New Maersk facility opens in the Philippines

Photo Credit: Philippine Star/Noel B. Pabalate

On October 30, 2024, Denmark-based A.P. Moller-Maersk opened its new $4.8 billion (P280 billion) distribution facility in Calamba City. This significant investment represents a crucial step toward enhancing the Philippines’ logistics capabilities. President Ferdinand R. Marcos, Jr. attended the inauguration and emphasized that the new facility would help decongest Manila while unlocking economic potential in the countryside. Maersk Facility Opens in the Philippines 

During his speech, President Marcos noted that the facility aligns with efforts to improve import and export activities in Southern Luzon, including the Bicol Region. He stated, “With the grand opening of the Maersk Optimus Distribution Center, our logistics system gets closer to becoming a powerful force. It bridges our islands, breathes life into industries, and brings our people together on a path toward sustained development.”

Advanced facilities to support logistics operations

The Maersk facility boasts a 70,000-pallet position capacity racking system. It also has 3,281-square meter mezzanine area designed for value-added services such as bundling, repacking, and labeling. Furthermore, it includes 73 docks that can accommodate all truck sizes and a 500-square-meter battery room that supports 28 reach trucks simultaneously.

Economists have noted that the logistics center will enhance economies of scale in a region known for its manufacturing hubs. Calabarzon, which includes Cavite, Laguna, Batangas, Rizal, and Quezon, contains numerous industrial parks and economic zones, creating substantial logistical needs.

Experts believe the new logistics center will attract more manufacturers to the region. Terry L. Ridon, from the infrastructure and investment think tank InfraWatch, stated that the facility represents a model for decongesting Metro Manila. Meanwhile, John Paolo R. Rivera, a research fellow at the Philippine Institute for Development Studies, added that the facility could encourage more investments.

For its first year of operation, the Maersk facility is expected to create 1,000 jobs directly and another 1,000 indirectly through local businesses, vendors, and service providers.

President Marcos expressed optimism about the facility’s role in boosting employment and economic growth, highlighting the importance of strategic investments in the Philippines’ logistics sector.
Maersk Facility Opens in the Philippines
Source: Business World

About Karoline Rosenkrantz Paasch

Karoline Rosenkrantz Paasch is a journalist working with ScandAsia at the headquarters in Bangkok.

View all posts by Karoline Rosenkrantz Paasch
0 0 votes
Article Rating
Subscribe
Notify of
guest

0 Comments
Newest
Oldest Most Voted
Inline Feedbacks
View all comments