
United Parcel Service on Wednesday unveiled its largest and most advanced logistics center in Asia Pacific, a nearly $100 million investment that demonstrates the company’s continued investment in critical infrastructure even as it downsizes its shipping network and reduces overall capital expenditures.
The 872,000-square foot automated distribution center in Taiwan more than doubles UPS’s warehouse footprint in Taiwan. It is located three miles from Taoyuan International Airport, where shipments can reach global markets via 22 freighter flights UPS operates in and out of Taipei each week.
UPS said the Taoyuan International Logistics Center will support high-value sectors such as semiconductors and medical technology. UPS has increasingly placed a strategic focus on B2B logistics sectors with high margins, including healthcare and technology, and international package service. Applied Materials, a major semiconductor and display equipment company, uses the TILC as its Asia continental distribution center.
The building features a fleet of autonomous mobile robots, which are programmed to carry out tasks such as pick and pack, and inventory management. The robots are leading to significant productivity gains, according to UPS. For example, once a customer order arrives at the TILC, it can be processed and packed onto shelves roughly 40% faster than current processing speeds. Customers can also double the number of products they can stack in the equivalent space on regular shelving. Meanwhile, errors made during the order picking process are reduced to near zero.
The Taiwan logistics center is the latest in a series of investments by UPS in its Asia Pacific network to facilitate efficient cross-border trade. In October, UPS opened a 20,000 square foot package center in Penang, Malaysia, and increased the size of its existing hub at Penang Airport to boost parcel processing capacity.
UPS has reduced spending for capital expenditures from $3.9 billion in 2024 to a projected $3 billion in 2026.
Click here for more FreightWaves/American Shipper stories by Eric Kulisch.
Write to Eric Kulisch at [email protected].
RELATED STORIES:
UPS identifies 22 package facilities for closure
UPS navigates Amazon draw down in hard pivot to premium services
The post New UPS distribution center in Taiwan doubles capacity, productivity appeared first on FreightWaves.
LATEST POSTS
- 1
UN rights chief: Israel's new Gaza aid agency rules 'outrageous' - 2
Top 20 Style Brands for Pioneers - 3
Factbox-China's crewed lunar programme eyes astronaut landing by 2030 - 4
Here are 10 stores where you can get a free Thanksgiving turkey - 5
Don't fall for it: These common tourist scams in Rome are easy to avoid if you know what you're looking for
Firefighters rescue two Israelis trapped in vehicles on flooded roads in West Bank
NASA is sending astronauts back to the moon. Can you see the Artemis 4 landing sites from Earth?
Ukraine's new defense minister just outlined how dire its troop shortage has become
Experts who once backed 'shaken baby' science now fight to free imprisoned caregivers
Grasping the Commencement of Criminal Cases: An Extensive Outline
'The Beast in Me' arrives on Netflix: Is it based on a true story? And what drew Claire Danes to it? What to know about the thriller series.
Pick Your Favored kind of salad
Dad issues urgent plea to find stem cell donor for his son
Paraplegic engineer becomes the first wheelchair user to blast into space












