DHL Express has announced that it has relocated its Prai Service Centre to a larger, RM13 million (US$2.9 million) facility at Batu Kawan Industrial Park in Penang, Malaysia.

In a statement, the global logistics company said the new Prai Service Centre includes 2,386 square metres of warehousing and office space, which is five times the size of the previous facility.

Increased demand for international shipping

"The move was in response to the increased demand for international shipping by the northern region's business community," DHL said.

The opening of the new service centre was officiated by YAB Tuan Chow Kon Yeow, chief minister of Penang, and witnessed by Julian Neo, managing director of DHL Express Malaysia and Brunei.

"We are pleased to see DHL Express establishing a stronger foothold in Penang to support our thriving businesses here, which have experienced a further uptick in overseas sales. Their investment demonstrates confidence in the state while capitalising on our strategic connectivity to Asia as a whole," said Kon Yeow. 

For his part, Neo noted how participating in cross-border trade drives resilience, sustainable development, and quality employment for both SMEs and large corporations.

"As a major facilitator of global supply chains, DHL Express helps homegrown brands realize their growth potential by tapping into the export market. With the bigger and better Prai Service Centre, our customers are better positioned to leverage the ongoing growth of B2B and B2C e-commerce," he said.

In line with DHL Group's commitment to achieving zero carbon emissions by 2050, the facility is equipped with state-of-the-art solar panels and fitted with energy-efficient appliances and systems that are expected to cut the release of greenhouse gases by 26.9%.

DHL noted that its Prai Service Centre handles domestic and time-definite international shipments to and from the 220 countries and territories served by DHL Express and offers a convenient ServicePoint for customer drop off and pick up. 

DHL also noted that Penang in northwest Malaysia has long been a strong point of focus for DHL Express.

The Prai Service Centre is one of three facilities in the state, with the others being Penang Gateway and Penang Service Centre on the island. In May 2021, the company introduced a direct Hong Kong-Penang route that plies five times a week between the Central Asia Hub in Hong Kong and Penang Gateway.

DHL noted that an Airbus A300 aircraft with 54 tonnes of cargo space is dedicated to serving Penang where electronic components and parts make up the bulk of goods flown which adds capacity and shorten transit times to and from the city.