According to the company's latest report, to meet the company's demand for fast development and improve the efficiency and response ability of its supply chain, Semir will invest an additional CNY250 million in its wholly-owned logistics investment subsidiary in Tianjin, which will be responsible for the construction of a new warehousing logistic base project in the city.

At present, Semir has three major warehousing logistic bases, including one in Shanghai and two in Wenzhou. These three warehousing logistic bases, which are all in eastern China, are responsible for the company's distribution across the entire country. However, with the company's expansion in northern markets, the distribution demands in the new markets cannot be satisfied.

Semir said that effective and intelligent modern logistic bases can improve the company's integration of supply chain resources, improve the response speed of supply chain, accelerate the regional logistics process, further standardize management models, optimize business processes, lower operating costs, and enhance its control over marketing channels. Therefore, the company decided to build a new warehousing logistic base in the north China city.

The report revealed that the construction circle of the new project in Tianjin is three years and it will be divided into two phases. The company will initially invest CNY120 million for the construction of the first-phase project and it will make additional investment of CNY130 million for the second phase, based on the completion status of the first phase.