China’s largest automotive logistics provider (“ANJI”) and CEVA Logistics, one of the world’s largest supply chain management companies (“CEVA”) are pleased to announce the signing of definitive agreements to renew and grow their 50/50 joint venture partnership (“ANJI-CEVA Logistics”, originally Anji-CEVA Automotive Logistics) for an additional fifteen years and expand ANJI-CEVA’s business scope to non-automotive contract logistics in China, including Hong Kong.
ANJI-CEVA was the first logistics joint venture officially approved by the People’s Republic of China’s Ministry of Transport and Ministry of Foreign Trade and Economic Cooperation in 2002*. Today it is the largest and leading contract logistics provider in China with a strong focus on automotive with a revenue close to US$ 1 billion in 2016 and more than 15,000 employees. It offers a wide variety of services covering inbound logistics, aftermarket contract logistics, import and export logistics as well as a unique ground transportation network covering more than 400 cities in China.
With the renewal, in addition to the automotive sector, ANJI-CEVA will expand its business scope to include non-automotive contract logistics activities across greater China with an initial focus on industrial & aerospace, technology, consumer & retail sectors and e-commerce. ANJI-CEVA will fully participate in CEVA’s global network and build on contract logistics business that it will acquire from CEVA in China. By leveraging the combination of ANJI-CEVA’s operational expertise, skills, management and its extensive coverage across China, together with CEVA’s customer service model and operating processes, ANJI-CEVA will be able to offer competitive, innovative high quality solutions in China to Chinese and overseas customers.
This renewed and expanded partnership is a testament to the confidence of both shareholders in the future of our market-leading joint venture. The significant expansion of ANJI-CEVA’s business scope into non-automotive sectors will bring clear advantages to both domestic and international customers in China. It is an ambitious and exciting step forward in this long standing and successful collaboration between the two companies which will enable ANJI-CEVA to diversify its revenue sources into other sectors. Both shareholders express their confidence the ANJI-CEVA joint venture will proceed from strength to strength in the years to come.
The renewed joint venture aspires to become a leading diversified contract logistics provider in China. This aspiration is reflected in the proposed change of its name from “ANJI-CEVA Automotive Logistics Co. Ltd” to “ANJI-CEVA Logistics Co. Ltd.
The renewal and name change is subject to filing with government authorities and renewal of business licenses, which are expected to be completed within the next quarter.
