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YesAsia has collaborated with Geek+ to create a new smart warehouse that will not only be one of the tallest warehouse facilities in the world but also one of the most tech-enabled. The new facility will be located in Tsing Yi, Hong Kong, and will have the highest number of Autonomous Mobile Robots (AMRs) deployed in any one warehouse in Hong Kong. E-commerce businesses like YesAsia have faced many challenges since the start of the pandemic and logistics and supply chain management has been up there as one of the biggest. The new warehouse is designed to help the online retailer improve this area of operations and allow for greater efficiency by working with a leading AMR specialist like Geek+. The step is just one example of the ambitious strategy that YesAsia has deployed, integrating greater digitisation and automation across the enterprise to help ensure that the business continues to thrive.

In the wake of COVID-19 we have seen expectations rise when it comes to global supply chains. There are many factors that are bringing more uncertainty to this space, from political unrest to changing economic landscapes and the US-China trade war. As a result, safe and resilient supply chains are now the goal for organizations and governments alike. Hong Kong is already investing heavily in the infrastructure and people that deliver on expectations for sustainable and efficient supply chains. The city is the regional base for some of the world's biggest logistics firms, which makes it a natural go-to as a supply chain leader - and it has a number of key location-based advantages too. These include the fact that the airport here is the world's busiest cargo handler and the port is ranked within the international Top 10. Investing in innovation, partnerships and infrastructure that make the most of the geographic advantages that the city has are all key to optimising on the potential of Hong Kong as a fast mover in global supply chains.

The global pandemic has squeezed the logistics and supply chain industry in many ways, especially when it comes to talent pipelines. Now, new research has revealed that companies across the APAC region are increasingly turning to the contingent workforce in order to solve the challenges of supply chain recruitment. Headcount shortages are affecting many organisations and this, combined with the impact of COVID-19, plus increasingly sophisticated technology and economic uncertainty, has meant that many enterprises are forced to look for new ways to survive and thrive. While the contingent workforce is already a big part of workforce planning for businesses in the APAC region, the research showed that 25% plan to increase their use of contingent workforce in the next two years. 58% of businesses already use a contingent workforce when it comes to headcount shortages and 74% are likely to reward a contingent worker at the same level, or better, than full-time employees.

2021 was a record year for DHL - and 2022 looks set to continue this trend. Figures published earlier in 2022 show that Deutsche Post DHL Group revenue was up more than 22% to a record EUR81.7 billion. Air cargo volumes increased by 25.7% but, despite this positive movement for DHL, the group lost its position as the world's largest air freight carrier in terms of volumes (losing out to Kuehne+Nagel). As a result, we can expect to see bold expansion plans from DHL in the coming year, including the order of six new B777 widebody freighter aircraft designed to further enhance the capability and reach of DHL's global network. The B777s ordered by DHL are considered to be the most fuel-efficient aircraft in their class and will give the global logistics firm new reach when it comes to connecting to locations such as Hong Kong and other global logistics hubs.

Although it was initially thought that reshoring would be one of the biggest impacts of the pandemic, the worldwide shift in production actually hasn't happened. We have not yet seen governments and companies worldwide moving manufacturing closer to home in response to supply chain challenges. Instead, measures that were put in place to contain the virus in Asia actually provided opportunities for manufacturing in the region to power ahead. There is now data to show this progress with intra-regional trade in Asian economies increasing by 31% in the first three quarters of last year. The data comes from the Asia Development Bank and shows that trade within Asia made up more than half of the region's total trade in 2020. Robust supply chains and resilient foreign direct investment have shown the strength of the region. Proving that there are limits to reshoring supply chains, even during pandemic times.

According to Hong Kong's Labor and Welfare Bureau, the local innovation and technology ecosystem is creating a broad range of opportunities in manufacturing recruitment. In particular, the 'InnoPark' concept, which has resulted in three former industrial estates in Tai Po, Tseung Kwan O and Yuen Long being repositioned as tech-centric InnoParks, is supporting the government focus on re-industrialisation to boost economic growth. 'Innofacturing' will take place in InnoParks - an "infusion of innovation into existing industries through the use of advanced technologies, such as AI, robotics and data analytics." This will provide exciting opportunities for those with skill sets in areas such as R&D. The government has emphasised the importance of bringing traditional industry up to speed with technology - achieving Industry 4.0's smart production techniques. With this new focus it intends to diversify the economy away from reliance on sectors such as logistics and tourism and towards a more tech-driven manufacturing sector that can help to support greater economic growth in the region.

Derby-based Gardner Aerospace is the latest business to look towards the Asia Pacific region when it comes to expansion and growth. The company, which supplies components to some well-known manufacturers, including Rolls Royce Holdings and Airbus, is tapping into the emerging aviation market in China.

Digitisation of supply chains is a hot topic in end-to-end supply chain today with some big industry names investing in evolving workflows and systems. Tufail Chemical is the latest enterprise to sign up to a digitisation programme. The firm is partnering with Maersk to help streamline and manage supply chains more efficiently, using the digital tool 'Maersk Flow.'

It has been announced that Ali Baba Group's Cainiao Network is expanding outside Mainland China for the first time - into Hong Kong. The move is going to significantly grow the network in the Asia Pacific region, creating 10 Cainiao Post stations and 60 designated collection points. As a logistics platform with a well-established presence in China, this is a significant step for Cainiao Network (and Ali Baba) - and comes as eCommerce sales in Hong Kong are forecast to continue to rise and the drive for digitisation continues.

In a move that is designed to boost its presence in the Asia Pacific region, AP Moller Maersk has entered into an agreement to buy the logistics business of Hong Kong-based Li & Fung. The value of the deal comes in at somewhere around $3.6 billion and it will deliver a significant upgrade for AP Moller Maersk's network in this part of the world, adding about 40% capacity and resulting in an increase to 549 facilities globally for the shipping giant.