Cat Logistics, China--Cat Logistics Opens New Logistics Center to Support Growth in China

New facility will service a growing presence in the region and provide increased utilization of strategic sourcing initiatives

Caterpillar Logistics Services, Inc., a wholly owned subsidiary of Caterpillar Inc. recently announced the opening of a new Logistics Center in Suzhou, China. The new center provides inbound logistics support for Caterpillar's growing manufacturing footprint in China and for other Caterpillar manufacturing operations in the Asia-Pacific region. In addition, the Logistics Center serves as a consolidation / deconsolidation hub for the movement of goods in and out of China, supporting the manufacturing of Cat products globally.
 
The new 9,000 square-meter facility, known as the China Logistics Center (CLC), is located in the Suzhou Industrial Park (SIP) and employs approximately 50 full-time employees. In addition to providing inbound logistics support to Caterpillar's China and inter-Asia manufacturing facilities, services also include bonded and non-bonded warehousing support and distribution and line side replenishment.
 
"Caterpillar has worked hard with many local partners in Suzhou, including members of the Suzhou Industrial Park, and we thank them for their assistance during the site selection and fit-out," said Steve Larson, Caterpillar vice president with responsibility for Parts Distribution and Logistics, chairman and president of Caterpillar Logistics Services, Inc. "This new facility has an important role in ensuring the success of Caterpillar's growing presence in China and will enhance supply chain and operational efficiency in our manufacturing operations in the region," continued Larson.
 
The China Logistics Center is applying the Caterpillar Production System (CPS) to deliver efficiencies throughout the new facility. "By utilizing CPS Guiding Principles, we'll drive velocity and increase inventory turns while providing world-class material availability to our manufacturing facilities in Asia," said Ed O'Neil, vice president of Manufacturing Logistics Services for Cat Logistics. 
 
This move is another element of Caterpillar's long-term strategy to increase its capability in China and greater Asia. "Caterpillar has a long history in China, and we're committed to continued growth in the region. The China Logistics Center represents an important piece of our overall strategy in China," said Jiming Zhu, Caterpillar vice president with responsibility for the China Division.
 
About Caterpillar:
For more than 85 years, Caterpillar Inc. has been making progress possible and driving positive and sustainable change on every continent. With 2009 sales and revenues of $32.396 billion, Caterpillar is the world's leading manufacturer of construction and mining equipment, diesel and natural gas engines and industrial gas turbines. The company also is a leading services provider through Caterpillar Financial Services, Caterpillar Remanufacturing Services, Caterpillar Logistics Services and Progress Rail Services. More information is available at: http://www.cat.com.
 
About Cat Logistics:
Caterpillar Logistics Services, Inc. is the low-cost provider of differentiated supply chain solutions delivering competitive advantage and attractive returns for its parent company, Caterpillar Inc., and more than 60 other leading corporations throughout the world. Headquartered in Morton, Ill., Cat Logistics operates more than 108 offices and facilities in 23 countries on six continents. Cat Logistics provides its full service capabilities to companies in market sectors, which include automotive, industrial and aerospace service parts, consumer durables, technology, electronics and manufacturing logistics. More information is available at www.CatLogistics.com.

Source: AED News