To help overcome the US-China trade war, Dimerco is supporting a customer in establishing a new manufacturing base in Malaysia, enabling the import of equipment, raw materials and produce finished goods for export directly to the US.
The Taiwan-based transport and freight forwarding specialist’s customer is said to be a world leader in mechanical steel for renewable energy solutions.
Dimerco planned and managed the entire six-day logistics process to ship the first 122 steel coils weighing over 3,000t from port to warehouse, including storage, sample cutting, re-wrapping and packing, as well as handling customs clearance and distribution to the consignee.
Since the first shipment in March this year, Dimerco said it has now shipped approaching 10,000t of steel coils, with more scheduled. In May, Dimerco secured a further contract with the same customer for a different product in a second newly built factory.
According to a Dimerco spokesperson, the company previously shipped heavy production equipment for the customer from Suzhou in China to Malaysia. And, in the light of the China-US tariff stand-off, the customer has decided to not only build a new factory in Malaysia but also ship raw materials from South Korea/Taiwan to Malaysia via ocean freight, with Dimerco handling all operations from the destination port.
“Our experience and deep market knowledge in this region enabled us to provide a comprehensive and seamless service to our customer who is operating in an unfamiliar market to them,” the spokesperson said.
“We transferred the cargo to a warehouse in the Free Zone Authority and worked through the night to achieve a rapid transit time, as well as liaising with trusted partners on utilising specialist equipment required to handle the heavy freight and dispatching local transportation with low-bed trailers.”
In order to achieve smooth customs clearance, a dedicated team from Dimerco also arranged sample cutting for SIRIM (Standard and Industrial Research Institute of Malaysia) Inspection, arranging for a subcontractor to slight three baby coils from the 25t mother coil and ensuring each coil was labelled accurately on arrival at port, before inspection.
“This project has allowed us to demonstrate our breadth of services and our commitment to teamwork,” Dimerco’s spokesperson added. “We were able to advise our customer on the specific requirements of coil import and transfer in Malaysia, particularly with regards to warehousing, inspection and customs clearance.
In addition, we provided onsite monitoring and 24-hour live updates to our customers, as well as delivering basic training on the FZA regulations and SIRIM inspection. Dimerco is delighted that our expert heavy freight handling services have been recognized with a further contract in Malaysia from our valued customer.”