GigaCloud Technology Expands Its Warehousing Capabilities

Addition of 3 new warehouses due to surge in demand

GigaCloud Technology intends to double down on U.S fulfillment by heavily investing in infrastructure to keep up with the increased traffic on its B2B Marketplace. Along with one warehouse in Japan, GigaCloud has added three U.S. warehouses to their supply chain network this year, bringing the national total up to 14 (21 worldwide) with over 4.3 million sq. ft. These new warehouses were placed in the major U.S cities of Atlanta (650,000 sq. ft.), Los Angeles (430,000 sq. ft.), and Dallas (650,000 sq. ft.), which is the company's first in the state of Texas. These three warehouses were all strategically placed near major roadways for convenient fulfillment nationwide. Construction finished last month in Dallas, with the prior two being California in September and Los Angeles in August. Now, GigaCloud is eager to utilize the space for its increasing stock-keeping unit (SKU) count.

GigaCloud has been steadily increasing the daily quantity of products shipped out of its warehouses. The year 2021 recorded a new high of 17,400 packages shipped out daily, with 13,000 coming from U.S. warehouses. GigaCloud's U.S President, James Moberly, had this to say about the new additions: "We are excited to have added three additional warehouses with over 1.6 million sq. ft. of warehouse space to our network. With the worldwide supply chain struggles and many of our customers lacking additional storage capacity, adding this space was a relief for them, and we plan to add more." These additions were crucial for GigaCloud's flat rate prices for its Cloud Wholesale Fulfillment (CWF) shipping option.

Warehousing demand has been increasing in recent years, and the rise of eCommerce is believed to be the primary driving force. GigaCloud forecasts that this demand will continue to rise in the United States and plans to add more infrastructure to its fulfillment network on the horizon. However, the locations and dates have yet to be confirmed.