HOME > Special Solution for You > Steps into China

Steps into China

Extensive Network in China

*(Shanghai: 2 Business sites, Hong Kong: 4 Business sites)

MOL Logistics has been actively expanding its operations in China, and currently operates in 21 facilities business sites (as of Mar. 2015). MOL Logistics meets all kinds of logistics needs ranging from marine, air and inland transport to warehousing and freight forwarding. (*)

In addition to the above cities, MOL Logistics opened a comprehensive logistics warehouse in Shanghai's Waigaoqiao Bonded Logistics Zone (WBLZ) in July 2004 as part of its strategy to strengthen operations in China. WBLZ,one of the Chinese government's special tax policy projects, is in the vanguard of China's trade and physical distribution. MOL Logistics is the only Japanese-affiliated company and one of the only four companies in the world selected to participate in WBLZ Phase I.

MOL Logistics (China) Shanghai Huajia International Freight Forwarding

MOL Logistics' efforts to strengthen its operations in China are led by MOL Logistics (China). The company quickly acquired all licenses required for logistics business, and provides logistics services tailored to individual needs of customers. MOL Logistics is currentry in the spotlight as the first Japanese-affiliated company to operate its own warehouse in Shanghai's Waigaoqiao Bonded Logistics Zone. Always looking one step ahead, we continue to propose new services for customers.

  • Road Transport Business Permit
    License for domestic land transport
  • Certificate for Non-vessel Operating Common Carrier Business
    License for NVOCC service
  • Certificate of Customs Clearance Agent
    License for customs clearance service
  • Certificate of International Freight Forwarder
    License for freight forwarding business
  • Certificate for Air Transport
    Sales Agent Business
    (CAAC License)
    License to enable own consolidation
  • MLG (WBLZ) Business Permit
    License for bonded warehouse

Newest Logistics Service: WBLZ, Shanghai's Bonded Logistics Zone

MOL Logistics is the only Japanese company participating in Phase I of the Waigaoqiao Bonded Logistics Zone project.

What is Shanghai Waigaoqiao Bonded Logistics Zone (WBLZ)?

An epoch-making warehouse given special incentive by the Chinese government

  • Documentation for refund of value-added tax is issued(*)
  • Speedy and easy customs clearance by giving bond
  • Permitting cargo storage for non-resident

*Cargo brought into WBLZ is regarded as exported overseas and the customers office issues the documentation for refund of value-added tax to the exporter.

VAT: Problem Trade with China

Value added tax (VAT) of 17% is one of the biggest problems faced by Chinese exporters. Similarly to consumption tax of Japan, it is levied on various transactions in China.

When you process a product in China for export, you can import materials in bond by permission of the customs, process them at the factory and re-export. On the other hand, if you purchase components made in China, process them and export the product, you may have to pay the VAT when procuring the components.

For manufacturers, the 17% tax is a heavy burden. Some manufacturers even export components to Hong Kong, Japan or some other country and import them again to China before sending them to the processing factory to lessen this burden. By exporting and re-importing the components, the manufacturers can keep them in bond while they are made into the final product.

So far in the Waigaoqiao bonded zone and export supervised warehouses ("Kan-Kan warehouse", in Chinese), procedures for refund of VAT couldn't begin when the cargo was hauled in. It was only possible after the cargo was actually loaded aboard vessels. But if you fully utilize the advantage of WBLZ, you can start procedures for refund of VAT when the cargo has been hauled in. It opens up the possibility of long-term storage of export cargo in China, so far impossible because it costs the exporter too much.

Long-term Storage in China: two main advantages of moving your distribution center to Shanghai

  • Warehousing cost is lower than in Japan

    Warehousing cost in the Shanghai area is much lower than it is in Japan. In addition to this, facilities of MOL Logistics are equipped with a state-of-the-art warehouse management system for customers to check inventory and other information through the Internet wherever customers may be in the world.

  • Quick access to Japan

    Shanghai port and Shanghai Pudong International Airport have the most extensive transportation network with Japan. Containership services from Shanghai cover 43 Japanese ports, ranging from Tomakomai in the North to Kumamoto in the South of Japan. It also has direct air services to 15 airports throughout Japan. If you currently store and process Chinese products in warehouses in Japan, MOL Logistics can help you to reduce distribution cost with its abundant experience and constantly updated logistics menu.

Conventional Distribution: Import from China and Store in Warehouse in Japan

MOL Logistics Service: Store in China and Export in Japan

Outline of MOL Logistics Facility in Shanghai WBLZ

Total area : 21,187m2
Loading area : 7,760 m2
Height of cargo handling platform : 1.4 m
Structure of building : Single-storied steel-frame construction
Platform : 5m wide on both sides
Operation area : 20m wide on both sides
Door : 10 sliding doors (each 5m x 4.2m) at both side of building
Dock lift : 2 electric hydraulic lifts
Fire prevention equipment : Fire Hydrant
Total cargo area : 13,427m2
Storage space : 11,664m2
Eaves : 9m
Ceiling height : 6-9m

Global Office Network
Corporate Information