Suzhou Tiantian Logistics Co., Ltd.
Suzhou, China Site Visit
September 19, 2015
Mr. Qi Xuyang, General Manager
Mr. Zhong Liming, Project Manager
Suzhou Tiantian Logistics (SZTTL) was founded in 1986 providing transportation and warehousing in Suzhou’s local area. Today, SZTTL is a key logistics service provider in the Suzhou Industrial Park with 200 employees providing import and export customs clearance, regular, bonded and hazardous goods warehousing, inland transportation, vendor-managed inventory, just-in-time services and international transportation management.
In Suzhou Industrial Park, SZTTL operates 50,000 square meters of warehousing space which includes temperature controlled space (18-28 degrees Celsius) and refrigerated space (under 5 degrees Celsius). In addition, SZTTL operates a 3,000 square meter bonded warehouse and a 1,000 square meter hazardous goods warehouse.
SZTTL has 60 owned trucks for its transportation business within Jiangsu, Shanghai and Zhejiang for long distance transportation (over 400 km). SZTTL also uses trucks operated by subcontractors. It has about 200 dedicated trucks under contract. Both less-than-truckload and truckload transportation is provided.
When providing logistics services in China, customs clearance is important for both imports and exports. As a professional customs clearance broker, SZTTL provides smooth customs clearance. Most of the import and export shipments to/from Suzhou are trans-shipped via Shanghai. SZTTL can do the customs clearance in Shanghai and arrange for bonded trucking between Suzhou and Shanghai for both air and ocean shipments. This provides convenience to its customers.
For export shipments requiring booking space from airlines and shipping lines, SZTTL uses JHJ/YRC Logistics (a joint venture between JHJ and YRC) as its partner. The JHJ/YRC Logistics network can meet most customers’ requirements.
In turn, JHJ/YRC Logistics uses SZTTL as a local partner in the Suzhou Industrial Park for some shipments needing warehousing and/or distribution. Yusen Logistics, Nippon Express and other global logistics companies also use SZTTL as a partner. SZTTL has good relationship with them.
SZTTL focus’ on direct customer development and has a good customer base. For example, Bosch is a long-term customer of SZTTL’s in Suzhou. SZTTL also provides logistics services to Valeo in Wenling, Zhejiang province as Valeo has a manufactory there. After visiting SZTTL’s warehouse, we found that it is very professional in its daily operations. According to Mr. Zhong Liming, SZTTL has had experience with most Fortune 500 with factories in the Suzhou Industrial Park. SZTTL has a strong sales team with 15-20 employees to develop the business. SZTTL does not plan on expanding its network to other cities as its very cautious in its business strategy.
SZTTL is not very big throughout China, but it is a strong player in Suzhou. And, its service can meet its customers’ demands; not only the manufacturers, but also the logistics companies. In the past 30 years, SZTTL has had some successful experience. We trust its remarkable performance shall continue.
Sources: A&A Primary Research, http://www.ttwlgs.com/