Walmart has signed a cooperation memorandum with the local government of Dongguan, in southern China, to build eight new stores as well as a distribution centre, as part of its expansion plans for the region.
According to RetailAnalysis.IGD.com, the Dongguan City government will work closely with Walmart in many different business areas, from investment and localised procurement to food safety and even energy-saving.
Dongguan is of particular strategic importance to Walmart, as a major industrialised city that is close to both Hong Kong and Macau. It first entered the city in 1997, and now operates 13 stores there.
Dongguan is also the third-largest export region in China, and is a key procurement destination for Walmart, says RetailAnalysis.IGD.com.
Through the new logistics centre, Walmart plans to open more stores and enhance its distribution and green supply-chain construction in southern China, and the expansion is expected to create more than 3,000 new jobs in Dongguan over the next five years.
© 2016 European Supermarket Magazine – your source for the latest retail news. Article by Jenny Whelan. To subscribe to ESM: The European Supermarket Magazine, click here.