The logistics sector continues to offer exceptional long-term opportunities as China builds its supply chain infrastructure. More subdued economic conditions have restrained demand and, with more investors entering the sector, localised oversupply has emerged. Overall though, China remains undersupplied relative to its economic size, and e-commerce continues to pick up much of the slack in demand. China's e-commerce distribution networks lag those of developed economies, but new ecosystems of e-fulfilment centres, returns processing centres and other dedicated facilities will develop as e-commerce firms race to become more efficient.
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