Menlo Worldwide Logistics has opened a new warehouse in Selangor, Malaysia, as part of its expansion plans.
The new facility, Shah Alam Section 15, provides 101,231 square feet of warehouse space with 10 loading bays. The third-party logistics provider said the new hub responds to growth of customers in the region, and is one of several expansions and upgrades in Asia over the past several years.
Multinational engineering and electronics company Bosch will occupy a section of the warehouse, with the remaining space earmarked for new business.
The Selangor venue was chosen because of its close proximity by highway to Port Klang, Kuala Lumpur International Airport and Malaysia’s central business district in Jalan Wong Ah Fook, according to the company.
“Malaysia represents an excellent growth opportunity for Menlo,” said Desmond Chan, Menlo’s director of South Asia, in a written statement.
Chan told the JOC that the company will continue to invest in the South Asian region in general, but Malaysia in particular is an attractive location because its domestic consumption and manufacturing output are both expected to continue to rise. Furthermore, with an impending ASEAN foreign trade zone, companies and logistics players are preparing for an increase in activities, Chan said.
Menlo has a total of 36 operating sites in the South Asian region, which includes Singapore, Malaysia, India, Thailand and Australia, and totals more than 4.2 million square feet of warehouse and open space.
Last week, Con-way, the parent of Menlo, warned that its fourth quarter earnings are expected to be flat year-over-year, as a result of problems at Menlo, as well as at its less-than-truckload division Con-way Freight. Con-way said that losses at two new warehousing accounts and a customer bankruptcy contributed to a 68 percent decline in profits at Menlo.