Incheon Airport Smart Logistics Center... Hyundai Glovis to Operate in 2025

Construction within the 2nd Airport Logistics Complex near Cargo Terminal
"Enhancing Global Air Logistics Business Competitiveness... Global Hub"
Air + Sea Combined Transport System at Global Delivery Center

Incheon Airport Cargo Terminal Exterior

[Asia Economy Reporter Choi Dae-yeol] Hyundai Glovis has decided to build a smart logistics center at Incheon International Airport. Incheon Airport is the second busiest airport in the world in terms of air cargo volume, allowing Hyundai Glovis to build competitiveness in the air cargo sector following its land and sea transportation operations.

On the 22nd, Kim Jeong-hoon, CEO of Hyundai Glovis, and Kim Kyung-wook, President of Incheon International Airport Corporation, held a signing ceremony for the implementation agreement to construct and operate the smart logistics center at the airport terminal. According to the agreement, the center will be built on site 2A1 in the 2nd airport logistics complex, about 3 km from the airport cargo terminal, with five floors above ground and a total area of 46,111 square meters, scheduled for completion in 2025.

The company plans to operate a Global Distribution Center (GDC) within the logistics center. The GDC will handle the import of goods from overseas companies, sorting and repackaging them under bonded status before re-exporting. It will be equipped with customized integrated storage and delivery infrastructure tailored to client needs. This service leverages the fact that the Incheon Airport logistics complex is the only airport-type free trade zone in Korea where customs clearance procedures are exempt and customs duty benefits are available.

Export cargo is being loaded onto an Asiana Airlines cargo plane at the Incheon International Airport Cargo Terminal. Photo by Moon Honam munonam@

The demand for advanced logistics centers has increased as the e-commerce and cold chain markets have grown significantly during the COVID-19 pandemic. For vaccines and pharmaceuticals, which are expensive and require strict temperature control, a smart logistics center that can closely monitor cargo is advantageous. The upcoming logistics center will operate an express delivery system with sorting systems and its own customs clearance facilities. It will enhance overall operational efficiency with high-speed X-ray, conveyor systems, and automation equipment. A hybrid warehouse capable of temperature conversion will also be provided upon client request.

For Hyundai Glovis, this will also strengthen its global air logistics hubs and network. The company currently operates air forwarding services at airports worldwide, including Germany, Austria, the United States, and India. Hyundai Glovis expects the Incheon smart logistics center to serve as a central hub encompassing global air logistics. They plan to automate overall logistics operations using advanced logistics robots from Boston Dynamics, a subsidiary they acquired.

Additionally, leveraging warehouses for combined sea and air transport, the company will undertake a business transporting cargo originating from China by sea to Incheon Airport and then by air to the final destination. This considers the shortage of air logistics infrastructure in China, which poses challenges in securing supply chains. The company anticipates handling approximately 25,000 tons of new air cargo annually over five years after establishing the logistics center.

Hyundai Glovis stated, "We will provide advanced services to our clients and contribute to the growth of national competitiveness in air logistics. At the same time, we will continue to secure air logistics hubs overseas."

This content was produced with the assistance of AI translation services.