DHL Express has committed €300m in investment across Africa through to 2030, as the logistics group urges UK businesses to diversify supply chains and pursue opportunities in an area expected to become a major global growth engine by 2035.
Hennie Heymans, CEO of DHL Express Sub-Saharan Africa, said the investment “reflected the company’s confidence in the continent’s long-term prospects”, amid shifting global trade relationships, geopolitical tensions, and changes to supply chains.
“We would not commit to €300m if we didn’t believe in the future of this continent,” he said today.
The announcement followed UK-Africa trade reaching approximately £52bn ($69bn) last year, according to figures cited by Mr Heymans. While modest compared with the UK’s overall trade, DHL executives argued that the relationship offered scope for expansion as businesses reassess traditional sourcing and export markets.
John Cornish, CEO of DHL Express UK, warned that British companies risked missing opportunities if they overlooked African markets while other economies strengthened their commercial relationships across the continent.
China’s expanding trade presence provided a key point of comparison, while the UK’s Developing Countries Trading Scheme (DCTS) could help facilitate exports from eligible African countries, the executives said.
Mr Cornish said businesses should consider Africa both as a customer market and as a source of goods, rather than concentrating on established trading partners in Europe and the US.
“To UK companies, ignore this market at at the peril of your business,” he urged.
South Africa remains the UK’s largest trading partner on that continent, and Mr Heymans said UK imports from the country were worth approximately £7.5bn, with metals, agricultural products, and gold-related goods among the main categories.
Speakers also highlighted opportunities in energy, critical minerals, electric vehicles, healthcare, and life sciences. Indeed, Mr Heymans reported double-digit growth in DHL’s life sciences and healthcare business in the region, while engineering and manufacturing activity had declined.
However, infrastructure deficits, customs barriers, regulatory differences, and limited connectivity continued to complicate trade, Mr Heymans warned. He said only 12% of African cities were connected by at least one commercial flight a week, underscoring the challenges facing companies seeking to expand manufacturing and distribution.
DHL is looking to address some of these constraints through its existing network, which Mr Heymans said spanned every African country and territory. In sub-Saharan Africa, the company operates 12 dedicated aircraft, alongside road transport, facilities and other air connections.
The executives stressed that businesses should not approach Africa as a single market, given the differences in languages, legal systems, currencies, and trade regulations.
“Be specific to which countries in Africa you want to offer trade to,” Mr Heymans said, and advised companies to identify markets and sectors best suited to their products before expanding.
He also pointed to the African Continental Free Trade Area as an opportunity to boost intra-Africa commerce, arguing that implementation, infrastructure development, and greater confidence in locally produced goods would be essential to unlocking the continent’s potential.