Asian integrated logistics provider Toll Group has completed its acquisition of joint-venture partner, China-based ST-Anda, and launched its own brand into the Chinese market under the Toll Global Logistics division.
The move will strengthen domestic branch network support for Toll’s automotive offering according to Toll Global Logistics president and CEO Wayne Hunt, making them more extensive and enabling the company to pursue broader automotive aftermarket service requirements.
Toll's Greater China regional headquarters for contract logistics is in Shanghai. The group has operated in the country since 1996 through its controlling interest in ST Anda, the first 3PL joint venture in China to be approved a nationwide license to provide services there by the Ministry of Communication. (ST-Anda was formed in 1995 as a foreign majority-based joint venture between Toll Asia, then known as Semb-Corp Logistics, and Shekou Industrial Zone.)
Automotive is one of Toll’s principal sectors and the company is eager to transfer the expertise it has built in automotive logistics to the Chinese market.
“Toll is very experienced in the complex logistics requirements of the automotive industry through its leading-edge position within Australia, and are keen to transfer this capability into China, where we believe we have a lot to offer the automotive industry,” Hunt told Automotive Logistics News
Hunt said the company will now be able to leverage its 100%-owned Greater China business to lower back office costs for automotive, as well as enable closer sharing of domestic intellectual property between all businesses.
“The extensive in-country experience of our China operations (dating back to 1996) also enables the transferring of strong local 'on-the-ground' knowledge and skill sets between operations as our automotive involvement expands,” he added.
Toll now operates a network of 23 logistics facilities with more than 20 distribution centres, delivering to more than 1,600 cities across China.