Danish firm’s new S$150 million RedLion2 logistics hub expected to boost Singapore-Johor connectivity

A new logistics facility by Danish giant DSV will support the flow of goods across the Causeway, said Minister-in-charge of Energy and Science & Technology Tan See Leng on Wednesday (Jul 9).

The RedLion2 facility will work in tandem with DSV’s Sunway City warehouse in Johor to streamline cross-border logistics, he said at its opening ceremony. “One handles fast-moving goods, while the other consolidates inventory.”

This setup supports the upcoming Johor-Singapore Special Economic Zone, which links Singapore’s global connectivity with Johor’s land and manpower advantages, he noted.

DSV invested more than 100 million euros (S$150 million) in RedLion2, for which construction began in August 2023.

The project is expected to create up to 600 new jobs in Singapore over the next seven years; the positions span logistics, engineering and digital roles.

Dr Tan, who is also manpower minister, said: “With its increasing use of AI (artificial intelligence) and automation, I am confident that DSV can demonstrate how logistics is evolving into a high-tech, high-skill industry that offers exciting career paths.”

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Located in Tampines LogisPark, RedLion2 is connected via a skybridge to DSV’s Singapore Logistics Centre 3. Together, they form a 1.2 million square foot mega-campus – the largest third-party logistics site in Singapore.

The facility, purpose-built to support semiconductor and high-tech manufacturing, is equipped with advanced automation, robotics and a dedicated space for local small and medium-sized enterprises and their technology partners to test logistics solutions.

Dr Tan also highlighted that RedLion2 is not just the largest solar-powered logistics facility in Singapore, but is also the first to achieve energy-positive status by generating 15 per cent more energy than it consumes.

Later on Wednesday, Dr Tan also attended a celebratory event for French chemical group Arkema’s bio-based polymer plant on Jurong Island, which has been in operation since 2022.

The plant is a boost for Singapore’s ambition to build a low-carbon, future-ready chemicals sector, said Dr Tan. It also contributes to the country’s push to grow sustainable production capacity on Jurong Island by 1.5 times from 2019 levels, by 2030, he added.

A new unit in the facility will enable Arkema to triple its global production capacity for Rilsan Clear, a bio-based material that is lightweight, flexible and durable, and is used in products such as eyewear, electronics, appliances and medical devices. Production is slated to begin in early 2026. The facility is billed as the world’s largest integrated bio-factory for high-performance polymers. It produces Rilsan Polyamide-11 (PA-11), a sustainable alternative to fossil fuel-based materials.