services cover the entire logistics value chain of the fashion industry.

DHL Global Forwarding (Vietnam) Corporation is a strategic investment by DHL in preparation for the anticipated future growth while concentrating on opportunities from the highly critical textile and apparel, footwear and furniture industries, which are very well established in Vietnam. The business is also ideally positioned to assist I.T. and telecommunications industries with their logistical needs as the country grows its manufacturing base in those fields. Customers will stand to benefit from a stepped up level of service capabilities and access to a global range of market leading logistics solutions.

“The US$10 million investment reinforces our commitment to Vietnam significantly,” said DHL Global Forwarding Vietnam Managing Director Mr Michel Khaou. “Vietnam is continually seeking to improve its export economy and its integration with world markets, and certainly DHL Global Forwarding (Vietnam) Corporation, with our increase in service offering in the coming months is ideally positioned to facilitate this.”

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