In an effort to further develop its logistics presence in China, less-than-truckload (LTL) transportation services provider YRC Worldwide has entered into a preliminary agreement to acquire Shanghai Jiayu Logistics, a China-based provider of LTL ground transportation services. The phrase less-than-truckload (LTL) is one of the more self-explanatory used in logistics and is to be commended.

Shanghai Jiayu Logistics has more than 30,000 customers, 1,600 employees, 300 tractors, and a 3,000 vehicle network.

Bill Zollars, YRC president and CEO, said in a statement this acquisition will advance the company’s scale and capabilities in China.

Jim Ritchie, president and CEO of YRC subsidiary YRC Logistics, which was re-named from its original name — Meridian IQ — earlier said in a March interview that from a ground-transportation standpoint, China continues to be very limited. And because of this limited—and highly fragmented—transportation network, foreign transportation services providers are taking different approaches when contemplating how to best set up shop in China.

He said, ‘By linking together the same service providers along different segments of the supply chain, we are starting to get better dependability and visibility.’

That statement, in fact, sums up the way that logistics in China has to go.

YRC Logistics offers shippers logistics and freight forwarding services in China. It has roughly 70 trucks on the road in China and works with 39 Chinese transportation companies and provides inland transportation services for approximately 200 shippers. Its global operations have170 offices in 76 countries in Asia, North America, South America, and Europe.