Maersk to invest USD500 million in Southeast Asian supply chain

News Story
- 14 Dec 2023 ( #1158 ) - Singapore
1 min read
Maersk plans to expand its supply chain infrastructure in Southeast Asia
Maersk plans to expand its supply chain infrastructure in Southeast Asia

A.P. Moller-Maersk will spend more than USD500 million over three years to expand its supply chain infrastructure in Southeast Asia, including ports, warehouses and mega distribution centres. 

The expansion will increase Maerks’s warehousing and distribution footprint by up to 50% across the region and increase the company’s ocean, air and land capabilities for international and domestic markets. 

By 2026, the company expects to add nearly 480,000 sqm of warehouse capacity in Malaysia, Indonesia, Singapore and the Philippines.

“Southeast Asia is the fastest growing area in Asia Pacific,” says Maersk chief executive officer Vincent Clerc.

“A digitally savvy population coupled with an e-commerce boom, government efforts to capitalise on global manufacturing diversification, growing regional brands and rising inter-regional trade is spurring sustained growth in this area.”

The planned investments include upgrading the Port of Tanjung Pelepas in Malaysia to an integrated logistics hub with multi-modal connectivity.

Maersk will also increase its landside warehouse capacity at Singapore's Changi Airport.

On landside connectivity, Maersk will increase its haulage truck capacity, introduce electric trucks by 2024 and will also pilot biodiesel-based haulage trucks.

Maersk says it will also expand its APM Terminals unit and explore opportunities to build green fuel infrastructure to support its future green vessel fleet.

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