Acquiring LF logistics, Maersk carrier wants to go deep into the supply chain in Vietnam
After the $3.6 billion M&A deal between Maersk and LF Logistics, Maersk has a strategy to go deeper into the omnichannel supply chain in the Vietnamese market.
After the $3.6 billion M&A deal between Maersk and LF Logistics in August 2022, both Maersk and LF Logistics aim to penetrate deeper into the very potential logistics market in Vietnam, bringing Vietnam into the world. supply chains through a global logistics network with comprehensive warehousing, distribution, and supply capabilities that are optimized for data and powered by technology.
Vietnam is currently rated as a country with a much higher Logistics Performance Index than its neighbors in Southeast Asia. According to the ranking of Agility 2022, the Vietnamese logistics market ranks 11th in the group of 50 emerging logistics markets globally and the annual growth rate of the period 2022 - 2023 of the Vietnamese logistics market is forecast to reach 5.5%.
During his working trip to Vietnam, Mr. Ditlev Blicher, Managing Director of Maersk Asia - Pacific said that the merger between the two companies has contributed to promoting the development of the supply chain in the region. That includes Vietnam. "Along with our core human resources, we also have our own facilities, warehouses, and technology that we can help all factories in Vietnam to transport their goods around the world. world," said Mr. Ditlev.
From seeing the rise of the Asian consumer market and the advantage of LF logistics when owning 223 large distribution centers across the continent, with about 2.7 million square meters of warehouse, Maersk has added a strategy to penetrate deeply into the field of order fulfillment to serve multi-channel customers.
"When we look at our supply chain, perhaps we are missing another piece of the puzzle, which is order fulfillment, omnichannel customer service, we think that integrating this last piece with LF Logistics allows us to not only serve our brick-and-mortar retail and wholesale customers but also helps us reach out to customers on e-commerce platforms,” said Kevin Burrell, Regional Managing Director. of Maersk Vietnam, Cambodia, Myanmar and Laos said.
When the acquisition is complete, it means that the customers of the two companies will have access to a system of 450 global general warehouses, spanning more than 6 million square meters. Together with the shipping capacity available on the platform and technology, this competitive advantage gives the carrier an advantage when entering the supply chain and completing multichannel orders in the Vietnamese market.
As a global logistics leader, operating in more than 130 countries and employing more than 100,000 people worldwide, Maersk also underlines its commitment to sustainability goals and carbon emissions. net zero by 2040. Science-based carbon reduction goals and the digitization of operations towards more sustainable trade flows are both within the vision of both companies over the coming decades.
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- Acquiring LF logistics, Maersk carrier wants to go deep into the supply chain in Vietnam