TNT, a Europe-based express service provider, has enhanced its Asian road network with a direct link between Singapore and Penang, Malaysia.

The company said in a statement that the direct Singapore-Penang route will offer benefits to businesses of high value shipments - in particular high-tech and electronics industries - looking to export or import between the two cities, offering them greater synergies in supply chain management.

With the new Singapore-Penang route, the company is now able to increase delivery times by up to 30 per cent and next-day delivery of shipments is possible.

Onno Boots, regional managing director of TNT Southeast Asia, said: "The direct route to link Singapore with Penang is in line with the initial success of TNT's Asia Road Network service, which already offers our customers a secure and time-definite delivery service and cost savings of up to 40 per cent compared to airfreight.

TNT has also increased its capacity on the Singapore-Penang route by 20 per cent.

Damien Tan, managing director of TNT Singapore, added: "TNT's shipment volumes between Singapore and Penang have doubled over the past year, making it an opportune time to enhance the link between these two cities. With TNT's direct Singapore-Penang road service, TNT is well-positioned to meet customers' increasing requirement for reliability and fast turnaround times in the hi-tech and electronics sector."

TNT's Asia Road Network, in which the firm has invested a total of EUR8 million (US$10.91 million) to date, now links Singapore, Malaysia, Thailand and Vietnam. There are also plans to reach China through the northeastern border of Vietnam by the end of 2007. Once completed, the Southeast Asian road network will cover almost 60 per cent of the region and link over 120 cities across 4,000 kilometres.