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Penske Logistics South America Expands Consumer Business with LG Electronics

Penske Logistics has inked a contract with LG Electronics Brazil to offer expanded warehouse and dedicated distribution services.

Penske Logistics South America will aid LG in the Brazilian distribution of consumer products like televisions, DVD players, washing machines and refrigerators. The largest South American country is also among the world’s fastest growing economies, known informally as a BRIC country (Brazil, Russia, India and China).

“We selected Penske Logistics because of the technical superiority and extended experience in electronics, and facilities that meet LG’s highest standards, and because their distribution centers are located in strategic areas,” said Carlos Neto, logistics manager for LG Electronics Brazil.

Penske will store and distribute LG products from these distribution centers: a 400,000 square foot location in Cajamar, São Paulo; a Jaboato dos Gurarapes, Pernambuco, building with 140,000-square-feet; and a 330,000 square foot building in Salto, São Paulo.

In total, Penske will aid LG Brazil in managing two LG owned facilities, and four distribution centers, spanning nearly every corner of a country with 203 million residents, according to the CIA World Factbook.

“Our strategic analysis of LG’s product portfolio and consumer market showed the best areas for these distribution centers, which are more geographically dispersed and better positioned to supply LG products,” noted Penske Logistics South America managing director Paulo Sarti.

By Alen Beljin