LTL giant Yellow Roadway Corp. and Shanghai Jin Jiang International Industrial Investment Co., Ltd. (Jin Jiang Investment) today have formed of a China-based transportation joint venture. Yellow Roadway and Jin Jiang Investment will each own 50% of JHJ International Transportation Co., Ltd. ("JHJ"), the freight forwarding subsidiary of Jin Jiang Investment.
"Finding the right partner in China was critical to our international expansion -- and we have found that partner in Jin Jiang," said Bill Zollars, chairman, president & CEO of Yellow Roadway said in a news release. "Our objective is to provide seamless, end-to-end global transportation solutions to our customers. The joint venture with Jin Jiang advances this objective by significantly expanding our scale and capabilities in China."
"Through this partnership with Yellow Roadway Corp., we will leverage the combined strengths of our companies," stated Yang Yuanping, JHJ chairman and vice chairman & CEO of Jin Jiang Investment. "We look forward to providing outstanding service to the Yellow Roadway customers who are doing business in China."
Shanghai-based JHJ is the second largest air freight forwarder in China, according to the Yellow Roadway release. JHJ also offers ocean freight forwarding and logistics services through a domestic network of 22 locations, including 5 customs warehouses adjacent to the Shanghai Pudong International Airport. JHJ, which employs over 1,000 people, reported 2004 revenue of $330 million.
The joint venture is subject to approval by the Chinese government and is expected to close in early fall 2005.