DHL Supply Chain, the global leader in contract logistics, launched a new Pharma Hub in Singapore, a dedicated facility for pharmaceutical logistics. The €10 million facility is part of DHL Group’s €500 million investment into Asia Pacific to bolster its Life Sciences and Healthcare (LSHC) infrastructure across all business units.
This strategic initiative reflects DHL Group’s global focus on the healthcare sector as part of its Strategy 2030, which introduced the new “DHL Health Logistics” sector brand to drive cross-divisional growth. The LSHC sector currently contributes EUR5 billion to DHL’s global revenue, underscoring its significance in the Group’s growth strategy.
“At DHL Supply Chain, we are committed to supporting the rapidly growing LSHC sector in Asia Pacific where there is a growing demand for transformative healthcare solutions due to longer lifespans, personalized treatments and rising consumer expectations. By 2030, the region’s medical market is projected to reach USD138 billion (~€127 billion), reflecting the critical need for resilient and efficient supply chains. As part of DHL Group’s Strategy 2030, we have invested ahead to strengthen our infrastructure and capabilities, ensuring we can meet the evolving and increasingly complex needs of our customers.
Our investment goes beyond building warehouses or expanding networks. It is about building a foundation across all our business units that enables faster, more reliable delivery of life-saving medicines and healthcare products. In a region where healthcare demand is surging, we enable our customers to focus on innovation and patient care. At the same time, we handle the complexities of supply chain management across all logistics touchpoints – from storage, order fulfillment, and distribution to global shipping and last-mile delivery. This is how we deliver real value: by turning challenges into opportunities and ensuring that every link in the healthcare supply chain works seamlessly,” explained Javier Bilbao, CEO, DHL Supply Chain Asia Pacific.
The new 8,200 square meters Pharma Hub at 8 Jurong Pier in Singapore features specialized temperature-controlled zones including ambient (15°C to 25°C) and cold room (2°C to 8°C), ensuring precise storage conditions for sensitive healthcare products. It is Good Manufacturing Practice (GMP) compliant with advanced cold chain infrastructure, including airtight loading docks and dedicated anterooms, ensures uninterrupted temperature stability throughout the logistics process. Future plans are in place to enable pharma related value-added services including redressing activities. Strategically located near Tuas Bio-Medical Park, the Pharma Hub offers seamless connectivity to Changi Airport and Tuas Mega Port, enabling efficient regional and global distribution for pharmaceutical partners.
“Singapore is laser-focused on becoming a global leader in life sciences and medtech innovation. The country’s ambitions are backed by investments, such as a top-up of SGD$3 billion (~€2 billion) in Budget 2025 to attract investments in sectors like semiconductors and life sciences, as well as other key initiatives, including the National Research, Innovation and Enterprise (RIE).
With the new Pharma Hub in Jurong, we have over 36,000 square meters of warehouse space in Singapore dedicated to LSHC operations. Our current operations include being the regional distribution centers for multiple medical device multi-nationals, clinical trials support and other value-added services,” said Eunis Hew, Managing Director, DHL Supply Chain Singapore.
A successful LSHC supply chain requires several critical factors – robust warehouse infrastructure, skilled personnel and innovative solutions. Together, these elements enable DHL Supply Chain to meet the unique demands of the healthcare industry and deliver exceptional value to customers.
Supporting growth with robust infrastructure
Even before the recent announcement of DHL Group’s €2 billion investment into the sector, DHL Supply Chain has already made strategic early investments in the region. These key projects, supporting the growing LSHC industry and helping customers navigate evolving demands, include:
- €28 million in upgrades to automation, robotics, and expanded floor space at LSHC sites in New South Wales, Australia
- A €26 million automated LSHC site in Auckland, New Zealand, featuring advanced technologies like automated pallet storage, tote robotic storage, and Goods-to-Person (GTP) systems.
- Upcoming LSHC sites in South Korea to support critical deliveries to hospitals for medical devices and clinical logistics
- An upcoming LSHC site in Bhiwandi, India, further expanding DHL’s footprint in the region.
DHL Supply Chain’s extensive network of Good Distribution Practice (GDP)/ GMP-compliant facilities, featuring specialized temperature zones, humidity control, and uninterrupted cold chain capabilities, ensures the integrity of sensitive products such as pharmaceuticals and medical devices. Its specialized logistics solutions, including multi-temperature storage, transport, and complex and customized white glove express delivery for extremely time- and temperature-sensitive deliveries, position it to address structural shifts in the LSHC market.
Globally, DHL Group has announced an investment of €2 billion by 2030 to boost integrated healthcare solutions. It also recently acquired CRYOPDP, a specialty courier providing end-to-end temperature-controlled solutions and white-glove services designed for the LSHC industry.
Skilled personnel with the right expertise to navigate complexities
Many pharmaceutical products require strict temperature control during storage and transportation, as well as adherence to stringent LSHC industry regulations. Skilled personnel are crucial in managing cold chain logistics, ensuring products remain within specified temperature ranges to maintain efficacy and safety. These professionals also navigate complex regulations and ensure compliance with local and international laws governing the storage, handling, and transportation of medical products.
With over 2,600 healthcare logistics experts and more than 40 full-time pharmacists in Asia Pacific, DHL Supply Chain manages the complexities of healthcare logistics for its customers. From regulatory compliance to proper product handling, DHL Supply Chain’s trained team ensures that every step of the supply chain operates seamlessly and efficiently.
Innovative solutions to drive efficiency and resilience
Innovation is at the heart of DHL Supply Chain’s LSHC operations. DHL drives efficiency and enables proactive decision-making by integrating automation, robotics, and AI-powered tracking systems into its operations. For example:
- Automated pallet storage and retrieval systems, along with GTP technology, streamline warehouse operations.
- Predictive analytics mitigate risks and improve decision-making.
- Control Tower technology provides real-time visibility and coordination across the supply chain.
- The Service Logistics network supports medical equipment manufacturers with aftermarket inventory storage, time-critical parts delivery, and compliance management.
By continuously investing in innovative solutions, DHL Supply Chain ensures its operations are equipped to meet the evolving needs of the healthcare sector, from research and development to patient delivery.
“Modern healthcare depends on more than just a physician’s expertise. It requires scale, connectivity, and constant collaboration between manufacturers, researchers and medical experts worldwide. Healthcare can only work if its logistics do too,” Bilbao added.
With the investments in new additions and expanded capabilities, DHL Supply Chain will operate over 80 facilities with over 700,000 square meters of fully compliant warehousing space in 13 countries across Asia Pacific.
