EMC picks HK as Asia supply chain hub

The new regional logistics hub will enable the storage maker to ship its midrange products to customers in Greater China in less than a week.

Enterprise storage manufacturer EMC has selected Hong Kong as its choice location for its Asia-Pacific supply chain and logistics center, which will initially focus primarily on its Greater China customers.

EMC announced Tuesday it is partnering DHL Exel Supply Chain to locate the EMC Asia Pacific and Japan Supply Chain and Logistics Center in Hong Kong. The center will help EMC partners in Greater China receive and ship EMC's midrange products to their customers in less than a week.

Steve Leonard, president of EMC Asia-Pacific and Japan, said in a statement: "This is another significant investment for EMC to support our Asia-Pacific and Japan growth, and will help us more effectively meet the needs of our customers and partners in the APJ region."

Leonard said Hong Kong was selected over other potential sites in the region because it offers an efficient import structure, a robust logistics infrastructure, and a ready pool of supply chain professionals. "Easy access to South China, where some of our key customers and OEM partners are located, was also a major advantage for Hong Kong," he added.

EMC said it plans to expand the center's capabilities to provide a higher level of reconfiguration and integration services for EMC midrange products in the second half of 2007. DHL Exel Supply Chain and EMC have also collaborated to develop a tool to provide EMC's partners and sales teams with real-time visibility of orders.

In June 2006, EMC announced plans to invest US$500 million in China over the next five years. Its current China investments include 35 service centers across the country and a software development center in Shanghai.

The storage maker has been beefing up its regional business in the past 12 months. In September 2006, EMC fine-tuned its Asia-Pacific partner program to make it more lucrative for partners that resell or distribute EMC products and services.


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