Hyundai Glovis said it had to establish a joint venture because Thailand only allows foreign companies a stake of less than 50 percent in logistics companies, Hyundai Glovis has the largest share it is allowed to hold.

The joint venture will carry out logistics orders for Charoen Pokphand (CP) Group’s companies.

It will use 150 electric trucks to deliver products from logistics centers to local 7-Eleven stores, which are operated by CP Group’s CP ALL in Thailand. More electric trucks will be added over the next five years to handle the orders. Hyundai Glovis Thailand also plans to transport CP Group’s fresh food overseas to countries like Cambodia and Malaysia.  

The joint venture signed a memorandum of understanding with CP Group, and will further work together to use electric and hydrogen vehicles for deliveries and use drones and robots at logistics centers to make the overall process more efficient.

It will also transport products of companies participating in the joint venture, delivering cars assembled by Summit Auto Body Industry.