CJ Logistics to Build e-Commerce Global Distribution Center in Riyadh

CJ Logistics to Build e-Commerce Global Distribution Center in Riyadh

Proposed facility to have a gross floor area of 18,000 square meters

The General Authority of Civil Aviation (GACA) in Saudi Arabia has signed an agreement with CJ Logistics to build a dedicated e-Commerce Global Distribution Center at Riyadh Integrated the Kingdom’s first Special Integrated Logistics Zone by 2024.

The proposed facility is a state-of-the-art logistics center with a gross floor area of 18,000 square meters and a daily throughput capacity of 15,000 boxes. It will serve as a forwarding base and hub for logistics in the region, connecting the Middle East, Africa and Europe.

CJ Logistics recently signed an eight-year long-term contract with iHub before establishing the Global Distribution Center. The new Center will offer international delivery of iHerb products to the Middle East, one of the largest online retailers for health and wellness products.

Commenting on the issuance of the license, GACA President Al Duailej said: “On behalf of the General Authority of Civil Aviation, I am delighted to be issuing CJ Logistics with a license to operate today, which marks an important milestone for Riyadh Integrated - Saudi Arabia’s Special Integrated Logistics Zone.

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"We look forward to CJ Logistics having a strong presence in the Kingdom, with this Global Distribution Center being their main hub in the region.

“Riyadh Integrated is a testimony to the Saudi Aviation Strategy under Vision 2030, positioning the Kingdom as a global logistics hub connecting three continents to the Kingdom as our logistics sector is transformed.                                                       

“As a vital enabler for Saudi Arabia’s logistics sector, the Special Integrated Logistics Zone will strengthen Saudi Arabia’s position as the largest, fastest growing market and leading strategic trading nation in the Middle East and continue Vision 2030’s mission to connect the Kingdom to the world.”

Kang Sin-ho, CEO of CJ Logistics, added: “The Saudi e-commerce market has the richest growth potential in the Middle East and the geographical advantage of connecting Africa, Middle East and Europe.

"We will spare no support for state-of-the-art logistics technology and infrastructure so that the GDC can become a logistics hub that leads the Middle East e-commerce market."

The Special Integrated Logistics Zone was launched in October 2022 in Riyadh by HE the Minister of Transport & Logistics and the General Authority for Civil Aviation. The Zone is truly integrated, with a value proposition that has been developed alongside its first batch of investors.

The strategically located Special Integrated Logistics Zone will serve billions of potential customers in easy reach in Africa, Asia and Europe and help to significantly increase Saudi’s cargo capacity to more than 4.5 million tonnes per annum.

Read More: Saudi Arabia Launches Special Integrated Logistics Zone in Riyadh

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Transport and Logistics ME