
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
German state railway loss widens, passengers warned of trouble ahead - 2
The 10 Most Famous Works of art Ever - 3
Manual for 10 Scrumptious Specialty Mixed drinks - 4
Surge of off‑lease electric vehicles expected to drive down used EV prices - 5
Executed Iranian nuclear scientist confessed to aiding Israel after torture, threats against mother
The 10 Most Progressive Logical Disclosures
Argentina reportedly delaying embassy move over Israeli company's oil project near Falklands
3D Printers for Specialists
Instructions to Keep up with Your Traded Teeth for Life span
Gulf of Mexico oil spill spread hundreds of miles, killed wildlife and polluted Mexican reserves
Soldiers seize power in Guinea-Bissau and detain the president
Vote in favor of Your #1 Home Exercise Gear: Execution and Comfort Matter
Germany's Bundestag extends two armed forces missions abroad
Nestlé says 413,793 KitKat candy bars stolen en route from Italy to Poland












