Intelligent and Cold Chain Business

As technologies relating to artificial intelligence, big data and 5G gradually mature, alongside the combined implementation of new applications including automatic sorting, precise delivery and contactless distribution, the logistics industry has been transforming from a traditional, labor-intensive model into a new stage emphasizing on technological equipment and smart upgrades. Emerging sectors such as intelligent logistics and cold chain logistics have become important trends for the future development of the logistics industry.

The Group’s intelligent and cold storage warehouses are located at multiple logistics hub projects in cities such as Shenzhen, Shanghai, Shijiazhuang and Chengdu, serving customers such as food, pharmaceuticals, computer, communication and consumer (3C) electronics.

Marine Container Logistics Integrated Information Service

EDI Co.

Shenzhen EDI Co., Ltd. (“EDI Co.”), a subsidiary of the Company, focuses on empowering the container transportation industry with digital technologies, has become a cross-border logistics supply chain digital service platform with the functions of “cargo operation platform + logistics transaction platform + container operation platform”. EDI Co. has created the largest container transport SAAS public service platform in Southern China, and has also developed and operated EDI Co.’s network information exchange platform for Shenzhen Port.

Railway Integrated Logistics Hu

Shenzhen International Integrated Logistics Hub Center (“Pinghunan Project”)

In August 2021, a joint venture company, Shenzhen Municipal Shenzhen International Railway Logistics Development Company Limited, was established by the Group and China Railway Guangzhou Group Co., Ltd. to invest in and develop Pinghunan Project. Pinghunan Project is located in Longgang District of Shenzhen, and has a total site area of approximately 900,000 square meters. In September 2019, the project was selected by the National Development and Reform Commission of the PRC and the Ministry of Transport of the PRC as one of the first batch of 23 national logistics hub projects. It has also been selected as a key construction project in Guangdong Province for 2 consecutive years and as a major project in Shenzhen for 3 consecutive years.

The Group pioneered the model of “obtaining strata titles in multi-level logistics and warehousing development to be constructed over railway freight yard” in Pinghunan Project, optimizing the utilization of railway yard space by vertically expanding and developing modern logistics facilities, thereby achieving an integrated “Rail Transportation + Modern Logistics” development. The Group intends to develop it as a benchmark and showcase it as a “Road, Railway and Water” multimodal transportation center and national-level integrated logistics hub. It aims to meet market demand by integrating international and domestic railway freight services, urban logistics, commercial and trade services, and emergency logistics support. This integration will promote the objective of being a “Railway Yard + Urban Integrated Logistics Hub”.

The Group has acquired operation rights of land with a site area of 900,000 square meters in the Pinghunan Project. In June 2023, it successfully secured the land use rights of approximately 334,000 square meters for the space above the overhead floor of the Pinghunan Project for the consideration of RMB1,187 million.

Updated on 29 August 2024