For Chinese customers around the world’s second largest economy the supply of goods warehouse, has been aging, they lacked helped Amazon in the US and Europe, the rise of automation equipment and the industry’s most advanced technology. Business consulting firm in a recent report that by 2020, the scale of Chinese e-commerce industry will be more than the sum of the United States, Britain, Japan, Germany and France.
China’s response to this wave, in the next 15 years, the single purchase of land and construction of warehouses may require as much as $ 2.5 trillion of investments. This is attracting the Blackstone Group and the Carlyle Group, a global private equity investment firm’s attention, they seek from the expected arrival of the investment boom of large gains. China’s largest foreign logistics facilities builders ProLogis Group, Jeff Schwartz, said: “In the next 15-20 years, the actual cost of the construction of the warehouse will be alarmingly high.”
Since each new warehouse area are the equivalent of several large stadiums, these investments will create the equivalent of 2.4 billion square meters of warehouse space. ProLogis Group estimates, per capita ownership of computing, the next 15 years, $ 2.5 trillion of investment required, only that the number of China’s modern automatic warehouse to the United States of 1/3. Alibaba control of 80 percent of China’s total online retail sales, although so far, China’s transport infrastructure to keep up with the pace of the rise of Ali Baba, but the entire e-commerce industry’s supply chain, the storage capacity is logistics experts say is a key element needs to be improved.
According to ProLogis Group and other storage facilities builders, said China is only less than 20% can be classified as a modern warehouse of the column, which has a fully computerized tracking system and the latest retail technology. Many of their colleagues Alibaba service warehouse is located in the truck out of the place is difficult. They usually do not allow trailer truck rolled wrapped in high-loading directly from the conveyor, instead of using manually loading and unloading cargo. This is an e-commerce could undermine profitability problems. ProLogis Group said that although China’s wage level is far lower than the US, but China’s freight transport costs could more than double than the United States.
In looking to build a consumer-driven economy, Beijing is also the establishment of the modern supply chain as a priority. Storage facilities construction boom attracted not only the Carlyle Group, China Magnolia RRJ and other capital investments and acquisitions of financial companies like ProLogis Group, Goodman Group and AMB companies specialized international companies have already put a lot of money to invest in China’s large storage facilities
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