Why Asian logistics operators are leasing more US warehouses

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By HALELUYA HADERO

Logistics operators based in Asia have been leasing more warehouses in the United States in response to changes in e-commerce, global trade and manufacturing.

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Third-party logistics firms, known as 3PLs, work with online retailers and other businesses to store, pack and move products for sale.

Leasing by Asia-based logistics firms more than doubled in key U.S. markets such as New Jersey and Los Angeles last year compared to 2023, according to global real estate firm Cushman & Wakefield. Landlords generally have seen less demand for warehouses following the COVID-19 pandemic, which led to a boom in online shopping.

A leasing surge by Asia-based companies seeking to take advantage of favorable market conditions has emerged as a bright spot for the industry, real estate company CBRE Group said in a June 2024 report.

E-commerce companies and logistics providers based in China were estimated to account for 20% of new U.S. warehouse leases in the U.S. though the third quarter of 2024, logistics real estate company Prologis said.

By leasing warehouses, some companies that feared potential tariffs on imported goods were looking to store more inventory in the U.S., according to the CBRE report. U.S. President Donald Trump in early February put an additional 10% tariff products imported from China, a tax set to 20% on Tuesday.

The Associated Press recently spoke about warehouse leasing trends with Jason Tolliver, co-leader of Cushman & Wakefield’s Americas logistics and industrial services practice. The interview has been edited for length and clarity.

Q: There’s data that shows a rise in Chinese and Asia-based companies leasing more warehouses in the U.S. What’s your company seeing on the ground?

A: When you think about the uptick in Asian-based 3PLs – or 3PLs more broadly – we’ve really seen them become a more significant lessor of space in the last two years. That’s being driven by the complexity in the market. As uncertainty rises and as trade complexity increases, the value proposition of a third-party logistics provider that has the scale, and the expertise, to be able to manage it has helped drive demand.

We’ve seen an increase in the amount of Asian-based leasing by 3PLs that are tied to cross-border e-commerce. And a key driver has been the de minimis exemption, which allows online orders to be placed in the U.S. and have it shipped directly from storage facilities throughout Asia. There’s also a broader trend of regionalization that’s being driven by increases in global trade and manufacturing.

Q: How do U.S.-based warehouses benefit companies that are operating under the de minimis model?

A: It’s really about speed. The ability to ship directly to consumers. And also the reverse commerce or logistics – or being able to process returns and resell products back into the U.S.

In terms of footprint, the scale of Asian-based 3PLs has been much smaller than other e-commerce players. But it’s been a significant driver of leasing activity in recent years because as other e-commerce players have pulled back on leasing, while Asia-based logistics operators were aggressively moving forward.

Q: Where do these companies rank in terms of overall leasing activity?

A: It varies depending on the market. But by far the 3PL space, whether domestic or foreign, is the strongest driver of leasing. They are forecasted to continue to be the most significant lessors of logistics and industrial space in the Americas. Second is manufacturing. And third are retailers and wholesalers.

Q: In early February, President Donald Trump threw out and then paused imposing tariffs on small-value packages arriving from China. Have you seen any shifts from companies that are processing these changes?

A: Not yet. Commercial real estate doesn’t react as quickly as the stock market, so it takes longer for policies of any kind to work through the system.

We are seeing retailers and wholesalers planning for potential changes. But broadly, there’s a lack of sufficient clarity in terms of policies. So, we’re not seeing anyone making meaningful changes to their network.

Letters: ‘It doesn’t cost anything to be nice to someone’

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Who the heroes are

Given all the disarray in the world today, and the unenlightened, greedy individuals making decisions that are creating even more chaos, it was a nice reminder, reading the article about St. Paul Police Sgt. Don Grundhauser, who the true heroes are. This is a man who has earned respect. His dedication to his work and family, despite all his personal problems, is a stellar example of human empathy and kindness.

The quote that you are known for, Sgt.Grundhauser, inspires:  “It doesn’t cost anything to be nice to someone.”

Ursula  Krawczyk, St. Paul

 

What sets the SPPD apart

I want to commend the St. Paul Police Department for organizing an outstanding Civilian Police Academy which wrapped up another cohort this past week. This program provides residents, stakeholders and community members with a deeper understanding of the policing profession, the tools needed for public safety, and the tactical approaches used in various scenarios.

While the content was impressive, what stood out most was the people. Over seven weeks, a diverse group of men and women presented on topics ranging from homicide investigations to hostage negotiations. Though their roles and tactics varied, a common thread ran through each session — the department’s strong culture, its emphasis on specialized training, and its unwavering commitment to mental health, wellness and community collaboration.

What sets the St. Paul Police Department apart, in my opinion, is that this culture of support and wellness isn’t just fostered internally — it extends outward into the community. This collaborative approach strengthens the bond between law enforcement and the people they serve, creating a safer and more united St. Paul.

Kudos to the department, the trainers, and the presenters for an incredible seven-week experience. A community that works together thrives together. Proud to call St. Paul home!

Mike Darrow, St. Paul

 

The Constitution remains in force

Since President Trump was re-inaugurated and began impacting communities nationwide with unilateral deep reductions to federal agencies in violation of federal statutes, there understandably has been a great deal of worry that the Constitution and the rule of law have been suspended.

I strongly urge everyone to refrain from and challenge such talk. This suspension idea only facilitates lawlessness.

To be clear: the U.S. Constitution and all other laws are in force.  They will remain the supreme law of the land as Trump’s actions are litigated, and despite false claims that law can be disregarded or suspended.

Illegality violates law.  It does not abrogate it.

Dakota S. Rudesill
The writer, a law professor at The Ohio State University, is from Minnesota

 

How will we know, and who pays?

St. Paul celebrates the hiring of Dave Higgins to become its repurposing czar, to match buildings with developers with money, including tax dollars. He will stimulate development and recreate a vibrant downtown in my city of birth.

Questions. To whom does he report, and to whom do they report? Who is paying him? How much is he being paid, and is any of it tax dollars? If tax dollars are involved, where are the line items in the city’s budget?

The most important question: What are the incremental measurable results he must achieve and how will his progress be measured to ensure he is doing what “we” are paying him to do? Who will do this evaluation? Will it be public?

In short, how many years will it be before Mr. Higgins, who may be a great human being with pure intentions and the experience to try, moves on and buildings remain half empty while St. Paul ignores the root problems that have driven so many to the suburbs and to other states?

Dave Racer, Woodbury

 

For the good of downtown

It’s good to see the Downtown Alliance bringing in Dave Higgins to spearhead redevelopment work downtown. The Midway/McGuire report on Feb. 24 revealed one of the challenges Higgins will face: Mayor Carter’s apparent lack of interest in economic development. Over time, permitting processes and the like have become hindrances to improvements. It’s past time for a hard look at how the City can create “efficiencies of process” as Higgins said.

Ellen T Brown, St. Paul

 

‘You can sit with us!’

I participate in and volunteer with the food programs that John Marboe described in “A grant for good food for good people … gone” (Feb. 23). I started attending Tuesday community dinner at the Zion Community Commons last April when I moved to St. Paul. I found out about the programs through social media and started attending Community Dinners and Open Markets, and these programs have changed my life for the better.

One of the main slogans at the Zion Community Commons is “You can sit with us!” and that message of inclusivity is carried throughout the space. There is no better feeling than showing up for a community dinner, sitting with a group of people you barely know and leaving the space with a bunch of new friends.

In an age of isolation and disappearing third spaces, let’s support the third spaces that already exist. I invite you, the reader, to come sit with us on a Tuesday or Thursday at the Zion Community Commons.

Lilli Musto, Minneapolis

 

A bridge to a sustainable future

I’m writing this in response to Rev. John Marboe’s op-ed from Feb. 23, about the Zion Lutheran Church food resource programing.

I moved into a home in the Rondo neighborhood of St. Paul at the end of 2023. I waited to find a home in this neighborhood because I knew it was a beautiful place to live, with vibrant communities, and it was bikeable enough that I could ditch my car for most commuting. Not long after moving here, I found a flyer posted at the Mississippi Market on Dale for a community dinner. I followed the community dinner online, donated some money, and eventually biked over to the Zion Community Commons to join for a dinner. What I found in that church basement has been nothing short of life changing.

The Zion Community Commons hosts a range of open hours each week. Times where anyone and everyone can come and be nourished, be invited to sit with old friends or strangers, and build community together. It is a welcoming, diverse atmosphere, something that I feel we can all use a bit more of. After that first dinner, I knew it was something that I wanted to devote myself to growing. The next week, I got on the volunteers email list, and after that, I’ve found myself weekly in the church kitchen preparing food for pay-what-you-can meals, planting and harvesting plants in the courtyard garden, and riding the community cargo bike to gather items for food drives or to rescue food from our neighboring food resource partners. I had become a part of something vibrant, I was doing my part to help it grow, and I was brimming with hope for a beautiful future.

When Prevail got the Local Food Purchase Assistance (LFPA) grant, the energy at the Commons was anxious, excited, but we knew that it wasn’t forever. We made efficient, wasteless use of those funds to feed our neighbors. The community was thriving. There were fundraising campaigns and solidarity efforts to support these programs long after the grant money was used. Our efforts were ramping up over the last few months. However, with the freezing of USDA funding for the Minnesota LFPA program, our capabilities have come to a sudden halt. The community’s ability to feed those in need has been hamstrung. People will go hungry because of this grant freeze. The grant funds were not meant to be our future, they were the bridge toward a communal food resource built on reciprocity. But, with those funds disappearing, that bridge supporting the neighborhood has given out, and it has left our members of the community without the vital resource that they have depended on. It feels like my hope for the future has been snatched away, a feeling that I think many of us share as we look around us. But, I will continue to march toward that beautiful future, and I can only hope that others will march with me.

Joe Bethke, St. Paul

 

When we work together

Zion Community Commons is essential to the Midway. The ZCC feeds me, feeds my loved ones, feeds my comrades, and feeds people I just met. The Local Food Purchase Assistance program allowed the ZCC to begin consistently sending food out to unhoused people in Saint Paul, sometimes multiple times per week. Knowing that a consistent source of a hot meal was arriving Friday afternoons meant a lot to people. That food was a source of connection, just like the meals served within the walls of the ZCC. I urge our community to support the ZCC and other efforts like it in the absence of this grant funding. We can feed all of us, when we work together.

Linden Deforest, St. Paul

 

‘This place is not a charity’

I have been attending the community meals at the Zion Community Commons for about a year now. Pastor Marboe expertly explained how this program is a vital resource for food-insecure people in our neighborhood. I am not among those struggling to make ends meet, but just the same I benefit tremendously from the nourishment and camaraderie present there.

We have been building and continue to build a community there that is truly welcoming, a real “third space” where conversation flows and strangers quickly become new friends. This place is not a charity. It is a community hub that annihilates the barriers keeping us from supporting each other, regardless of the specifics of our need. The loss of this grant hurts tremendously, but we are still standing. I encourage readers to give to and to receive of this incredible place — let’s act and be the solutions we need from each other!

Robert Sherman, St. Paul

 

Democracy and justice-for-all in action

As we are all experiencing the real-time painful demise of the USA democracy, it is vital to acknowledge the authentic goodness of “government” employees whenever possible. I was on jury duty this past week in Ramsey County, and I am happy to share that it was a surprisingly positive experience. Each staff person I encountered, beginning with the security team, was efficient and pleasant as they went about their serious business.

The three-member team processing the prospective and active jurors were fabulous examples of effective teamwork. While few if any of the fellow citizens I spent time with during the process wanted to actually be there, every single person was cooperative and we all went with the flow. The staff set the tone, and we were treated like welcomed guests, able to navigate our days with relative ease.

The personnel in the courtroom, including the judge and the clerk, were top-notch professionals as well, and made the process easy to follow within set parameters. The two Ramsey County deputies and the stenographer all seemed to be a part of a cohesive team, focused on order and their role in our justice system.

Although my experience was time limited, it was invaluable to me personally as I seek examples of democracy and justice for all in action. We are fortunate to live in Ramsey County where public servants are so worthy of our respect. Thank you to all the seen and unseen staff of our judicial system for their daily contributions to our shared community.

Susan Zoff, St. Paul

 

Truth on the road to peace

I believe that Mr. Trump’s false accusation that the war in Ukraine was started by the Ukrainians will demoralize that country’s defenders, please the Russian invaders and cost us dearly in the long run.  Already a senior member of the German government is quoted in the New York Times as saying that they “must assume” the United States will not live up to its promise of coming to the defense of a NATO member nation which is attacked.

I believe that misrepresenting the facts and adopting Mr. Putin’s excuse for the invasion will encourage aggression elsewhere. What lesson do we expect the Chinese leaders to draw about our claims that we will defend Taiwan?

As Mr. Pence said, “Mr. President, Ukraine did not ‘start’ this war.  Russia launched an unprovoked and brutal invasion claiming hundreds of thousands of lives. The Road to Peace must be built on the Truth.”

Richard Murray, St. Paul

 

It’s more inclusive

I agree with Gregory Beckstrom about President Trump renaming the Gulf of Mexico, among many other changed names that Gregory points out in his letter (“Now that’s a gulf,” Feb. 23). So many liberal thinking people and organizations are against the idea. Yet, these progressive thinkers are all for change. Why don’t they see that the Gulf of America is more inclusive to all of the lands that border the Gulf, North America, Central America and South America?

Barb Thompson, Lilydale

 

The ankle-biting left

It is not surprising that legacy media outlets continue to be critical of President Trump. From his economic policies, DOGE and international efforts, he will never perform to their “standards.” His efforts at ending the Ukrainian war have drawn inaccurate comparisons that deserve clarification. Recall January 2022 when President Biden stated in a press conference that the West would respond with “minor consequences” if Russia conducted a “minor incursion.” Words matter — even from a blundering Biden. Putin could’t believe the statement as Biden’s staff tried to redefine the misstep with a scripted “do over.”

Despite the left’s feigned outrage, President Trump knows full well that Putin invaded Ukraine. In his fantasy world to reconstitute Mother Russia, Putin wants to re-occupy Ukraine, Poland, Estonia, Latvia and Lithuania. Two bonuses would be Sweden and Finland — who quickly became NATO protectorates. The Article 5 provision is an important motivator. Trump promised to end the war. In doing so, he is purposely avoiding some facts to arrive at a resolution. This might be hard for some to understand. Backing off from blaming Putin is a negotiating tactic that is focused on a conclusion. But if you reject all things Trump, you can’t help yourself.

The comparison between Trump and Neville Chamberlain is not at all analogous. Among other factors, there was no way Britain could defend land-locked Czechoslovakia, so a gamble was taken to cede the Sudetenland to placate Hitler. Yes, the 1938 Munich Agreement failed. In comparison, the Ukrainian war is three years long with hundreds of thousands dead and cities in ruins. Trump is looking past the “blame game” to salvage peace from a scenario that Biden failed to address. The rare-earth-mineral agreement is all but signed. It will jump start a faltering Ukrainian economy and help recoup our financial assistance. Meanwhile, Democrats are welcome to practice the art of “ankle biting.” But to their peril, let’s see how this intractable war ends and who benefits from a president committed to peace and prosperity for everyone.

Joe Polunc, Waconia

 

A lousy way to treat people

The current treatment of federal employees is cruel and unjustified. These are the workers who keep the nation running, and I appreciate the work they do. The administration is toying with them and threatening them as if they are “guilty” because they work for the government. They are Americans who applied for and got jobs which were offered, and if they were hired went to work.

Just because the administration wants to cut costs it seems to feel like it can treat these people as if they have done something wrong and threaten them and play with their lives. This setting people against each other is wrong and unproductive. We should not tolerate demonizing and setting aside government workers as a class to be abused.

Thomas McCoy, Burnsville

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Canadian players on Loons feel ‘disrespect’ in President Trump’s ’51st state’ comments

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Minnesota United’s pair of Canadian men’s national team players are not going to shut up and dribble. But Dayne St. Clair and Tani Oluwaseyi’s responses to President Trump’s comments about their home country were shared in a diplomatic way.

Trump has repeatedly said he wants annex Canada and have the U.S.’s northern neighbor become “the 51st state.” While Trump might be using that comment as a negotiating tactic in a budding tariff war between the countries, he continues to repeat it, including during his first Cabinet meeting last week.

St. Clair and Oluwaseyi talked to the Pioneer Press about Trump’s comments after the Loons’ 1-0 home-opening win over CF Montreal in St. Paul on Saturday. They heard “O Canada” sung before the match at Allianz Field, and afterward, they followed the lead of Canada coach Jesse Marsh’s response last week.

Marsch, a native of Racine, Wis., said he found Trump’s comments: “Unsettling and frankly insulting. If I have one message to our president, it’s lay off the ridiculous rhetoric about Canada being the 51st state.”

“As an American, I’m ashamed of the arrogance and disregard that we’ve shown one of our historically oldest, strongest and most loyal allies,” Marsch continued to say during an event in L.A. “Canada is a strong, independent nation that’s deep-rooted in decency. It’s a place that values high ethics and respect, unlike the polarized, disrespectful and often now hate-fueled climate that’s in the U.S.”

St. Clair, in line to be Canada’s starting goalkeeper this year and into the 2026 World Cup, said Marsch “answered the question perfectly. He answered as many Canadians think in terms of feeling of disrespect toward our country.”

Minnesota United goalkeeper Dayne St. Clair (97) fields a shot in the first half of a MLS game against CF Montréal at Allianz Field in St. Paul on Saturday, Mar. 1, 2025. (John Autey / Pioneer Press)

Oluwaseyi, a forward who joined the Canadian team for the first time last year, didn’t want to dive too much into the political fray but was willing to address the matter.

“It’s pretty self explanatory,” Oluwaseyi said. “I don’t think any country would love for another head of state to be calling your country a part of theirs, especially because we have such different identities. I heard (Marsch’s) comments. The thing about Jesse is if he going to say something, he is going to say it quite strongly. Props to him for that, especially him being American.”

Trump’s rhetoric was a subplot when the U.S. played Canada in the NHL’s 4 Nations Face-Off hockey tournament in February. St. Clair could see it being a theme in the CONCACAF Nations League soccer tournament later this month.

“We saw how big it was for hockey,” St. Clair said about the Canadian’s overtime win over the U.S. in Boston. “We obviously know that we play Mexico first and there is a chance we could play the U.S.”

In the semifinals on March 20, Canada plays Mexico and the U.S. faces Panama at SoFi Stadium in Inglewood, Calif. Based on results, the U.S. could play Canada in either the final or third-place match on March 23.

This story has already crossed over to the soccer field with fans in Vancouver booing the “Star Spangled Banner” before the Whitecaps played the Los Angeles Galaxy on Sunday.

Both St. Clair and Oluwaseyi are from the Toronto area. St. Clair was born in Pickering, Ontario. Oluwaseyi was born in Abuja, Nigeria and moved to Mississauga, Ontario, when he was a child. Both came to the U.S. to play college soccer — St. Clair at Maryland and Oluwaseyi at St. John’s (N.Y.) — and were drafted by the Loons.

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Trump sends crypto prices soaring after surprise announcement of strategic government reserve

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By ALAN SUDERMAN

Cryptocurrency prices jumped after President Donald Trump’s surprise announcement he wants the U.S. government to purchase and hold a variety of digital assets in a strategic reserve fund, an announcement that highlights Trump’s growing attempts to use volatile cryptocurrency prices as a barometer of his public support.

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Real World Economics: Playing chicken with egg prices

Trump said on social media Sunday that his administration is working toward creating a “Crypto Strategic Reserve” that will include lesser-known cryptocurrencies XRP, solana, and cardano. He later followed up with another post saying his planned reserve would also include bitcoin and ether, the two most popular cryptocurrencies.

The announcement helped crypto prices rebound, at least temporarily, after recent sell-offs. Bitcoin was trading around $90,000 Monday morning after dipping below $80,000 last week. XRP, solana and cardano saw massive spikes in their prices after Trump’s announcement Sunday followed by a more gradual decline through Monday morning.

On the campaign trail, Trump pledged support for a “strategic national bitcoin” stockpile, which would include bitcoin the U.S. government has previously seized in law enforcement actions. Sunday’s announcement was the first time he advocated for the government to hold other types of cryptocurrencies.

The White House did not immediately provide additional details, including how much of each type of cryptocurrency Trump wanted the U.S. to hold, and how the government would acquire them, and whether he favored including other types of cryptocurrencies as well.

Eric Trump, the president’s son, said the price increases validated the recent advice he’s made on social media to stock up on crypto assets. “Hopefully, I made someone’s life just a little bit better,” he posted on social media.

The president has cast himself as hero to the crypto industry, which he said in his announcement had been the target of “years of corrupt attacks by the Biden administration.” The crypto industry felt unfairly targeted by the Biden administration and spent heavily to help Trump win election. The first several weeks of his administration have seen several moves to boost crypto, including ending or pausing high-profile enforcement actions by the Securities and Exchange Commission.

Crypto prices soared after Trump’s victory last year, and when the price of bitcoin first crossed $100,000 in early December, Trump took credit and posted “YOU’RE WELCOME!!!” on social media.

But prices have fallen since Trump’s inauguration and Trump has faced criticism, including from allies within the crypto industry, for helping launch a personal meme coin just before he took office that has since collapsed in value. The crash of meme coins linked to First Lady Melania Trump and Argentine President Javier Milei, along with a massive hack of a major cryptocurrency exchange that the FBI has said was done by North Korea, have also dimmed enthusiasm for crypto.

“Why is crypto in the toilet if Trump is crypto king?” Dave Portnoy, an influencer and crypto enthusiast, said on social media last week.

The inclusion of cryptocurrencies other than bitcoin is likely to face sustained pushback among some corners of the heavily divided cryptocurrency industry. Bitcoin is the oldest and by far most popular cryptocurrency, and accounts for more than half of the world’s global crypto market cap.

Advocates for the government holding a crypto reserve said would help diversify government holdings and hedge against financial risks. Critics say the volatility of cryptocurrencies makes them a poor choice as a reserve asset.

In addition to his announcement Sunday, Trump has also recently announced he will speak at and host industry leaders on Friday at a White House “Crypto Summit.”