August 22, 2017
Yamato Holdings Co., Ltd.

Yamato 365 Express launches Cool TA-Q-BIN service in Vietnam
~ Contributing to the realization of the rich and diverse food culture in Vietnam by
providing small lot B-to-B temperature-controlled delivery services ~

COOL TA-Q-BIN CHILLED & FROZEN PARCEL DELIVERY SERVICE

The Southeast Asia Regional Headquarters of Yamato Holdings, YAMATO ASIA PTE. LTD. (HQ: Singapore, Representative: Richard Chua Khing Seng, hereinafter referred to as “Yamato Asia”), and BA SAU NAM TRADING LOGISTICS J.S.C (HQ: Ho Chi Minh City Vietnam, Representative: Dinh Vinh Cuong, hereinafter referred to as “365 Express”) jointly announce that YAMATO 365 EXPRESS CO., LTD. (HQ: Ho Chi Minh City Vietnam, , Representative: Hiroshi Matsuda, hereinafter referred to as “Yamato 365”) will start to offer Cool TA-Q-BIN services in Vietnam from September 1, 2017.

1. Background and Purpose

Vietnam is experiencing rapid economic growth. Many companies in various industries, including manufacturing, have invested into the country in recent years. This trend is also observed in Japanese companies, which are establishing bases in Vietnam to complement their other operating locations in Asia, such as in China and Thailand. Backed by a population of over 90 million people with rising disposable income, economic growth in Vietnam is also expected to be sustained by rising domestic consumption. As the Vietnamese population with middle-income and above expands, there is now heightened interest and demand in fresh produce from Japan and Japanese food, as well as food quality and safety. Meanwhile, the main challenge in meeting such interest and demand can be attributed to the lack of a well-developed domestic temperature-controlled delivery network and structure.

To overcome this challenge and to meet the heightened interest and demand for fresh produce from Japan and Japanese food, Yamato Asia had decided to establish a joint venture company with 365 Express to offer Cool TA-Q-BIN services in Vietnam from September 1, 2017. The partnership will combine the knowledge of 365 Express for delivery services in Vietnam and its capabilities in freight forwarding, with the expertise of Yamato Group to offer small-lot, temperature-controlled delivery services at high-quality that is evidenced by the Cool TA-Q-BIN service currently offered in Japan.

2. Overview of Service

(1) Service Name
: Cool TA-Q-BIN
(2) Service Specifications
: - Chilled (0 to 10°C)
- Frozen (less than minus 15°C)
(3) Target Users
: With contracted customers only
(4) Service Rates
: Determined by the service contracts signed with customers
(5) Areal Coverage
: Service will start at Ho Chi Minh City.
(Expected to expand to Hanoi City in 2019.)
(6) Expected Delivery
Usage Scenarios
: Delivery of
- Premium perishable foodstuff imported into Vietnam
- Seafood and agricultural foodstuff farmed domestically in Vietnam
that require chilled and/or frozen delivery services to retail stores & restaurants.

3. Service expansion henceforth

Yamato 365 will establish a delivery network and system to enable the delivery of fresh agricultural and seafood produce from various regions in Vietnam including Da Nang, Nha Trang and Da Lat, to Ho Chi Minh City from January 2018. The company will also aim to expand the areal coverage to delivery in Hanoi City in 2019. Yamato 365 will also support Japanese companies that are interested to sell fresh produce in Vietnam.

4. References

Press Release dated February 28, 2017
“Agreement between Yamato Group and 365 Trading Logistics to Establish a Joint Venture to Provide Cold Parcel Delivery Service in Vietnam”
URL: http://www.yamato-asia.com/en/news/20170228_en.pdf

[Contact Information]

For further information, please contact the following personal listed below:
- Oshima (Mr.) / Tay (Mr.) +65 6632 7400