DHL, the world’s leading logistics provider, has reaffirmed its commitment to Malaysia through Strategy 2030, a five-year roadmap aimed at accelerating sustainable growth with an expanded focus on high-value sectors. The country is a vital link in DHL’s network, poised to capitalise on opportunities as a leading hub for trade and an emerging destination for supply chain diversification.
Malaysia has long been strategically important for DHL and hosts four of DHL Group’s globally operating divisions, which together command a portfolio of solutions encompassing domestic delivery, e-commerce shipping and fulfilment, road, air, and sea freight, international express, and industrial supply chain management. These are underpinned by an IT data centre and regional shared services that drive backend functions for DHL’s cross-border presence.
Since the company established its roots here in 1968, it has grown in tandem with a vibrant economy that is now the fifth-largest in Southeast Asia. Across the four divisions, DHL employs a workforce of over 4,500. Continued investments in infrastructure and capabilities reflect confidence in Malaysia as an attractive destination for facilitating global trade and logistics.
Recognising Malaysia’s competitive advantages and business potential, DHL plans to further enhance its product offerings and operational capabilities in the local market, focusing on several key drivers.
Geographic tailwinds
Emerging geographical and economic developments continue to have profound effects on companies’ supply chain diversification strategy, omnishoring as well as domestic and foreign direct investment. To help businesses capitalize on these developments, DHL will build on its strong global footprint and local expertise. DHL has identified Malaysia as one of the 20 high-growth markets that could stand to benefit the most from these changes. This is solidified by Malaysia’s record of a historic high of RM378.5 billion in approved investments in 2024. FDI accounted for 45 percent of the figure, led by the United States, Germany, China, Singapore, and Hong Kong.
In fact, DHL has long contributed to such foreign inflows through its partnership with the Malaysian Investment Development Authority (MIDA). In May, both parties signed a renewed memorandum of understanding, building on joint efforts since 2023 that have yielded significant investment outcomes in key priority sectors across eight states: Kedah, Penang, Perak, Johor, Melaka, Sabah, Sarawak, and Selangor.
In recent years, DHL has consistently invested ahead of the curve to support the growing needs of businesses expanding their operations in Malaysia. These investments include:
- A new Kuala Lumpur Gateway in 2024, the largest local DHL Express investment to date at EUR60 million (MYR300 million)
- EUR131 million (MYR655 million) investment by DHL Supply Chain allocated until 2028 towards expanding warehousing capacity, staff, and sustainability activities. These include the new Penang Logistics Hub 5 and South Region Hub opened earlier this year, with one more planned for Penang and another in the Central region
Julian Neo, Managing Director of DHL Express Malaysia and Brunei, said: “Trade has remained resilient across the region, boosted by shifting attention to these parts of the world for manufacturing and sourcing operations. Thanks to our forward-looking approach, we are in a strong position to respond with the timely and strategic improvements we made. With a presence that spans more than 220 countries and territories, we retain a crucial role in connecting businesses seamlessly to international value chains.”
Life sciences and healthcare (LSHC)
The biopharma, cell and gene, and clinical trials market is expected to experience a compound annual growth rate (CAGR) exceeding 10 percent until 2030. DHL is well-positioned to address these shifts, with its track record of over 30 years in specialized pharma logistics. In 2025, the company acquired specialty courier CRYOPDP and announced an investment of EUR 500 million (approximately MYR 2.4 billion) to enhance its LSH capacity in the Asia Pacific region. Currently, DHL has 300,000 square metres of fully compliant warehousing space in 15 countries across the region.
Christopher Lim, Managing Director of DHL Global Forwarding Malaysia, Singapore, and Brunei said: “Today, 10 of the world’s top medical device companies have established operations here, elevating Malaysia into the league of global medical device hubs. These MNCs are driving innovation, diversifying the nation’s export portfolio and shifting the focus beyond glove production to high-value advanced devices manufacturing. We are ready to support Malaysia’s ambitions to grow this sector, backed by our team of trained life sciences specialists, a globally validated IT platform, and stringent operational protocols, we ensure the integrity and compliance of every shipment.”
In Malaysia, these cover end-to-end solutions including cold chain management for DHL Supply Chain’s customers, the latest being a global medical device manufacturer. DHL Global Forwarding also has a cold room at Kuala Lumpur International Airport, the only one of its kind on the premises, compliant with Good Distribution Practice and World Health Organization standards. DHL Express extends its Medical Express service (otherwise known as WMX) locally, achieving speed and reliability for research, biotechnology and pharmaceutical companies. Leveraging their expertise in parcel delivery and returns, DHL eCommerce is a partner to a local healthtech company, Esyms, where DHL enables safe and timely delivery of medications from hospitals and clinics to patients’ doorsteps.
New energy and auto-mobility
New Energy is a key growth sector under DHL Group’s Strategy 2030, where the Group is developing end-to-end logistics solutions for eight segments: wind, solar, electric vehicle (EV) and batteries, battery and energy storage system, EV charging, grid, alternative fuel and hydrogen.
In Malaysia, dedicated logistics solutions are increasing in demand with the transformation of the renewable energy and auto-mobility sectors, bolstered by positive momentum in the country’s EV agenda. This can be attributed to favourable government initiatives, including the Low Carbon Mobility Blueprint 2021–2030, the National Automotive Policy 2020, and the National Energy Transition Roadmap. DHL is a leader in the local automotive industry from freight solutions to being an MNC pioneer in the 3PL (third-party logistics) space, offering a comprehensive range of services from spare parts fulfillment to setup and management of regional distribution centers.
Mario Lorenz, Managing Director for DHL Supply Chain Malaysia, said: “Last year, Malaysia’s vehicle market hit a record high of more than 800,000 units sold, so it is still a high-growth segment for us. However, we are not just focusing on internal combustion engines; we have developed solutions for the industry of the future – electric vehicles. Our expertise in managing the movement of spare parts, service logistics, and handling regional distribution is transferable to EVs. Malaysia is also in the pipeline for a DHL EV Centre of Excellence, joining a network of similar facilities in 10 countries that cover capital equipment for new EV-related factories, inbound-to-manufacturing (I2M), finished vehicles, and aftermarket logistics.”
E-commerce
B2C and B2B digital sales continue to be a steady contributor to profitability for DHL. Malaysia’s e-commerce market maintains a bullish outlook with a projected CAGR of 11.25 percent until 2029. The company has long been an ecosystem partner for micro, small, and medium-sized enterprises, with an eye on increasing their share of national exports.
To this end, DHL developed the GoTrade program to equip entrepreneurs with practical knowledge and resources to navigate the complexities of shipping abroad and accessing overseas consumers. Since its inception in 2020, the initiative has trained over 9,100 SMEs across the United States, Europe, Sub-Saharan Africa, and Asia Pacific. Locally, DHL has partnered with the Malaysia External Trade Development Corp (MATRADE), reaching more than 2,000 participants through 18 workshops from 2023 to 2024.
Saurabh Kumar, Managing Director of DHL eCommerce Malaysia, said, “As online shopping continues to shape the way we live and work, we are perfectly equipped to help homegrown B2B and B2C brands thrive in the digital marketplace through innovation and best-in-class delivery services. We currently work with a diverse range of customers from global names to local brands across industries. This breadth of experience reflects our ability to meet the evolving needs of the domestic e-commerce ecosystem.”
Leading the way in sustainable logistics
In recognising the heightened importance that logistics plays in global trade, equal attention must be given to its adverse effects on the climate. The industry as a whole generates an estimated 3.4 billion tons of CO2e annually, with DHL contributing one percent of the total. The company became the first logistics business to pledge to a net-zero greenhouse gas emissions target by 2050, and is pursuing measurable goals to decarbonise its operations towards 2030 interim milestones with Strategy 2030.
