Kia Motors signs multi-million pound deal for new UK port operation
A multi million pound ten year deal has been signed by Kia Motors UK Ltd. and Paragon to operate a key automotive storage and preparation centre at Stallingborough, North East Lincolnshire to handle and process up to 120,000 cars every year. The operation will move from the existing site in Killingholme by December 2015, expecting to employ 150 staff – these include existing Paragon and GBA staff but will also create new roles and opportunities for the local area. The specialist facilities will allow Kia vehicles to be fitted out to buyers’ specification before distribution to Kia’s 185 UK dealers.
Injecting millions into the future of Stallingborough, the purchase will see the development of 88 acres of land to a fully functioning compound for automotive storage, preparation and distribution. The purchase of the land totals £9m, which will involve re-development and extension of the existing workshop and bodyshop to encompass state of the art facilities spanning over 75,000 square feet.
“The port on the Humber is a strategic and extremely important part of Kia’s UK car import and distribution,” said Yaser Shabsogh, Commercial Director of Kia. “The facilities which will be available for us to process our cars will be fantastically state of the art, and will allow us to keep delivering expertly designed, quality vehicles to our dealerships up and down the UK.”
Mark Hindley Commercial Director of Paragon added, “We are delighted to have this opportunity to develop a flagship technical centre for Kia Motors UK, which will process up to 120,000 new and used vehicles each year. This partnership will allow us to invest in facilities and people in the North East, to provide an excellent service and one which is hugely important of the UK’s car import structure.”
Kuehne+Nagel cuts carbon footprint by 70% for Honda China
Around 16,000 tonnes of CO2 has been cut from supply chain of Honda's China-based manufacturing division through a road-to-rail transformation in partnership with logistics leader Kuehne+Nagel.
The programme was developed through KN Sincero, the joint venture between Swiss headquartered Kuehne+Nagel and Chinese automotive logistics firm Sincero, established in 2018.
KN Sincero worked with Honda China to develop an integrated solution to convert much of its domestic long-haul trucking to train lines, using regional hubs to improve supply chain performance and further reduce carbon emissions. The programme delivered consolidations as well as value-added services, including sorting, scanning, repackaging, GPS track and trace, and recyclable container management.
"Kuehne+Nagel has always been a supply chain partner that we can rely on, to help us improve our supply chain performance whilst also achieving our environmental goals,” said Mr. Jiang Hui and Mr. Takuji Kitamura, Joint General Manager of Wuhan Dong Hon, the logistics affiliate of Dongfong Honda Automotive.
After six months of shifting to the road-to-rail model, new supply chain reliability and efficiencies are expected too trip 16,000 tonnes of carbon emissions annually. The carbon savings represent an enormous 70% reduction in total.
"Automotive is one of the most important sectors in contract logistics, particularly in China, the world’s largest automotive market,” added Gianfranco Sgro, member of the Management Board of Kuehne + Nagel International AG, responsible for Contract Logistics. “I am glad that Kuehne+Nagel and Honda share a common vision of service, innovation and sustainability.”
Kuehne+Nagel’s Net Zero Carbon programme
Kuehne+Nagel announced its Net Zero Carbon programme in 2019 with a dual purpose to reduce CO2 output in its own logistics operations, as well as partnering with organisations to minimise their own impact on the planet. Kuehne+Nagel reached carbon neutrality globally in 2020 throughout its own, direct emissions, and is now focused on developing its capabilities to serve partners.
Dr. Detlef Trefzger, Chief Executive Officer of Kuehne+Nagel International AG, said the programme is “a package of measures to fight CO2 emissions and provide sustainable and innovative supply chain solutions – hand in hand with our suppliers and customers”.
As part of the initiative, Kuehne+Nagel established its own nature projects in Myanmar and New Zealand, and invested in ‘nature-based’ carbon dioxide compensation projects to strip harmful emissions from the environment. It is committed to being CO2 neutral for shipments in its network of transport suppliers by 2030.