DHL to build $100 million gateway facility at Hamilton airport
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DHL Express announced in October that it will spend $100 million to build a new 200,000-square-foot gateway facility at the John C. Munro Hamilton International Airport.
The facility is set to open in 2021, and will enable the company to keep up with what it says is double-digit volume growth. It will replace the company’s existing facility, which is also located at Hamilton International, and feature a fully-automated sort system that can process 15,000 packages per hour.
“Hamilton International Airport offers us the benefits that we need to meet our growing demands in handling capacity,” said Andrew Williams, CEO of DHL Express Canada. “With 24-hour landing capability, dedicated onsite Canada Border Services Agency representation and the ability to grow in the future with a partner positioned to become the cargo hub of Ontario, we know this is the best decision to continue leading the market.”
Hamilton Mayor Fred Eisenberger added, “This is further evidence that our airport is an economic driver that is attracting international investment resulting in high-value jobs and increased prosperity.”
Since 2014, international trade has generated continuous growth in shipments per day for DHL Express in the Americas, averaging at around 8% growth each year for the entire region combined. In Canada alone, shipments per day growth have doubled with 60% of the total Canadian shipments cleared every month at Hamilton International. The Hamilton Gateway is the largest gateway for DHL Express in Canada by volume. Other DHL Express gateways in Canada are located in Vancouver, Calgary, Edmonton, Winnipeg, Brampton, Montreal and Mirabel.
DHL Express moved to its current Hamilton International facility in 2008. In the last four years, the company has invested more than $30 million to increase its fleet and aviation capacity, along with expanding its facilities in Edmonton and Winnipeg, and most recently, doubling its capacity at the Vancouver International Airport in Richmond. DHL Express has 17 owned locations throughout Canada and more than 450 partner locations.
Last year, DHL Express launched a new direct flight from the DHL Express Americas Hub in Cincinnati to Vancouver, also as a result of double-digit shipment growth generated from the growing international trade – specifically between the U.S. and Canada. Inbound shipments had increased by 38 percent to Vancouver from 2017 to 2018, while outbound volumes increased by 10 percent, all as a result of the accelerating e-commerce business paired with an already-strong customer base for the company.
The new flight, an $8.6-million investment, increased shipment capacity on the route by up to 40% improvement, and created more opportunity for Vancouver’s small and medium-sized businesses to trade internationally by improving reliability, connectivity and capacity between the two markets.
In the last two years, DHL Express has invested more than $289 million in operational investments throughout the Americas, which have allowed for improved automation for speed and accuracy at hubs, gateways and service centre facilities across the region.