Chinese logistics giant on the horizon
News agency Reuters reports that China has created a new logistics giant through a merger of China Railway Materials, China National Materials Storage and Transportation Group, Huamao International Freight (Shenzhen Branch), China Logistics, and China National Packaging Corporation. The new unit will bear the name China Logistics Group and will be mainly state-owned.
It was said that the newly formed group is not only meant to secure local and global supply chains facing anti-pandemic restrictions, but that it will also include as strategic investors the parent firms of China Eastern Airlines, Cosco Shipping, and China Merchants Group, who will hold share percentages of 10%, 7.3% and 4.9%, respectively.
China's state-owned Assets Supervision and Administration Commission (Sasac) and China Chengtong Holdings Group will evenly split the remaining shares, the press release said. (sh)