Korea Ocean Business Corp., CJ Logistics jointly invest in 103,000-square-meter facility

Hub sits within 5.5 km of largest US intermodal center, connected by rail and road

Government targets 40 public-private logistics centers abroad by 2030

An aerial view of the logistics center in Elwood, Illinois. [Ministry of Oceans and Fisheries]
An aerial view of the logistics center in Elwood, Illinois. [Ministry of Oceans and Fisheries]
An aerial view of the logistics center in Elwood, Illinois. [Ministry of Oceans and Fisheries]
An aerial view of the logistics center in Elwood, Illinois. [Ministry of Oceans and Fisheries]

A massive logistics center near Chicago — equivalent in size to 14 soccer fields — has begun full operations, giving Korean companies the ability to deliver goods anywhere in the United States within two days. The facility was jointly developed by Korea Ocean Business Corp. and CJ Logistics and sits adjacent to the country's largest intermodal hub.

South Korea's Ministry of Oceans and Fisheries announced Wednesday that the logistics center in Elwood, Illinois, jointly built by Korea Ocean Business Corp. and CJ Logistics, has entered full operation.

The Elwood logistics center covers a site area of 295,000 square meters with a total floor area of 103,000 square meters — the equivalent of 14 soccer fields. It is equipped with 130 loading docks capable of handling large freight trucks.

An overview of the Elwood, Illinois logistics center project. [Ministry of Oceans and Fisheries]
An overview of the Elwood, Illinois logistics center project. [Ministry of Oceans and Fisheries]

Location is a key advantage. Elwood lies about 72 kilometers southwest of downtown Chicago, within 5.5 kilometers of Centerpoint Intermodal Center, the largest logistics hub in the United States. The site's rail and road connections allow deliveries to reach any part of the country within two days.

The project was made possible through government support for overseas logistics market development and public-private co-investment. The Ministry of Oceans and Fisheries has since 2011 selected five to 10 companies each year and covered feasibility study costs of up to 200 million won ($146,000) for firms seeking to expand abroad. The Elwood center received that feasibility study support in 2022.

Korea Ocean Business Corp. participated through its global logistics supply chain investment fund, providing joint investment and financial backing alongside CJ Logistics. As of Aug. 1, the fund was supporting the development of seven overseas logistics centers through this mechanism.

To strengthen supply chain stability, the government has established a 1 trillion won global logistics supply chain investment fund with Korea Ocean Business Corp. to help Korean logistics companies secure overseas assets. The goal is to secure 40 public-private logistics centers abroad by 2030.

Logistics centers in which public institutions have co-invested are to be designated as shared overseas logistics centers through KOTRA, the Korea Trade-Investment Promotion Agency, allowing small and midsize Korean companies to use them at reduced cost. The Elwood center is also pursuing that designation and plans to apply for Foreign Trade Zone status from the US government.

"Through this project, we expect to strengthen the competitiveness of our logistics companies and provide stable logistics services to Korean exporters and importers operating in the United States," said Kim Hye-jeong, director general for shipping and logistics at the Ministry of Oceans and Fisheries. "Beyond public-private co-investment, we will expand a range of policy initiatives, including providing information on overseas logistics markets and supporting Korean logistics firms in their international expansion."


adastra@heraldcorp.com