CJ Logistics to build e-commerce global distribution center in Saudi Arabia

SEOUL / RIYADH : CJ Logistics plans to establish a Global Distribution Center (GDC) in Saudi Arabia by 2024, in an effort to expand its business in the Middle East, the country’s largest logistics firm said Thursday.

The building, which will be located in Riyadh’s Special Integrated Logistics Zone at King Khalid International Airport, will be the first dedicated e-commerce logistics facility in Saudi Arabia.

“The Saudi e-commerce market has the richest growth potential in the Middle East and the geographical advantage of connecting Africa and Europe,” CJ Logistics CEO Kang Sin-ho said during the business launching ceremony with the Saudi Arabian General Authority Civil Aviation held in Riyadh on Wednesday.

A GDC is a state-of-the-art logistics center with a gross floor area of 18,000 square meters and a daily throughput capacity of 15,000 boxes.?It will serve as a forwarding base and hub for logistics in the region, connecting the Middle East, Africa and Europe.

CJ Logistics signed an eight-year long-term contract with iHub earlier this year before establishing the GDC. The new center will offer international delivery of iHerb products to the Middle East,?one of the largest online retailers of health and wellness products.

“We will spare no support for state-of-the-art logistics technology and infrastructure so that the GDC can become a logistics hub that leads the Middle East e-commerce market,” Kang said.