Coupang completes construction of Gwangju logistics center

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Coupang completes construction of Gwangju logistics center

Published: 14 Oct. 2024, 16:26

KIM JU-YEON
kim.juyeon2@joongang.co.kr

Coupang executives hold a ribbon-cutting ceremony for the e-commerce platform's completed logistics center in Gwangju, South Jeolla on Oct. 14. [COUPANG]

Coupang completed construction of its logistics center in Gwangju, South Jeolla, on Monday, as part of the online marketplace’s expansion of its next-day Rocket Delivery service across the country.

Spanning 50,000 pyeong (1.8 million square feet), or 22 football pitches, the center is the company’s largest Rocket Delivery hub located in the Jeolla provinces through an investment of 200 billion won ($147 million), according to Coupang.

The company plans to prioritize local residents in the hiring of 2,000 employees for the center. The hub is also equipped with automated machinery such as sorting bots and automated guided vehicles that transport goods to storage and shipping areas.

Coupang says the logistics center is expected to increase sales channels for the region’s local small- and mid-sized enterprises (SME). SMEs located in Gwangju and the two Jeolla provinces can benefit from lower logistics costs by using the new center, which will also facilitate Rocket Delivery channels nationwide.

Coupang broke ground for the center in September 2021 after signing a memorandum of agreement with Gwangju Metropolitan City the year before. The company has been operating two other logistics centers in Gwangju’s Pyeongdong industrial complex, focused on storing and delivering fresh groceries, since 2021.

The completion ceremony took place Monday at the Pyeongdong industrial complex, attended by over 100 guests, including Gwangju Mayor Kang Gi-jung and Coupang Representative Director Park Dae-jun.

“Securing investment is essential in fostering industries and creating jobs in Gwangju,” Kang said through Coupang’s press release. “We thank Coupang for creating local jobs.”

“We will prioritize Gwangju citizens in our hiring process, thus revitalizing Gwangju's employment market, and will actively support the expansion of sales channels for SMEs in the South Jeolla region to make exports, such as to Taiwan, possible,” Coupang Representative Director Park added.

Coupang plans to invest a total of 3 trillion won to create nine logistics centers outside of the greater Seoul metropolitan area including in Daejeon, Gwangju and cities in North Gyeongsang by 2026.

BY KIM JU-YEON [kim.juyeon2@joongang.co.kr]