DHL has opened its latest electric vehicle (EV) Center of Excellence in Shanghai, China, to support EV companies and related sectors in growing their presence locally and globally.
This marks the Group's first EV Center of Excellence in China, the largest global EV market, following locations in key regions across the globe, including Indonesia, Mexico, the United Arab Emirates and the United Kingdom.
In the announcement, DHL said the Shanghai EV Center of Excellence is managed by DHL Global Forwarding and developed in close cooperation with Team EV of DHL Customer Solutions and Innovation (CSI), DHL Express and DHL Supply Chain.
[Source: DHL]
The facility specializes in seamless and integrated end-to-end logistics for EV products, including batteries, electric motors, charging infrastructure and more and has a dedicated team to ensure efficient handling, storage and transportation while meeting the unique needs of the EV sector.
"In 2023, Chinese automakers dominated the global EV market, manufacturing over half of the EVs on the roads worldwide and becoming the largest car exporter. As a battery powerhouse, China is home to six of the top ten EV battery manufacturers, supplying close to 60% of the world's battery cells," said Niki Frank, CEO of DHL Global Forwarding APAC.
He noted that DHL's experience in the EV industry and its global network puts it in a position to facilitate the international expansion of Chinese EV firms.
"With the Shanghai EV Center of Excellence, we aim to be the partner of choice for customers seeking international business growth," Frank added.
Dongming Wu, CEO of DHL Express China, said an entire ecosystem is needed to support the growth of Chinese EV makers as they expand globally.
"We have the know-how in the trade policies and customs regulations of various countries. From documents and parts to raw materials, DHL is fully capable of providing stable and reliable logistics support for industry players in China to tap into the overseas market and help reinforce China's standing in the global EV sector," he added.
DHL said the rapid growth and demand for electric vehicles pose particular challenges for manufacturers. These include the necessity for effective storage solutions at both the beginning and end of the supply chain to handle the increased shipping of batteries. Furthermore, since batteries are classified as hazardous materials, there are strict safety and regulatory standards that need to be addressed.
DHL said one of the main features of the Shanghai EV Center of Excellence is the fully integrated, modular, end-to-end logistics solutions for finished vehicles and batteries.
Meanwhile, the announcement noted that DHL Global Forwarding has also made strides in its sustainability efforts in China. It has a fleet of over 250 electric and hydrogen vehicles in China, operating for more than 320,000 miles monthly.
In China, DHL Express had achieved 26% fleet electrification by 2023 and has welcomed over 50,000 GoGreen Plus customers.
It also introduced a fleet of hydrogen energy trucks with local partners for long-haul operations in Shanghai, making China the first among the 220 countries and territories within the DHL Express network to do so.
