Hon Hai Plans to Set Up a Transshipment Center in Kaohsiung
21 July 2008
Following its plan to set up operations in the Kaohsiung Software Park, Hon Hai Group has planned to establish a transshipment center for its Asian operation in Kaohsiung Harbor, which may further develop into the group`s global logistics and operation center in the future.
The projected transshipment center will handle finished and semi-finished products from its factories in Vietnam and China`s Guangdong province, in addition to undertaking some simple processing works before transporting those goods to final destinations. Currently, Hon Hai transships those goods mainly via Hong Kong or Singapore.
Kaohsiung harbor officials revealed that Hon Hai has requested to lease a new plot of 38.8 hectares entirely, originally the site of a factory of Tang Erng Iron Works, being acquired by the harbor authorities for use as the free-trade harbor area.
The plan follows the group`s previous pledge with the Ministry of Economic Affairs for establishing an R&D center staffed with 520 engineers inside the Kaohsiung Software Park by mid-2009.
Hon Hai officials revealed that in addition to the functions of transshipment and simple processing works, the group may further develop the Kaohsiung facilities into group`s global logistics and transshipment center.
Kaohsiung harbor authorities, however, may be able to provide two to five hectares of the projected plot from Tang Erng Iron Works to Hong Kong, since some shipping firms such as OOCL have requested to lease part of the plot beforehand. It, though, promises to look for more space in the neighbor to meet Hon Hai`s needs.
