Logistics giant GXO extends partnership with BAE Systems at Clyde shipyards

US-headquartered GXO Logistics said its six-year agreement would see the partnership into its third decade and further support BAE in the development of the Type 26 frigates.

A dedicated team will provide warehousing services and materials handling at the defence giant’s Scotstoun and Govan shipyards on the Clyde in Glasgow. Additionally, inbound to manufacturing and outbound volumes will be managed across an estate of warehousing facilities in the Central Belt.

Gavin Williams, managing director, GXO UK & Ireland, said: “For more than two decades, we have partnered with BAE Systems to deliver innovative, tech-enabled logistics solutions to support their role in strengthening the UK’s defence capabilities.

“Extending our partnership marks an important milestone as the first realisation of GXO’s expanded defence capabilities following our acquisition of Wincanton.”

Jen Blee, manufacturing and facility director at BAE Systems, naval ships, added: “This agreement with GXO will help us continue to improve the efficiency of our supply chain and shipbuilding operations as we deliver Type 26 frigates for the Royal Navy. Working closely with GXO gives us the flexibility and resilience needed to support this important programme.”

The agreement with BAE Systems follows GXO’s acquisition of Wincanton. GXO, which works across more than 1,000 facilities globally, has provided logistics services for major aerospace and defence organisations for more than two decades. Today, those operations span some 30 global sites.