February 2020

Index
The DB Schenker Approach2

Why our battery transport continues
to be in high demand

3Land Transport

4

Ocean Freight6

Air Freight8

Contract Logistics

10

Rail Logistics

12

Your one-stop-solution for theentire battery supply chain

14

Contact Data
Schenker AG
Kruppstrasse 445128 Essen
Germany
Phone +49 201 8781-0
Fax +49 201 8781-8871
dbschenker.com
Subject to change without notice
No guarantee for representations madeVersion from March 2020

If you know how –you can charge
the world.
Battery Logistics
Reliable and sustainable future solutions

The DB Schenker
Approach#WESAYYES –to challenging the Status Quo
When it comes to our work, we do not take NO for an answer.
We refuse to stand still, putting up with negative statements
like “it won’t work.” Because doing fine is just not good enough.

Why ourbattery transport
continues to be inhigh demand.
Electric vehicles, e-bikes, e-scooters, and other progressive mobility
products are populating cities around the world. Scenarios showthat by 2030 global electric car sales will reach some 25 million
and the stock of vehicles may be greater than 130 million. In order
to meet environmental standards, regulations are strict and newconcepts and new policies are continuously being introduced.
Batteries are the main drivers of the ongoing electrification of
the world, which rapidly increases the need for reliable solutions.
However, the logistics for transport, return, and recycling arecomplex due to their dangerous-goods classification.

#CLIENTDRIVEN –we are hungry for your challenges
When it comes to our clients’ business, this ambition motivates
us to try harder. We have the confidence and the power to findthe best solution for our clients.

Comprehensive legal requirements for transportation andwarehousing are combined with individual regulations concerning
battery types and transportation modes.

#DBSCHENKERSPIRIT –logistics with a can-do attitude
This professional optimism and the willingness to go the extra
mile is what we call the DB Schenker spirit. It wins over clients’hearts and minds and puts a smile on people’s faces.

The many opportunities for safe
and custom-made battery solutions

For DB Schenker customers,
dangerous-goods regulations(DGR) Experts ensure safety
and compliance at morethan 2,000 locations at 130
countries worldwide.

With our network, we cover the whole logistics spectrum:
land, ocean, and air transport, as well as special solutions
in contract logistics and rail transport.
Thereby, we are able to create custom-made and reliable
solutions for each of our customers’ needs.

2⋅⋅3

DB Schenker serves morethan 430 terminals worldwide,
covering one of the most crosslinked networks in the world.
With a long track record for
quality and timely transportation,
your products will be in safe
hands.
From small orders to Full Truck Loads(FTL), we ensure domestic and crossborder land transportation that complies
with legal requirements.
The vast DB Schenker groupage network
is ready to transport batteries fromend to end, pallet by pallet – either for
inbound deliveries or for the aftermarket. Our line-hauls and terminals
are already set up to transport batteries
without having to make great adaptions
for regulations compliance.
Combining DB SCHENKERdirect, ourFTL product, with individual solutions
and special agreements, DB Schenker
is able to cover 98 percent of thedemand for ground services fordangerous cargo – batteries included.

430

DB Schenker services not only cover transporting
newly produced batteries; but the increasing
usage of batteries and the growing awarenessof the environmental factor put the recycling ofbatteries into focus, too.
The challenge
Providing a reliable and cost-effective reverse
logistics concept to our customer in the retailindustry.

The DB Schenker solution

Business case Land Transport

Land
Transport⋅ Collection of batteries either directly at thecustomer’s site or in defined cross docks,
depending on the amount of batteries.
⋅ Consolidation at the DB Schenker branch in
Duisburg: specially equipped cross dock fromwhich transportation to recycling facilities
nearby is coordinated.
⋅ Steering transport, with all its special
requirements, in the most effective way:
for the environment and for the customer.

terminals worldwide

98 %

!

coverage of demand for groundservices for dangerous cargo

4⋅

As our network runs from the first mile
to the last, our strength in land transport
allows DB Schenker to provide our customers
with door-to-door security for all otherproducts, too.
⋅5

Our global network of ocean
freight carriers ensures thetransport of batteries worldwide:from continent to continent as
part of a complex supply chain.
By providing a seamless supply chain
in compliance with global safety
requirements, we ensure that allbatteries reach their destinations in a
reliable, flexible, and efficient manner –regardless of sizes and quantities.
Our ocean freight services ship morethan 5,500 containers a day to ports
all around the world, making us thepreferred partner for Full Container
Load (FCL) and Less than Container
Load (LCL) shipments. The extensive
LCL services are supported by a global
LCL hub and gateway network,
enhanced by a seamless connection to
our land services.
Combining our infrastructure with theknowledge of our experts, we are able
to meet the highest standards forcomprehensive door-to-door solutions.

5,500

containers per day

700,000

customers across130

countries

Our customer is a Chinese battery manufacturer,
who sends batteries from Ningbo, China, toAntwerp, Belgium, and Gothenburg, Sweden,
delivering them to an automotive manufacturer.
The challenge
Meeting extremely high transport requirements:⋅ It is prohibited to transport or store batteries
with other metal goods.
⋅ Lithium batteries should be kept in a cool,dry, and well-ventilated reefer container(+77°F (25°C)).

Business case Ocean Freight

Ocean
Freight⋅ Handling of dangerous-goods containers
requires extensive experience.

The DB Schenker solution⋅D eveloping a standard format for dangerousgoods cargo declarations: working together
with our customer to formulate a Standard
of Performance as well as a continuous
improvement program to ensure the process
for future transports.
⋅O rganizing the transport locally:
DB Schenker Ningbo is entrusted withloading and securing all goods into reefercontainers.

Using this solution, the first containers weresuccessfully loaded at the port of origin using
the maximum capacity – proving a successful
setup.
As a result, our customer can now rely onsmooth-running transport schedules, securing
the supply chain.

6⋅⋅7

Air freight is the fastest
way to get goods to theirdestinations. DB Schenker’s
years of experience in international air freight shipping
ensure a strong, flexible
supply chain.
With air freight, even time-sensitive
projects can be handled with ease –by providing fast delivery of cargo
while minimizing unexpected delays
or obstacles.
As a member of TAPA (Transported
Asset Protection Association),
DB Schenker offers secure warehousing
solutions at over 100 selected sitesaround the world. All sites meet or
exceed the highest level of security
certification known in the industry:
FSR-A (Facility Security Requirements).
Maintaining a long-lasting partnershipwith our core carriers, DB Schenker
is continuously working on the acceptance of battery transports onimportant routes.
Our local experts regularly prove theirability to find reliable solutions tomove batteries by air around the globe
for all relevant industries, fromautomotive to electronics and beyond.

>100

secure operation sites

A global electronics player needs to be suppliedwith lithium-ion batteries (LIB) for repair centersand customers in their respective markets in
Europe and the Middle East.
The challenge
An air freight solution to transport lithium
batteries from Asia to Europe and the
Middle East, ensuring flight connectivity
to all final markets.

The DB Schenker solution⋅ Development of handling SOPs between thecustomer and DB Schenker, based on IATA
rules and in cooperation with the chosen carrier⋅ Training of the involved parties⋅ Additional check of all required documentation
by DB Schenker DG specialist (DGD, LOI, MSDS,
UN report, etc.)⋅ Shipping with expert and level 1 airlines
to guarantee lead times and service⋅ Ensuring proper transit via a hub solution
in Europe (flight connectivity) to the final
markets in the Middle East and Africa
DB Schenker successfully implemented thedeveloped solutions and has extended thepossibilities with the following benefits
for the customer:⋅ Developing a strong partnership of all involved
parties to secure smooth and faultless transport⋅ Clear lead times after handover to theairline and acceptance, trackable in oureSchenker services.

8⋅

Business case Air FreightAir
Freight

We take care of the whole supply chain:as flying batteries is about more thansimply booking a flight, solutions should
be simple and not complex.
⋅9As a resourceful partner forcontract logistics solutions,
we add value to every stepof your supply chain.
A German premium OEM requires a supplyof lithium-ion batteries for the production ofelectric vehicles.

We cover all stages of the supply
chain – and from supplier to customer
delivery from reverse logistics to aftermarket support in different industries.
Our worldwide network covers morethan 750 locations in over 50 countries
with a total warehouse space of around
95 million square feet (more than
8.5 million square meters).

The challenge
Developing a sustainable solution ensuring thecompliance with and development of quality
requirements through enhanced quality controlof the products:

The requirements for battery logistics
differ in each region, sometimes even
within one country. Some countries
have only few requirements, whereas
others have very restrictive safety
regulations.

⋅ Voltage measurement at part level⋅ Continuously quality reporting⋅ Dust prevention and temperature monitoring

Our local DG Experts, in cooperation
with our contract logistics experts, areaware of the requirements to find theperfect solution for our customers.

⋅ Serial-number-based tracking

750

Business case Contract Logistics

Contract
Logistics

The DB Schenker solution⋅ Implementation
of logistic activities in the
DB Schenker shared logistics center nearby

locations⋅T wo-shift warehouse acting as a blueprint
for other warehouse activities in this
sector in regard to operational excellence50⋅C ontinuous expansion of capacities,
benefiting the customer

countries

8.5 million

sq. m warehouse space

10 ⋅We are committed to investing in the futureby actively driving innovation and digitalization. To bring today’s ideas to tomorrow’s
unique abilities and add value​: lower cost,better quality,​higher flexibility​.

DB Schenker’s experience in managing the
supply chain for OEMs and the leading battery
manufacturers around the globe is the key
benefit for our customers: to supply the
future of electric mobility.
⋅ 11The DB Schenker network
provides a broad rangeof multimodal as well as
conventional rail solutions.
DB Schenker has been a pioneer inestablishing regular transports on
the Trans-Eurasian corridor connecting
China with Europe and vice versa
by rail.
This intermodal connection is an
attractive addition to other transportmodes: lower transport cost comparedto air freight, faster lead times
compared to ocean freight. In regard
to batteries, the general packing andlabeling provisions of RID SMGS apply,
but they are identical to ADR and very
similar to the IMDG Code.
Beyond rail transport, our services
range from pre-/on-carriage by truck,transshipments via terminal andrailports, and numerous additional
services (e.g. warehousing, monitoring,customs, documentation), as well as up
to the deployment of multilingual staff.
With access to the vast track networkof our parent company, Deutsche Bahn,
we can easily cover great distances.

2,873

trains per day

DB Schenker has created an attractive solution for
the essential transport route from China to Europe.
This solution is especially beneficial to battery andcomponent producers.
Even though the industry is shifting battery production to its final customers in America, the main
producers are still in China, South Korea, and Japan. Reliable battery transport from these production
sites to destinations in Europe is a key element for efficient supply chains in this industry. Whileregulations for transport via air freight increase, DB Schenker has created a multimodal solution.

Business case Rail Logistics

Rail
Logistics

The challenge
Transporting batteries from Asia to Europe
by rail.

The DB Schenker solution⋅ Short-sea servicesfrom South Korea and/orJapan to Vladivostok to load batteries onrail wagons to Europe, where we benefit
from the harmonized DG regulations
between Europe and Russia.
⋅ For China, DB Schenker provides services
either to truck the batteries out of China
to the Russian border or to load them ona short-sea vessel to Vladivostok to linkthem to Europe by rail.

This solution works and has alreadybeen
tested in both directions. It helped ourcustomers to reduce lead times and costsin this important economic corridor.

12 ⋅

⋅ 13

Your one-stop solution
for the entire battery
supply chain.
As a fully integrated service provider, DB Schenker
covers all logistics modes of transport, as well as
the complete life cycle of batteries, globally.
We cover everything from the inbound transport of materials to the production, as well as the outboundtransport of finished goods, after-sales services, and the reverse logistics of recycling or disposal. Our
global network of proven dangerous-goods experts allows our customers to compete with the challengesof an emerging industry. Our combined expertise in automotive, electronics, and the semiconductorbusiness results in sophisticated cross-industrial solutions.
At DB Schenker, we can provide or organize the proper packaging to ensure safe transport and storage
for all kind of batteries: new, used, and even damaged ones.
Battery logistics in a nutshell:Life cycle services DB Schenker offers

Lithium (metal/ion) cells/batteries
damaged/defective?

No

Yes

Packagings
We provide approved dangerous-goods packagings
Packing marking/labeling
We provide solutions to pack, mark, and label packaging
DG transport document
We check the DG transport documents issued by theconsignor according to the international/national regulations!

Transport
We provide eco-friendly transport according tointernational/national regulations
Warehousing
We provide warehousing services according to national
legislation
Recycling or disposal
We provide recycling services according to national
legislation (selected partners)
Consulting
We provide consulting services concerning regulations forclassification, packaging, marking/labeling, documentation,transport, and warehousing, and we offer training

14 ⋅⋅ 15