The facility is expected to process an average of 50 million units per day
ON Semiconductor has opened its new $3.5m global distribution centre (GDC) in Singapore, which was built and implemented in association with DHL.
The semiconductor company is expected to process an average of 50 million units per day through the new, automated, 95,000sq ft facility.
The company said more than half of the 38 billion devices ON Semiconductor produces and ships annually are expected to pass through its Singapore GDC.
ON Semiconductor executive vice president and chief operating officer John Nelson said the new facility will improve the velocity of their just-in-time shipments to customers and distribution partners, enable more customised logistics processes, and reduce labor expenses.
"Singapore was an ideal location for this distribution operation because it offers a centralised regional location with close proximity to our customers and to our manufacturing, assembly and test operations located in South Asia," he added.
DHL Supply Chain CEO for South and Southeast Asia Oscar De Bok said that the new distribution centre will set the benchmark for global fulfillment in the industry and have created a clear competitive advantage for ON Semiconductor.