33,000-square-meter logistics hub built in Southampton

Inventory buildup ahead of Black Friday, Boxing Day

'K-beauty volumes seen rising up to 3 times in peak season'

European logistics network extended via Netherlands link

Staff at Hanjin's UK fulfillment center process orders for local clients. [Hanjin]
Staff at Hanjin's UK fulfillment center process orders for local clients. [Hanjin]

Hanjin is ramping up operations at its UK fulfillment center ahead of the year-end shopping season, as the logistics company anticipates demand for Korean cosmetics in Britain to surge as much as two to three times above normal levels around Black Friday and Boxing Day.

The company said Monday it has fully activated the fulfillment center it established in Southampton, Hampshire, in April. Fulfillment services cover the entire logistics chain — from warehousing and order processing to packaging and delivery — under one roof.

Hanjin set up a separate base in the UK in response to rapidly growing local demand for Korean cosmetics. The move follows the opening of a European fulfillment center in the Netherlands in December last year, extending the company's logistics network across the continent.

The Southampton facility can accommodate up to roughly 33,000 square meters of logistics space, scalable to client volume. Since opening in April, it has been handling inbound and outbound shipments centered on Korean cosmetics.

The fourth quarter is expected to bring a sharp increase in volumes, driven by year-end discount events on online platforms such as Amazon and TikTok, as well as Black Friday and Boxing Day — the UK's signature post-Christmas shopping event.

"There is already active movement among brands to build up inventory from September onward in preparation for year-end promotions on global platforms like Amazon and TikTok, as well as Black Friday and Boxing Day," a Hanjin official said. "During major peak periods including Boxing Day, sales volumes are expected to rise by as much as two to three times or more."

Rising exports of Korean cosmetics to Europe are also fueling local logistics demand. According to the Korea Customs Service, cosmetics exports to 58 European countries in the first half of this year totaled $1.6 billion — the first time on a half-year basis that European export value has surpassed North America. The figure is roughly double what it was two years ago.

As exports grow, the logistics industry says the ability to pre-position inventory locally is becoming increasingly important compared with shipping products from Korea each time an order comes in. In online retail in particular, delivery speed is directly tied to the consumer experience, making local stock management and per-order packaging and delivery capabilities critical.

Hanjin plans to use its UK and Netherlands centers to handle both business-to-business and business-to-consumer volumes respectively. Inquiries from Korean companies selling health foods, chemical products and electronics in Europe are also on the rise, alongside those from the popular cosmetics industry.

The company also offers an end-to-end logistics service covering the entire journey from Korea to Europe — transporting products from domestic and overseas production sites, supporting European customs clearance and VAT and tax filings, and connecting to platform-specific packaging, labeling and last-mile delivery.

Going forward, Hanjin plans to link its Southampton and Netherlands hubs to manage inventory and delivery flexibly in response to shifting demand across different European markets.

"In line with the strong growth of Korean brands in Europe, we have proactively built a locally tailored, one-stop solution backed by the network and integrated logistics capabilities of a global comprehensive logistics company," a Hanjin official said. "We will establish ourselves as the optimal logistics partner leading Korean companies to successful expansion into Europe, underpinned by swift local presence and a flexible logistics framework."

Meanwhile, Hanjin has been actively working to improve workplace safety using AI technology, including the recent introduction of an "AI Safety Guardian" system. The system uses AI to analyze footage from security cameras inside its terminals in real time, detecting potential hazards and helping prevent accidents.


kwater@heraldcorp.com