TNT Express to build $85m regional hub in Queensland

TNT Express to build $85m regional hub in Queensland

TNT Express is to invest A$85m ($80m USD) in building a new regional headquarters and distribution centre near Brisbane, Australia. The 72,000 square metre site at Redbank in the city of Ipswich will see construction begin this month, with expectations of completion in June 2015.

The company plans to recruit from the local area, with the facility set to create more than 300 full-time jobs.

TNT Express said the new depot’s “state-of-the-art” parcel sorting technology will process 15,000 parcels per hour, increasing the capacity of the current Salisbury facility fivefold while cutting carbon emissions by 20%.

The facility’s planned 26,000 square metres of warehousing space will also up the current 15,000 available at the Salisbury site, allowing for future growth.

TNT Express Queensland regional director Peter Gutsche said the project marked a “significant” investment in the region to meet the needs of customers in south-east Queensland shipping to the rest of Australia and across the world.

“The new TNT Express Redbank logistics hub will be a major facility in this important and growing area of Queensland,” he said.

“It will contain some of the most technologically advanced and innovative parcel sorting technology available to improve the operational efficiency and security of our customers’ shipments.”

Investment

The new facility is part of a broader investment programme for TNT Express in Australia, which is set to include the creation of new “super hubs” in Sydney and Melbourne, which should also be completed in 2015.

Australia represents the bulk of revenue generation for TNT Express in its Pacific segment. The company provides both domestic and international time-definite and day-definite services.

The business is being reorganized as part of the global TNT Express improvement programme, with efficiency measures including investment in automation in key locations in Australia.

TNT Express made EUR 724m revenue and EUR 12m operating income from its Pacific segment in 2013, shipping 78,000 items per day on average.

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