Panalpina, Spread do China reverse logistics

Panalpina sees reverse logistics as a strategic area for growThand to complement its business off ering in the technology sector, it has entered into a strategic alliance wiThHong Kong-based company Spread Logistics. Under this alliance the two companies now pick up faulty consumer electronics at origin, do failure analyses and – if need be – return them to the original manufacturer in Mainland China. The customer gains visibility of all return materials in the supply chain and can make data-based decisions on the reuse, repair, disposal or even redesign of its products.


Panalpina sees reverse logistics as a strategic area for growThand to complement its business off ering in the technology sector, it has entered into a strategic alliance wiThHong Kong-based company Spread Logistics. Under this alliance the two companies now pick up faulty consumer electronics at origin, do failure analyses and – if need be – return them to the original manufacturer in Mainland China. The customer gains visibility of all return materials in the supply chain and can make data-based decisions on the reuse, repair, disposal or even redesign of its products.

Any smart device produced in China that has a manufacturing defect or requires major repair work will need to be returned to China if it is still under warranty. “However, returns to China are difficult,” says Mike Wilson, global head of logistics at Panalpina. “The faulty products need to be sorted by fault code and correctly repackaged in their original form to meet Chinese customs demands before they can be sent back to their original manufacturer.”

Because of these exacting Chinese customs demands, Hong Kong’s Spread Logistics is one of only a few companies that can manage the return of electronic consumer goods to Mainland China. A large proportion of smart devices that are re-imported to China for repair go through their hands.