PENANG, Malaysia, 17 November, 2020 – FedEx Express (FedEx), a subsidiary of FedEx Corp. (NYSE: FDX) and the world’s largest express transportation company, today announced its new Batu Kawan station. The one-stop logistics facility in Penang, provides customers with extended connectivity to both land and air networks from the northern region of Malaysia to the world. The station is the second largest in in the area for FedEx which strengthens the company’s logistics network within the Northern Region of the country.
This facility is more than twice the size of its previous station location in Bayan Lepas and will benefit businesses aiming to expand across borders beyond Malaysia. The facility’s dedicated bonded warehouse space has a capacity of 1,951 square meters (21,000 square feet) that will greatly benefit customers who require domestic holding services for goods yet to be cleared by customs. At 3,902 square meters (42,000 square feet), this integrated warehouse and sorting facility is capable of handling up to 3,000 packages per hour.
The Batu Kawan station - the first station on the Mainland - is ready to serve Mainland customers, supplementing the FedEx Penang Gateway facility. FedEx customers will be connected to major cities in the U.S., Asia and Europe via its dedicated Boeing 767 freighters. The facility is supported by the FedEx Asia Road Network, a unique and extensive road system that spans more than 7,000 km and connects all key markets in South East Asia and China, from Singapore to Guangzhou. The facility has a FedEx Ship Center which has capabilities to ship high-value items for healthcare customers, especially for clinical trials.
“The rollout of our Batu Kawan Station is part of our commitment to support local businesses and create more opportunities for them to expand to overseas markets. By enhancing our logistics portfolio and strengthening our network base in the Northern region, FedEx is strengthening Penang’s foothold as the logistics hub in the region and to better serve customers in Malaysia. Logistics is an essential sector, providing critical support as individual, small and large customers across all industries locally and globally, adapt and begin recovery in the new COVID-19 operating environment,” said SC Chong, managing director, FedEx Express Malaysia.
Despite the challenging global economic environment, Malaysia recorded a 0.7% growth in the gross domestic product (GDP) in the first quarter of 2020[1] while Penang recorded a promising RM7.1 billion in approved manufacturing investments during the same.[2] The state continues its steady track record as an investment location of choice after being recognized as a cost-competitive location by the Organization for Economic Cooperation and Development.[3]
This new facility complements the sister FedEx Penang Gateway facility located at the MAB New Cargo Complex at Penang International Airport. To date, FedEx has 15 stations across Malaysia in the states of Johor, Melaka, Negeri Sembilan, Perak, Pahang, Sabah, Sarawak, Selangor and the Federal Territory of Kuala Lumpur. Recently, FedEx Malaysia also opened a new FedEx Ship Centre (FSC) in Sungai Petani in Kedah, allowing customers to enjoy the convenience of professional shipping and packing solutions.
[1] Department of Statistics Malaysia – Malaysia Economic Performance First Quarter 2020 https://www.dosm.gov.my/v1/index.php?r=column/cthemeByCat&cat=100&bul_id=R09wdGZSektvNmw5T1VCeVphNXRqdz09&menu_id=TE5CRUZCblh4ZTZMODZIbmk2aWRRQT09#:~:text=Malaysia’s%20GDP%20grew%20at%200.7,2009%2C%20negative%201.1%20per%20cent
[2] Malaysian Investment Development Authority, Penang records RM7.1b manufacturing investments in 1Q2020, says CM, https://www.mida.gov.my/home/10770/news/penang-records-rm7.1b-manufacturing-investments-in-1q2020-says-cm/
[3] OECD Review of Higher Education in Regional and City Development, State of Penang, Malaysia, http://www.oecd.org/education/imhe/47506877.pdf