Walmart to spend $1.2bn to upgrade logistics in China

Dongguan, China: Walmart has pledged to spend around $1.2bn to build or upgrade more than 10 distribution centres in China over the next 10-20 years.

Walmart has already built the South China Fresh Food Distribution Center which has been operational since March. At 33,700sq m it is the largest, multi-temperature perishable distribution centre in the domestic retail industry that can store and process more than 4,000 kinds of temperature-regulated, refrigerated or frozen goods simultaneously. It currently serves more than 100 Walmart stores in Guangdong and Guangxi, with daily distributing capacity of up to 165,000 cases of products.

Ryan McDaniel, senior vice president of Walmart China Supply Chain said: “Walmart continues to increase investment in supply-chain logistics in order to enable our omni-channel development, continue to provide our Chinese customers with great fresh products, and improve our service. We will invest to build more than 10 (distribution centres) in China in the next 10-20 years.”

Walmart entered the Chinese market in 1996 and opened its first store in Shenzhen.

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