The Competition Commission of Pakistan (CCP) has cleared Nippon Express (South Asia & Oceania) Pte. Ltd. to acquire shareholding in TCS Logistics (Private) Limited marking a key step for foreign investment in Pakistan’s logistics sector.

The Competition Commission of Pakistan (CCP) has formally approved Nippon Express (South Asia & Oceania) Pte. Ltd.’s acquisition of a stake in TCS Logistics (Private) Limited following a Phase-I review under Section 11 of the Competition Act, 2010.

The regulator determined that the transaction poses no significant competition concerns, as both companies hold a negligible combined market share. The CCP stated the acquisition is unlikely to reduce competition or create barriers to entry in Pakistan’s third-party logistics (3PL) sector.

Authorization was granted under Section 31 of the Competition Act, 2010.

Transaction Details

  • Buyer: Nippon Express (South Asia & Oceania) Pte. Ltd.
  • Parent Company: Nippon Express Holdings, Tokyo, Japan
  • Seller: TCS Logistics (Private) Limited, Pakistan
  • Sector: Third-Party Logistics (3PL)
  • Regulator: Competition Commission of Pakistan (CCP)
  • Review: Phase-I, Section 11 – Competition Act, 2010
  • Decision Date: August 19, 2025

Nippon Express Pte. Ltd., incorporated in Singapore operates across South Asia and Oceania. Its parent Nippon Express Holdings is one of the world’s leading logistics companies with operations in over 50 countries.

TCS Logistics, a subsidiary of Pakistan’s well-recognized TCS brand provides 3PL services including freight forwarding, warehousing and supply chain management.

Observations of CCP

In its findings, the CCP emphasized three key points:

  1. Negligible Market Share – The combined market strength of Nippon Express and TCS Logistics remains small preventing any substantial lessening of competition.
  2. Efficiency Gains – The partnership is expected to improve service quality, boost operational efficiency and modernize logistics operations.
  3. No Entry Barriers – The transaction does not create or reinforce barriers to new entrants in the sector.

According to the CCP, “The acquisition is anticipated to bring international logistical expertise into Pakistan’s domestic market, contributing to the overall development of the country’s supply chain sector.”

Significance for Pakistani Logistics Industry

The decision highlights Pakistan’s growing appeal for foreign investment in logistics and supply chain management. Experts note that international expertise from Nippon Express can help modernize Pakistan’s 3PL sector which has lagged behind regional peers in technology adoption and service integration.

Industry analysts believe that Pakistan’s logistics market estimated at 7–8% of GDP by trade experts faces challenges including fragmented infrastructure, high operational costs and limited digital adoption. The involvement of a global leader like Nippon Express is expected to enhance competitiveness and attract further foreign capital.

TCS as Household Brand

For Pakistani businesses and consumers, TCS remains a familiar name in courier and logistics. Its logistics arm has been expanding into third-party supply chain solutions serving e-commerce companies, manufacturers and exporters.

By aligning with Nippon Express, TCS Logistics is positioned to benefit from global best practices, digital innovations and international networks that could enhance Pakistan’s export competitiveness.

Broader Economic Impact

Economists view this transaction as part of a wider trend of strategic foreign partnerships in Pakistan’s services sector. With ongoing infrastructure projects under CPEC and rising demand for efficient supply chains, foreign investment in logistics could play a decisive role in economic growth.

The CCP’s green light signals regulatory openness towards international investment that strengthens competition and efficiency.