USD 200m investments in South America
DHL CEO announces investment plans in his visit to South America.
Investment will amount USD 200 m.
DHL Express will not cut back on its investment plans for Latin America despite the worsening worldwide economic climate, CEO John Mullen has stressed. Spending of USD 200 m is budgeted for 2009 and 2010, he said on a visit to South America earlier this month.
In Brazil, DHL Express wants to grow in the domestic express sector, and is open to acquisitions or joint ventures, the Valor Economico newspaper cited Mullen as saying. He did not give an investment figure for Brazil where the company will particularly focus on high-value shipments such as IT equipment requiring high security levels. DHL Express Brazil has increased revenues by about 12% this year, according to the newspaper.
In Argentina, DHL Express will invest USD 20 m in 2009 and 2010, and a similar amount in the following few years, La Nación reported. The figure was announced after a meeting between Mullen, the Argentinian president Cristina Kirchner and the minister of production, Debora Giorgi.
DHL, which has already invested some USD 40 million in Argentina in recent years, has generated annual growth of about 17% in the country over the last five years. Its market share is about 50% for international express exports, and 30% for imports, the newspaper reported.
