Vietnam Commercial Presentation

November 2021
Contents 1. Global Overview

2. Dynamic Vietnam

3. Diversified Products

4. Intangible Assets
1
Global Overview
More than 125+ years
of delivering
innovative and
integrated supply
chain solutions
Empowering
you to make
bold promises
How we do it

You will work with dedicated people

with deep logistics expertise
using our innovative technology.
Over 76,000 logistics and supply chain professionals

AIR LOGISTICS
SEA LOGISTICS

More than
1.4 million
tons handled
4.5 million
TEUs handled

Kuehne + Nagel
Headquarter
INTERGRATED LOGISTICS
Schindellegi,
Switzerland
CONTRACT LOGISTICS 900 experts in
11.3 million m2 9 Global Logistics
warehousing space Control Centres

ROAD LOGISTICS

18.4 million
road orders

Note: All figures based on 2020 data

2
Dynamic Vietnam
Key milestones

1890 2005
Founded in Bremen, Starting business in
Germany Contract Logistics

2001 2017
Opening Ha Noi Opening the Kuehne+Nagel
representative office Logistics Hub in Dong Nai

2002 2014
Opening Hai Phong Business License in
representative office Vietnam
2019
1994 Celebrating 25 years in Vietnam
Kuehne+Nagel Ltd was Starting business in Road
established in Vietnam Logistics
 25+ Years in Vietnam

 No.1 Sea Logistics

 Top 3 Air Logistics

 Top 3 Contract Logistics

Kuehne+Nagel Vietnam
 600+ Industry Specialists  Founded 1994
 HQ Ho Chi Minh City
 Locations 11
 Employees 600+
 Warehouse 100,000+ m2
Industry Solutions
End-to-end solutions, customised to your industry needs

Consumer High-Tech Industrial Perishable

Automotive Pharma & Healthcare Aerospace

Vietnam at a glance
Capital city:
Hanoi

Language:
63 municipalities & provinces Harbour city and major Vietnamese
seaport in the North:
Hai Phong
International dialing code:
330,900+ +84
square kilometers
Currency:
94+ million Dong
people (median age: 30.5)
Stock exchange:
Ho Chi Minh city
47.4 million Hanoi
people of working age in employment

Financial center: Business & Banking hour:

$2,385 Ho Chi Minh city 8am – 5pm
average annual income Monday to Friday
Fostering
Investment in
Infrastructure Maps of Ports and Airports in Vietnam

10 international
airports in operation
Long Thanh
International Airport is
in progress

22 local airports

Up to 320 terminals
44 seaports with a total
capacity of above 500
million tons per year
Map of ports in Vietnam Map of airports in Vietnam
Vietnam is building North-South Expressway and
planning North-South High-speed Railway Project

The North–South The North-South High-speed

expressway is a Railway Proposal: upgrading
planned, in-construction the current North-South
Vietnamese 1,941 km railway
long expressway  Length: 1,559km
running from Ha Noi to  Speed: 320km/h
Can Tho.  Total investment capital:
about $58.7 billion over 30
years from 2020 to 2050

Source: Ministry of Transport of Vietnam

Vietnam Macro Economy
An attractive backdrop for economic development

7.5 4.5
7
4
6.5
6
3.5
5.5
5 3
4.5
GDP* annual 2.5
4 Inflation
growth rate 3.5 rate
2
3
2.5 1.5
2
1
1.5
1
0.5
0.5
0 0
2014 2015 2016 2017 2018 2019 2020 2021f

GDP growth rate (%) Inflation rate (%)

* Gross Domestic Product
Source: WB, IMF
3
Diversified Products
Sea Logistics
Our leading Sea Logistics in
Vietnam market

 Professional customised solutions to meet

your unique requirements
 Strong local, regional and global relationship
with carriers
 Dynamic and experienced team with over
260 dedicated sea freight specialists based
in Hanoi, Hai Phong, Dong Nai and HCMC
offices
 Local Key Account team and supportive from
Regional Operation Product Management
We take care of your sea freight
shipments so that you can
focus on your business
Sea Logistics
offering portfolio
Standard

Draw upon our versatile

industry experience
for dedicated solutions, Full Container Less-than-Container Order Management Project Logistics Intermodal
Loads / FCL Loads / LCL
tailor-made for your
special requirements

NACORA Insurance Sustainability

Industry-specific

Pharma & Healhcare Wine, sprits and drinks Perishables Reefer Forestry
Our Core Service
Customised solution to meet your unique requirements

#1 IN VIETNAM
 No. 1 position in Vietnam with 25+ years of experience
 Market leader in FCL with over 200,000 TEUs
 Highly sophisticated industry solutions 250,000+ TEUs
 Domestic & multi-country consolidation
 Project cargo solutions
24/7 Tracking &
 3 operation centres in HCMC, Hanoi, Hai Phong and strong vendor Tracing system
partnership in Da Nang
KN InternationalSupplyChain myKN
Save time – Reduce cost – Peace of mind One-stop solution for non-stop control All Vietnam main

Specialised commercial insurance and Vietnam Logistics Hub

ports
risk management solutions Create Seamless Supply Chain Solutions for you

The intelligent platform for all liner service Managing Your Contact With State-Of-The-Art IT Solutions
260 dedicated Sea
in container shipping Logistics specialists in
Vietnam
Reliability is not a promise – it’s a guarantee Sea Perishables – Integrated solutions to satisfy your
temperature-controlled
Sea Logistics
Flexible services through partnerships with leading carriers

 Guaranteed space with carriers on all sailings

 Choice from multiple carriers weekly schedules to align with desired
shipment lead time (or/and delivery window)
 Fully EDI integrated processes, documentation and status events

Kuehne+Nagel’s Core Carriers

2M Ocean Alliance The Alliance Non-Alliance

 Maersk Line (incl. Hamburg  CMA CGM (incl. APL)  Hapag-Lloyd (incl. Acquisition  PIL
Sued)  COSCO (incl. OOCL) of UASC)  Wanhai
 MSC  EVERGREEN  Ocean Network Express  SML
(ONE)
 ZIM (joint/sharing slot)
 Yang Ming
 Hyundai Merchant Marine
(HMM)

Shipping Alliances
Our Digital Products and Solutions
The innovative technologies transforming in Sea Logistics

myKN
Your one-stop-solution

 Quote | Receive offers online right away  Lead time guaranteed for all delivery
 Book | Book offers directly or save for combinations
later  100% money back guarantee
 Track | Track shipments anytime,  Extended cargo liability
anywhere  Instant pricing
 Carbon neutrality

 A space to explore, plan and make the  Optimising your Intra-Asia shipments
best decisions for individual container  Procure, book and track your shipment
shipping needs online
 An extension of Kuehne+Nagel’s  Be controlled in real-time to eliminate
outstanding quote, book and track surprises
capabilities
KN International Supply Chain
Extraordinary Service for your Supply Chain

KN International Supply Chain is the global end-to-end purchase order

management service that enables your supply chain to evolve with your needs,
leveraging Kuehne+Nagel’s expertise and network.

General WH, Bonded

Located close to Dong Nai
WH and CFS space all in
Industrial Zone and
same location 
production clusters
customisation & flexibility
Located within the Golden Triangle
region (Binh Duong, Dong Nai and
HCMC)
Completely new-built Adaptable to customer
facility according to strict Both water transport & road to
requirements with KN IT
criteria. KN ISC introduced deep-sea water port Cai Mep in
team on standby
and manage all processes Vung Tau
CO2 Visibility enables CO2 Reduction
Example CO2 savings based on Sea Explorer data

Ho Chi Minh City to Long Beach Hai Phong to Rotterdam

Distance 32,134 km; 100 TEU Distance 20,265 km; 100 TEU
191.7 Tons

141.2 Tons

82.9 Tons 88.4 Tons

CO2 Emissions

CO2 Emissions
Condor 5 Manta Ray 5 Manta Ray 4 Blue Whale 2
*Kuehne+Nagel’s
terms for certain
Possible Savings Possible Savings
ocean freight services 58 Tons CO2 = 41% 103 Tons CO2 = 53%
Air Logistics
Our Air Logistics strong market
position

 Capacity management and preferred carrier

strategy to offer the best possible access on
rate and capacity; yearly fixed allocation on
high reputation partners: LH, QR, RU, EY
 Strong local, regional and global relationship
with carriers
 A freight forwarder creating a CargoiQ
RouteMap for every single shipment by air
 Dynamic and experienced team; dedicated
ground-handling staff
 Local Key Account team and supportive from
Regional Operation Product Management
 Tailor-made end-to-end solutions
Leveraging our carrier
programs, gateways, and
airside capabilities to ensure
capacity and priority service
for your shipments
Air Logistics
offering portfolio
End-to-end industry-specific solutions

Draw upon our versatile

industry experience
for dedicated solutions, KN BatteryChain KN EngineChain KN FreshChain KN SparesChain
tailor-made for your
special requirements

KN PharmaChain KN InteriorChain KN Finished Vehicles

Standard services

Time Critical Sea-Air Time-defined products

Our Core Service
Industry-leading Air Logistics solutions in Vietnam

#3 IN VIETNAM
 Fixed capacity with prime carriers
 Sea-air consolidation services
 Global standardized IT and operational system 02 major gateway
airport Hanoi and
 Immediate availability of price (including door-to-door)
Saigon
 Visibility of actual and planned movements
 Cargo iQ planning and monitoring standards
 Tracking & Tracing system 24/7 20,000 tons per
year

Express service for your

time-critical shipments
A premium consolidation
service
If you have the time, we have
the savings
500 shipments per
week
myKN for Air
One-stop solution for non-stop control
50 Air Logistics
specialists in Vietnam
KN Sea-Air Product
Cut time, save money and reduce CO2 easily

Benefits to our customers

 Up to 50% faster than direct Sea freight
 Up to 75% cheaper than direct Air freight
 Up to 55% greener than direct Air freight
Speed Reliability Transparency  Highly reliable and with large coverage
 Trackable in KN Login

Why you can trust in KN Sea-Air

 Dedicated high-priority containers
 Fixed and allocated air capacity E
L U
 Operated in KN Sea-Air Global Control D
Tower A

 Proven concept for High-tech and Retail

S
customers
Sea freight Air freight
Contract
Logistics
Contract Logistics
Delivering Value to Customers

Value Proposition
 Design of supply chain improvements
 Wide range of service capabilities
 Highest service whilst reducing cost and capital
 Common IS platform and capabilities

Customer Transition and Integration

 Robust and proven processes and tools
 Experienced implementation specialists
 Global monitoring and know-how transfer

Continuous Improvement
 Strong methodology based on facts and
transparency
 Local experts & worldwide dedicated teams
 Ensure service consistency and cost optimisation
We think, plan and carefully
implement all our solutions to
make you more competitive
Our Core Service
Global Leading Operator with Competitive Edge

TOP 3 IN VIETNAM
 Focused approach to develop complex logistics services in 6
industry verticals:
600,000+ domestic
shipments

Pharma &
Automotive High-Tech Consumer Aerospace Industrials
Healthcare
9 warehouse facilities
 Experience in Consumer, Hi-Tech and e-commerce in Vietnam
 Strong distribution services capability
 Global contract logistics solutions focus on 6 services:
100,000+ sqm
Production Spare Parts Advanced
E-commerce Co-Packing Distribution
Logistics Logistics Warehousing

200+ specialists in
Vietnam
Transport Capability in Vietnam
Geography Coverage and Capacity

 Kuehne+Nagel currently partners with a number of distribution

Bac Ninh
NORTH
Hanoi Operated 9,500 sqm
suppliers that provide a total suit of track and trace capabilities Hai Phong

 Over 200+ pickup and delivery vehicles nationwide from 1-24

tons truck capacity
 KPI – over 99% OTIF
 Current service capabilities included:
• Domestic distribution Da Nang

• Scheduled milk-runs
• Project and oversized cargo handling

Key facts
200+ staff
• Freight pick-ups and deliveries
• Express delivery for small packages 8 offices
SOUTH
• Specialised equipment (trailer, forklift, crane etc.) SOLOG
Operated 90,700 sqm
My Phuoc

• Industry-specific services 9 warehouse

Warehouse
VSIP II
High-tech Park
facilities
Ho Chi Minh City

100,000+ sqm
warehouse capacity
Storage Capacity in Vietnam
Accelerated investment in domestic capabilities since 2015

Bac Ninh

Hanoi
200,000 Hai Phong

sqm

92,000
sqm

45,000 2020 - 2023 Da Nang

sqm

30,000 2019
sqm
20,000
sqm
2017

2016
2015
 Consolidated operations in strategically located
locations (CFS and Distribution Centers) My Phuoc
SOLOG

 Fully managed and operated by Kuehne+Nagel VSIP II

High-tech Park

 Multiple subcontracted operations  Large available space for expansion based on Ho Chi Minh City
 Expansion on demand basis customer requirements
Kuehne+Nagel Logistics Hub
The integrated logistics centre

Our offers Your benefits

 Quality Check  Pick and pack  Peace of Mind

 Palletization  Garment-on-hanger Fully Managed by KN and its IT systems or full integration
 Tally sheet  Bar code scanning with customer’s systems
 Sorting  Price / security tagging  Cost efficiency and agility
 Cross docking and trans  Fumigation Better optimization capabilities through synergies of a
loading  Inland Customs Depot large logistic center
 Multi-country consolidation  Buyer’s consolidation  Contractual Flexibility
 Labelling  LCL consolidation Integrated logistic center offers full solution scalability to fit
growth demand
Kuehne+Nagel Logistics Hub
Under exclusive management of Kuehne+Nagel

 Kuehne+Nagel Logistics Hub: 54,700 sqm

• Warehouse 1: CFS warehouse
• Warehouse 2: Bonded / General Warehouse 4
2
• Warehouse 3: General and Bonded 1
warehouse / CFS 3
• Warehouse 4: General warehouse
 VSIP 2: Dedicated warehouse – 15,400 sqm
Kuehne+Nagel Logistics Hub in Dong Nai
 My Phuoc 4: Dedicated warehouse – 13,200 sqm
 Saigon Hi-Tech Park: In-plant warehouse –
7,400 sqm
 Hai Phong: CFS warehouse – 2,000 sqm
 Bac Ninh: General warehouse – 7,500 sqm

Hai Phong warehouse Bac Ninh warehouse

Road Logistics
We drive your success by
taking care of your cargo
from doorstep to destination
Road Logistics
portfolio
Standard

Draw upon our versatile

industry experience
for dedicated solutions, Cross-border Less-than-Truck Load Full-Truck Load Intermodal

tailor-made for your

special requirements

NACORA Insurance Customs Digital Forwarding Sustainability

End-to-end industry-specific

Pharma & Expo & Events Transportation

Healthcare Logistics Management
Our Core Service
Value proposition

 Cross-border trucking through multiple countries

 Freight pickups & deliveries
 Temperature controlled containers
 Dangerous goods handling
 Customs brokerage
 Other value added services (GPS, escort services, cargo insurance,
control tower monitoring)

Daily capacity Full Visibility Dedicated fleet

via eTrucknow highest level of dependability
and planning security
Reliable lead time Security Features
for fast, on-time delivery Panic button, GPS monitoring,
based on specific immobilizer, alarm systems, air
requirements suspension, LOLO
Road Logistics
Domestic Services

Basic Transportation Special Transportation Value Added

Services Services Services

• Inbound Transportation to • Special Deliveries on weekends or at • Trailer Yard Management

warehouse/production facility night • Customs clearance
• Domestic/Local Distribution • Express Deliveries (same day / fixed • Quality Management for
• International Distribution time deliveries) subcontractors
• Milk Run pick up/delivery • Escorted High-Value Transports • Services at the delivery point (stock
• Intercompany Transportation (armed) rotation, assembly, scanning)
• Shuttle Services between • Spare Part Distribution • Resource Management (Managing
Productions Plants • Pooling of multiple clients drivers)
• Production supply • Multi-Temperature Transports • Fleet Management Services (Legal
• Intermodal Transport • ADR Transportation (Accord licenses, Insurance, Inspection)
Dangereux Routier)
• JIT Services
• Return Management
Road Logistics
Cross-border Services
Truck Size
• 40’ DC, 40’HC, 45’HC (similar to sea logistics container size)

Capacity
• Similar dimension to sea logistics container, weight limitation to 20 tons
• From Q2’2021, up to 200sqm cross-docking platform for trucking in Central of
Vietnam will be operated

Product
• Any general cargo at normal size
• Non temperature-controlled; non-DG, non-Oversized
• *Any DG, please provide MSDS for further checking

Vertical
• Hi-Tech, Garment, Component, Electrical Products, FMCG

Routing
• Any Door to Door routes among the major cities in SG, MY, TH, LA, VN, CN,
HK, MM
eTrucknow
A private cloud solution
designed to simplify your
road logistics
4
Intangible Assets
KN Sure
Cargo Care. Peace of Mind.

Key Benefits
 Comprehensive protection against risk,
carrier liability, weight of goods limitations
and the law of General Average
 Compensation up to the full insured value of
your goods
 Door-to-door coverage
 One-stop shop for all freight and insurance
needs
 Competitive premium rates
 Administration free to Kuehne+Nagel
customers
 Fast claims handling on all valid claims
 Flexible risk coverage according to your
needs
Quality, Safety, Health, Environment, Security
Our commitment to Excellence

 Quality
• Comply with highest customer requirements in pharma, chemicals, food, hi-tech industries
• Deviation management through our global TIP tool
• ISO 9001:2015
 Safety & Health
• Our goal: No Harm to people and the environment
• Risk-based approach and assessments
• Weekly Toolbox briefing at the warehouses
• “HSE” app - an online incident reporting tool
• Kuehne+Nagel Vietnam sets high standard in dealing with COVID-19 pandemic to protect staff health
 Security
• Global security event monitoring and reporting
• Secure supply chain solutions based on C-TPAT
• Letters of compliance to C-TPAT in 3 locations
 Environment
• Comprehensive Net Zero Carbon program
• LED lamps installed
• B.Y.O.B campaign
People Development
People are at the heart of what we do

 Our people of talent development programme are from diversified units

 Learning at KN – eLearning Center to acquire new knowledge
 Local innovation – initiatives to encourage young talents growth

English Speaking Club

Recognised as

Best Companies to
Work for in Asia 2021
– Vietnam Region
Best Companies to Work for in Asia award by HR Asia,
a professional regional publisher in the HR industry,
recognises companies demonstrating employee
retention and workplace excellence despite the
unprecedented times.
Recognised as

Vietnam Best Places

to Work 2020
The annual Best Places to Work survey is conducted
by the leading employer branding company Anphabe
Kuehne+Nagel Vietnam has been ranked in top 3
amongst the Logistics and Supply Chain Agents in
Vietnam
Recognised as

Top 50
Best Employers of
Choice 2020
by Vietnam Students
Net Zero Carbon
Our commitment to sustainability in logistics

As industry leaders, we are committed to reduce our contribution to that

percentage through our Net Zero Carbon programme.
All shipments will be compensated direct CO2 emissions that cannot be avoided
as of 2020.
We are driven by…

Promises made are promise met Go beyond, delivering goods and Our people are enlightened with
We strive to be the logistics partner delivering maximal social and passions, goals, ambitions
that enhance customers’ business environmental impact
 Inspire. Empower. Deliver.

© 2021 Kuehne+Nagel. All rights reserved.