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Media - The Forum on Supply Chain Risk + Compliance Management 2016

DHL announced the launch of multimodal freight services connecting Mongolia to US trading partners in 20 days.

Mongolia’s exports and domestic consumption are returning to rapid growth as its economy recovers from mining downturn
New time-saving road and multimodal services connect Mongolia to its main European and US trading partners with cost-effective, agile shipping
DHL Global Forwarding, the leading international provider of air, sea and road freight services, today announced the launch of its new road and multimodal freight services connecting Mongolia to its major European and US trading partners in less than 20 days. The services support both SMEs and larger enterprises in industries ranging from mining and automotive to retail, fashion and perishables seeking to capitalize on Mongolia’s return to rapid economic growth and its transition from commodities to value-added exports.

Businesses in European nations stand to benefit from DHL’s new road freight service to and from Mongolia which connects to continental Europe through Russia and Belarus under 20 days. The new service offers both Full Truck Load (FTL) and Less-than-Truck Load (LTL) options to support different business sizes, ideal for small cargo volumes and initial market testing. The service will support the movement of imported foreign goods such as furniture, medicines and wine, and exports like mining spare parts, cashmere products and all terrain bikes. 

“Mongolia’s economy is rebounding from the mining downturn, further building on its status as the world’s second-largest cashmere producer¹ and a food and agricultural export hub²,” said Kelvin Leung, CEO, DHL Global Forwarding Asia Pacific. “With Mongolian businesses gaining a growing slice of global market share, supported by an increasingly solid network of regional Free Trade Agreements³⁴, Mongolia’s dominant trading partners also stand to gain from increases in domestic consumption of foreign goods.”

Mongolia also counts the US as one of its top five sources of imports⁵ with cars and food as key imports. DHL’s new multimodal service provides Full Container Load (FCL) and Less-than-Container Load (LCL) shipping with transit time as few as 18 days. The service moves cargo such as watches, coffee machines and motorcycles from the US to South Korea by air, via ocean freight to China, and through rail and road into Mongolia, offering a balance between cost-efficiency and speed to businesses in the US seeking to expand their reach to Mongolia’s consumers. The service also offers Mongolia businesses exporting goods like aviation spare parts, camel wool and rally cars access to the US market.

“The new road freight and multimodal services provide both small businesses and large enterprises with an especially cost-effective and timely way of testing demand and establishing consistent trade between both markets,” said Charles Kaufmann, CEO, North Asia and Head, Value Added Services, DHL Global Forwarding Asia Pacific. “As the only international logistics provider with a local presence in Mongolia, DHL enables overseas exporters to gain a head-start in accessing the ‘Wolf Economy’ as it continues its path to the front of the pack.”

Source: DHL

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