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Building the network of the future: DHL Express’s infrastructure, digital, and sustainability drive in the Asia Pacific

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Building the network of the future: DHL Express’s infrastructure, digital, and sustainability drive in the Asia Pacific

November 7, 2025 by Monina Eugenio

DHL Express is steering confidently toward growth in an evolving global trade landscape, guided by its recently launched Strategy 2030. As Ken Lee, CEO for Asia Pacific, DHL Express, puts it, this marks the “first full year” of an ambitious plan centred on leveraging core strengths — a vast, resilient network, deep sector expertise, and a committed workforce — while investing proactively in infrastructure, digitalisation, and sustainability to seize opportunities across high-growth sectors.

Ken Lee, CEO for Asia Pacific, DHL Express

“Across the Group, we have been extremely focused on strengthening our capabilities, enhancing competencies, and training our people to elevate service quality and deepen support in markets and sectors growing faster than the global GDP,” Lee explains. Strategy 2030 highlights five key growth areas: geographic tailwinds, life sciences and healthcare, new energy, e-commerce, and digital sales. It also introduces a new “fourth bottom line” — becoming the green logistics provider of choice — underscoring DHL’s commitment to lead in low-carbon logistics.

From expanded air hubs in Hong Kong, Singapore, and Kuala Lumpur to the modernisation of the Air Hong Kong fleet, DHL’s infrastructure investments are designed to enhance resilience, boost capacity, and provide seamless connectivity across its global network. These physical upgrades are complemented by digital innovations, robotics, automation, and strategic partnerships to scale Sustainable Aviation Fuel (SAF) usage and develop carbon-neutral facilities — efforts that helped DHL earn the first-ever Sustainability Advocate of the Year award at the 2024 Payload Asia Awards.

Resilience in a dynamic global trade environment
Global trade continues to navigate a mix of shifting supply chain patterns, geopolitical tensions, and economic uncertainty. Yet DHL maintains what Lee calls a “strong position as a logistics leader and trade enabler,” backed by three core strengths: its end-to-end portfolio spanning air, road, and ocean; its presence in over 220 countries and territories; and an experienced, dedicated workforce.

“There is a lot of uncertainty in the current trade climate, but we have undergone even more challenging times and dealt with them before,” says Lee. “What makes us different is that we have always been agile and flexible in the way we operate so that we can swiftly adapt and respond to shifting customer demands and trade regulations.”

This resilience underpins DHL’s ability to make bold, forward-looking infrastructure investments across the region.

Expanding hubs to bolster connectivity and capacity
A critical part of DHL’s role as a trade facilitator is helping customers expand internationally. This requires a network of hubs and gateways located at key airports, supported by service centres and advanced ground facilities. In recent years, DHL has consistently invested ahead of demand to prepare for rising shipment volumes.

The Central Asia Hub in Hong Kong saw its second expansion in 2023 to meet growing intercontinental and intra-Asia shipment demand. In Southeast Asia, DHL opened the expanded Kuala Lumpur gateway and upgraded its South Asia Hub in Singapore, both designed to accommodate anticipated growth from e-commerce and the region’s increasing importance as a global trading partner.

Earlier this year, DHL added a new automated service centre at Bangalore’s Kempegowda International Airport, boosting operational efficiency in one of India’s busiest cargo gateways. Beyond express facilities, DHL Supply Chain launched a €10 million pharma hub in Singapore to serve surging demand in healthcare logistics, offering storage, order fulfilment, and last-mile delivery of life-saving medicines.

Fleet modernisation is also part of DHL’s infrastructure strategy. The Air Hong Kong-operated fleet has been upgraded with 14 new A330 freighters, retiring the older A300-600 aircraft. “Increasingly, companies are mandating their suppliers to diversify their sourcing options to minimise risks to their operations in the event of potential disruptions,” Lee notes. “This is where we come in to lend our expertise to customers, who rely on us daily to move their shipments securely and on time.”

Driving operational excellence and customer flexibility
Physical infrastructure alone does not define DHL’s success. The company is deeply embedding cutting-edge digital technologies throughout its operations to streamline workflows, enhance service quality, and foster a safer, more efficient working environment.

In warehouses, AI-based pick routing tools and “plug & play” robotics platforms reduce travel distances for staff and accelerate robot integration. Automated guided vehicles now transport shipments and cargo pallets safely, improving productivity while sparing employees from strenuous tasks.

DHL has also introduced On-Demand Delivery (ODD), giving customers the flexibility to reschedule contactless deliveries at their convenience. “This optimises both our operational and cost efficiencies,” says Lee, “and at the same time, we also improve our customers’ experience by offering greater flexibility in shipping options.”

Internally, DHL has been modernising its sales and customer service systems, replacing legacy platforms with advanced tools. These upgrades enable staff to track and analyse customer feedback in real time, helping the company respond more effectively to market and customer demands. “We recognised early that digitalisation is not just a tool but a strategic enabler that reshapes how we operate, serve customers, and innovate,” Lee says.

Green logistics of choice: Accelerating decarbonisation and industry leadership
DHL Express’ recognition as the first-ever Sustainability Advocate of the Year at the 2024 Payload Asia Awards underscores its commitment to embedding sustainability at the heart of its business. With a clear target of net-zero greenhouse gas emissions by 2050, DHL is advancing initiatives that include fleet electrification, carbon-neutral building design, and the scaling of SAF adoption. 

This year, DHL signed SAF supply agreements with Cosmo Oil Marketing and Neste, sourcing Japan-produced and Singapore-produced SAF for flights departing those countries. These partnerships add to earlier SAF deals with bp, Neste, and World Energy. In July 2025, DHL Express signed a landmark agreement with the Cathay Group to co-invest in and promote SAF production in Asia, a move aimed at accelerating regional availability and uptake of sustainable fuels. Lee notes that DHL Express achieved a 3.5% SAF blending ratio in its aircraft in 2024, placing it among the industry’s leading SAF users.

However, scaling SAF is not without challenges. “Supply has not reached economies of scale,” Lee explains. “That’s why we are investing in SAF and other areas that can help make the biggest reduction in GHG emissions.” DHL is also working to electrify two-thirds of its pickup and delivery fleet by 2030, but progress is limited in some markets by the lack of mature charging infrastructure.

Lee emphasises that decarbonising logistics requires collective action: “We alone cannot drive the transformation to low-carbon logistics projects. That is why we are making advanced efforts to work with partners to promote and encourage participation across the supply chain, right through to the consumer.”

Future growth in high-opportunity sectors
Looking ahead, DHL is targeting 20 markets worldwide with strong geographic and economic tailwinds, two-thirds of which are in Asia. These markets are expected to benefit from rising domestic and foreign investment, reshoring, and nearshoring strategies.

Life sciences and healthcare logistics remain a top priority, with DHL Group expanding its Health Logistics division and strengthening its pharma capabilities through acquisitions such as CRYOPDP. The global biopharma, cell & gene therapy, and clinical trials market is forecast to grow at more than 10% annually through 2030 — well above global GDP growth.

In the new energy space, DHL is developing end-to-end logistics solutions across eight segments, from wind and solar to hydrogen and alternative fuels. E-commerce growth also shows no signs of slowing, especially in emerging markets where social media-driven shopping is surging. “With more SMEs also turning to e-commerce to engage more customer segments, we continue to place resources to capture these opportunities,” Lee says.

The people behind the transformation
For Lee, DHL’s ability to execute its ambitious plans depends on its people. “To drive any initiative successfully requires long-term commitment from employees across the Group,” he says. Leadership must be collaborative rather than siloed, while employees need the skills and motivation to carry out strategies effectively.

Training programmes such as the Certified International Specialist (CIS) and First Choice initiatives ensure that staff are aligned with DHL’s culture and equipped with tools for continuous improvement. Regular performance reviews and feedback further reinforce execution discipline.

Lee also believes in empowering employees to take ownership of change. “Change can be driven by anyone and does not need to be led by the management,” he says. “Managers can encourage team members to contribute ideas and solutions, thereby creating a sense of ownership over the initiatives.”

Shaping the future of logistics
Beyond its network, DHL engages with partners, regulators, and governments to strengthen the logistics ecosystem. Lee sees value in public forums, workshops, and seminars to identify sector challenges and encourage collaboration. “For example, this is crucial to making SAF available to customers on a long-term and predictable basis, and we need local governments’ support to help create a regulatory framework to drive concrete action,” he says.

Despite global uncertainties, Lee remains confident: “Globalisation is too big to fail, and everyone will eventually benefit from it. What sets us apart lies in the strength of our group and the family of DHL divisions present in many markets worldwide. We have strong local knowledge and global expertise that can help companies — small and large — navigate the changing business environment.

This story was first published in the July-August 2025 issue of Payload Asia.

Other Topics: air cargo network, air express, air freight services, air logistics, Asia Pacific air cargo, Asia Pacific air freight, Asia Pacific air logistics, Asia Pacific shipments, cargo flights, DHL, DHL Express, e-commerce logistics, express delivery, express logistics, international air shipments, international express delivery, transpacific air cargo, transpacific air freight

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