American pure-play contract logistics provider GXO Logistics has made a 20-year agreement to manage Levi Strauss & Co's (LS&Co) operations at Dorsten Distribution Center (DDC) in Germany.
The 70,000m² facility, set to launch in early June 2024, will distribute apparel and accessories across wholesale, retail and e-commerce channels.
The collaboration will see GXO manage all logistics services for LS&Co at this fully automated site.
The DDC site supports sustainable warehousing practices and features certifications such as Leadership in Energy and Environmental Design and WELL Health-Safety.
It incorporates technologies throughout the logistics process, including shuttle and mini-load systems, and automatic carton handling.
The facility features sustainably sourced concrete, vegetation walls, rooftop solar panels, electric vehicle chargers, a green roof, an on-site park and advanced recycling facilities.
The partnership reflects the growing trend of outsourcing logistics services in Germany to enhance efficiency and reduce costs through workforce management, technological advancements, and inventory optimisation.
The Dorsten site will begin with a capacity of 33 million units, reaching 55 million units by 2026 and creating 650 jobs.
GXO chief revenue officer Richard Cawston said: “This fully automated site is among the greenest distribution centres in all of Europe with phenomenal sustainability features that raise the bar in the logistics industry. Together, we share a commitment to creating an inclusive and dynamic culture that will drive growth for both colleagues and the community.”
GXO recently invested in a new 36,000m² warehouse in Dormagen, Germany, which serves as a hub for consumer tech repair and refurbishment, along with operations for The Quality Group.
The company has been operating in 14 countries for more than 25 years and employs 80,000 people across 550 locations, including in Germany.
LS&Co Global Distribution & Logistics senior vice-president Craig Jones said: “The Dorsten distribution centre will support our strategic priority of being a direct-to-consumer led retailer by accelerating our omnichannel capabilities in Europe.
“With this agreement, LS&Co also reaffirms continuous efforts to reduce the environmental impact of our operations across the supply chain.”
