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8 Asia-Pacific Logistics Trends

to Lead the Asia-Pacific Region

Rhenus Logistics, a global logistics company with a history of over 100 years, announced the
logistics trends affecting the Asia-Pacific (APAC) region in 2020. Jan Harnisch, Rhenus Asia-
Pacific COO, identified eight key trends.

1. M&A Booming

The first one is M&A Booming. Mergers and acquisitions continue as a well-known method for creating
economies of scale in logistics. In 2020, global logistics companies are expected to pursue M&A not
only for network expansion but also to accelerate integration in the IT domain, aligning with the trend of
digitalization.

2. Collaboration
Next is Collaboration. Increased collaboration between shippers and third-party
logistics providers (3PL) is anticipated. Emphasis is placed on building long-
term partnerships that create mutual benefits in terms of cost reduction and
service improvement, particularly through collaborations between shipper-owned
logistics companies (2PL) and 3PL.

3. E-commerce
The growth of e-commerce is foreseen to drive changes in logistics, especially within the Asia-Pacific
region. Major e-commerce platforms like Amazon, Lazada, and Shopee expanding regionally are leading
to a shift from traditional air transportation to short-distance maritime transportation in the logistics
industry.

4. Infrastructure
Predictions indicate that investments in logistics infrastructure will continue from both governments and
private companies, with significant expectations for infrastructure development in markets such as India
and Indonesia.

5. Innovation and IoT
The logistics industry is expected to experience significant growth in the adoption of Internet of Things
(IoT) technologies, from RFID tags reporting cargo location and temperature to broader IoT applications.
This widespread adoption aims to enhance visibility for shippers, reducing communication times and
enabling faster decision-making.

6. Sustainability
2020 was labeled the beginning of the era of green logistics. With sustainability gaining prominence
across various industries, logistics companies are increasingly recognizing the importance of responsible
measures to mitigate their environmental impact.