Hanjin Expands Business in Indonesia... Strengthening Logistics Sales in Southeast Asia Region

[Asia Economy Reporter Hyunseok Yoo] Hanjin announced on the 14th that it converted its representative office established in Jakarta, Indonesia, as part of its global business expansion, into a corporation as of January this year.

To rapidly expand corporate business, Hanjin CEO Nosamseok visited Jakarta, Indonesia for a week from late January to early February to discuss business expansion plans. He assessed the market through business meetings with partner organizations in each business sector.

Hanjin is currently strengthening its global business centered on 12 overseas corporations in the United States, China, Europe, and other regions. Among them, in Southeast Asia, it has a total of four corporations including those in Myanmar, Vietnam, Cambodia, and the newly established Indonesia corporation, as well as two representative offices (Thailand and Singapore).

The Indonesia corporation conducts international maritime and air forwarding businesses departing from Indonesia to the United States, Europe, China, and other destinations.

Indonesia has the largest e-commerce market size and growth rate in Southeast Asia, and with the continuous growth of port and airport cargo volumes within Indonesia and large-scale infrastructure projects planned, a steep growth in the logistics market is expected.

No Sam-seok, President and CEO of Hanjin (eighth from the left), is taking a commemorative photo with officials at the CY (Container Yard) of PT. MBPI (Multy Bina Pura International), a comprehensive logistics company in Indonesia, during a visit to strengthen cooperation with Indonesian logistics companies. Photo by Hanjin

Hanjin plans to diversify its business portfolio, which has been focused on forwarding business, into warehousing, trucking, and e-commerce volumes by 2025 to further strengthen logistics competitiveness and expand corporate business in the growing Indonesian market.

Through network sales with other overseas corporations, Hanjin will further strengthen its existing forwarding business and develop multimodal transport business by securing bases. It also plans to focus on expanding logistics services within Indonesia by strengthening the acquisition of new customers to pioneer the local market.

With the activation of e-commerce in Indonesia, Hanjin plans to secure e-commerce CBT (Cross Border Trade) volumes among Southeast Asian corporations and focus on attracting small and medium-sized customers by linking with the platform ‘Global One-Click,’ which supports domestic sellers’ overseas expansion.

A Hanjin official said, “Our company is strengthening global business centered on 12 overseas corporations in the United States, China, Europe, and Southeast Asia. Among them, Southeast Asia is expected to continue having a high logistics market growth rate, and the entry of Korean companies is also expanding.” He added, “In line with these market prospects, we will diversify our business model based on local logistics competitiveness.”