Source: Nikkei Asia
Japanese developer Daiwa House Industry will launch an international logistics business in Southeast Asia, catering to the growing number of Japanese manufacturers operating in the region.
Subsidiary Daiwa Logistics will provide a one-stop shop for third-party logistics services, including transportation and warehousing. It is slated to launch in Vietnam this month, with plans to expand later to nearby countries.
Daiwa House will use logistics facilities it has built in the southern Vietnamese province of Dong Nai, with convenient access to ports and to a future airport now under construction.
The company, which already develops logistics centers in Southeast Asia, looks to leverage the know-how it has gained from transporting construction materials in its home market to expand its business and strengthen its presence in the region.
The move comes amid a buildup of manufacturing supply chains in Southeast Asian countries such as Vietnam, Thailand and Malaysia.
Japanese companies had roughly 2,100 bases in Vietnam as of last year, up about 30% from 2016, according to Japan’s foreign ministry. While Daiwa House plans to focus on Japanese companies initially, it will broaden its scope to local companies further down the line.