
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
FDA claims on COVID-19 vaccine safety are unsupported by reliable data – and could severely hinder vaccine access - 2
The most effective method to Alter Your Kona SUV for Greatest Solace and Comfort - 3
Europe must reinvent warfare for ‘era of shocks,’ NATO’s Vandier says - 4
Two IDF officers, civilian face indictment in alleged Gaza aid-truck smuggling scheme - 5
US measles cases surpass 2,000, highest in 30 years: CDC
Step by step instructions to Pick A Keep money with High Fixed Store Loan costs
Flu season is underway. What are common symptoms to watch for?
From Overpowered to Coordinated: Individual Accounts of Cleaning up
At least 490 protesters killed in Iran, activists say
Home Security Frameworks with Shrewd Elements
From record warming to rusting rivers, 2025 Arctic Report Card shows a region transforming faster than expected
My Excursion to a Better Way of life: Health Experiences
1st-ever disease gene fix, Alzheimer's blood test: 7 medical breakthroughs in 2025
Keep It Cool: Uncovering Famous Fridge Brands for Each Home













