Asia-Pacific region is engine of growth for DHL – CEO
The Asia-Pacific region, led by China and India, has emerged as the engine of growth for German express and logistics giant DHL, said Klaus Zumwinkel, chairman and chief executive of DHL’s parent firm, Deutsche Post World Net.
Zumwinkel told a press briefing during a visit here that the region’s share of DHL’s global revenues is expected to rise to nearly 20 pct by 2010 from 11 pct in 2003.
DHL is set to ride on projected robust growth in world trade as tariff and non-tariff barriers are removed and governments and companies increasingly outsource segments of their businesses such as logistics, Zumwinkel said.
‘Asia for our company is the engine of growth,’ he said. ‘Here is where the topline growth comes from.’
He said Asia currently had the fastest growth rates for the company compared with the European and US markets.
The rates range from as high as 50 pct in China, where DHL has taken a 5.0 pct stake in leading logistics form Sinotrans, and between 5.0 pct and 25 pct in the rest of the region.
DHL has invested more than 1.4 bln usd over the past three years in Asia, including buying stakes in local companies as well as building service centers and warehouses and acquiring vehicles.
