Logistics in China
The largest domestic demand-based logistics network among Japanese companies
ITOCHU’s Logistics Services Department has from an early stage placed importance on domestic demand-based logistics in China. About 50 logistics bases have been established throughout the country, mainly by ITOCHU Logistics (China) CO., LTD. and the Ting Hsin (Cayman Islands) Holding Group. Through this network, 3PL and other logistics functions are being offered across China, responding to growing domestic demand accompanying the development of China’s consumer economy. These services have contributed to expanding domestic sales in China by top-grade, primarily Japanese, manufacturers in areas such as cosmetics, apparel and toiletries. Sales from logistics services in China in 2018 exceeded 40 billion yen for our Group, showing a high annual growth ratio of 15% over the past three years.
Additionally, ITOCHU Logistics Corporation, one of the core operational companies of the Group, has been made into a subsidiary to integrate its international logistics networks with domestic logistics functions in China. This enables us to offer one-stop services suited to our customers’ global supply chain strategies. Similar business models will be implemented in other emerging economies, aimed integrating global-level forwarding and logistics services.
ITOCHU LOGISTICS (CHINA) CO., LTD.
This 100% subsidiary of ITOCHU is the core operational company for local logistics in China, offering total logistics services of high quality. Drawing on its many years of experience in China and holding a range of licenses, the company is capable of handling diverse tasks including import, bonding, storage, distributive processing, domestic transport and export.
Our history of transactions with a great number of clients in the automotive, machinery, electrical appliance, apparel and other 3PL industries, and the rapidly growing mail order sales industry, demonstrates the outstanding performance of our services.
We were particularly quick off the mark in meeting mail order distribution needs, covering not only distribution operations but also back-office operations such as order fulfilment and call centers and offering one-stop services to our clients.
TINGTONG (CAYMAN ISLANDS) HOLDING CORP.
The company was formed in 2019 when it was spun off from Ting Tong Logistics (Cayman Islands), a joint venture between ITOCHU and Tingyi, a leading Chinese food manufacturer, to form a new 3PL logistics company that was wholly owned by the ITOCHU Group. We focus on foods, sundries and cosmetics, where domestic sales and distribution networks are important, and provide 3PL services covering all of mainland China, including inland regions.
Moving forward, we will seek to further strengthen service capabilities including logistics capabilities for the fast-growing mail-order sales market and will contribute to expansion of sales in China by delivering food and daily essential to customers.
ITOCHU LOGISTICS CORP.
The market listing of shares of the former i-Logistics Corporation was canceled in July 2009, and the company changed its name to ITOCHU Logistics Corporation. As the core logistics subsidiary of the ITOCHU Group, the company engages in comprehensive international logistics involving air and sea transport, warehousing and customs clearance. By collaborating with the above two companies, the company will continue to offer seamless and global logistics services for supply chains connecting China with the world.