Nippon Express allowed free transport across 5 Mekong states

BANGKOK, NNA - Japan's leading logistics service provider Nippon Express Co. has obtained a cross-border land transport license requiring no transshipment in five countries on the Indochinese Peninsula, catering to increasing demand for trucking across states sharing the Mekong River.

The company says Nittsu Logistics (Thailand) Co., its local unit, is now able to carry goods beyond the borders of Cambodia, China, Laos, Thailand and Vietnam without transshipment, paving the way for reduced shipping times.

Thailand's transport ministry recently issued a total of 500 cross-border transport permits, including 25 for passenger vehicles. The Tokyo-based group was given permits for 12 trucks and trailers, the largest number among Japanese affiliates in the Southeast Asian country.

The license is based on the Cross-Border Transport Agreement adopted in 2016 by six nations in the Greater Mekong Subregion. Myanmar, also a member of the pact, is excluded from the license issued for the Japanese and other firms.

Nippon Express's Thai unit has already provided international land transport services across a few countries in the region, but its existing license allows the logistics firm to pass through only predesignated states.

The Japanese logistics group is stepping up efforts to expand transport operations on the peninsula, establishing a regional headquarters in Thailand last October to meet diversified customer needs for interstate trucking.

The group set up a service base last year in Myawaddy in the Myanmar state of Kayin bordering Thailand, with an eye to serving potential demand for land transport between the two countries. In April, it also established a base in the Laotian capital of Vientiane. (NNA/Kyodo)