Sun Lei of CFLP
Outsourcing of services to third party logistics providers was the highlight of two major conferences in Shanghai.
At the 4th China 3PL Summit, speakers discussed how the growth of multinationals has spurred competition among Chinese manufacturers, leading them to upgrade their own supply chains through the heightened use of 3PLs.
Sun Lei, director of the international co-operation department of the China Federation of Logistics and Purchasing (CFLP) said, ‘In China, not many local companies want to use 3PLs and there is a lower concentration of such activities. The market share of the top 10 logistics providers in China is only 13%.’
Sun Lei said that 3PL business in the mainland is still on a small scale compared with developed countries. She believes that the potential for 3PL services in China has not been fully realized.
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Source: CargoNews Asia