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Maersk's latest solutions to help you keep freight moving. The economy is growing, warehouses are growing

Maersk's latest solutions to help you keep freight moving. The economy is growing, warehouses are growing
photo: Maersk´s press materials/Maersk's latest solutions to help you keep freight moving. The economy is growing, warehouses are growing
31 / 01 / 2022

According to the Global Purchasing Managers' Index (PMI) published in January, signs of strengthening world production showed in December, suggesting that production sentiment remained optimistic in the fourth quarter despite several problems, including delivery delays and the continuing threat from COVID-19. China's manufacturing PMI moved up to 50.3 in December for the second month in a row, indicating that the economy is in the expansion before the Chinese New Year holidays in February, with China's GDP growth in the fourth quarter of 2021 up 4% higher than in a previous year, while China's manufacturing industry also grew in parallel with the last year, by 4.3%.

This optimism gets reflected in the forecasts for container cargo volume this year, which should grow, despite the risks to global trade, including geopolitical tensions. In 2021, our estimated global container traffic growth was 7.8%, reflecting continued global GDP growth.

However, challenges remain. The Deutsche Bank congestion index points to persistent pressures and bottlenecks on the broader supply chain, with crucial congestion and inland transport delays being key issues. In contrast, transport rates get expected to remain elevated.

The acquisition of LF Logistics is an important and truly strategic milestone on our journey to become the global integrator of container logistics; a global logistics company that provides digitally-enabled end-to-end logistics solutions based on control of critical assets. With the acquisition of LF Logistics, we add critical capabilities in the Asia Pacific to support our customer's long-term growth in the Asia Pacific as well as capabilities and technology we can scale in our contract logistics business globally, '' said Soren Skou, the CEO of Maersk.

Maersk will expand its existing portfolio by 223 warehouses, bringing the total number of warehouses covering 9.5 million square meters to 549 worldwide.

Maersk will also enter into a strategic partnership with Hong Kong-based Li & Fung to develop logistics solutions as part of the acquisition. Li & Fung owns 78.3% of LF Logistics, and the remaining 21.7% gets held by Temasek Holdings, an investment tool of the Singapore government.

The planned acquisition of LF Logistics is the latest in a series of transactions that have taken place since mid-last year and also includes two e-commerce logistics companies - Visible Supply Chain Management and B2C Europe Holding - in the US and Europe.

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