CU Mongolia, operated by South Korea’s leading convenience store brand BGF Retail, said Tuesday that it has expanded its automated logistics center to enhance its supply capacity across the country.
The center, located about two hours east of the capital city, Ulaanbaatar, initially introduced automation technologies in 2023, becoming the first in Mongolia’s retail industry to adopt automation systems.
The expansion adds around 3,300 square meters to the existing 4,960-square-meter facility, increasing the total size to more than 8,200 square meters.
It also enhances logistics capabilities with a digital picking system, allowing the center to process up to 700 orders daily.
With this expansion, CU strengthens its nationwide supply chain, leaning toward its goal of opening 1,000 stores in Mongolia.
CU currently dominates the Mongolian market with approximately 490 stores, accounting for a 70 percent market share as of last month.
In addition to its logistics operations, CU Mongolia operates a ready-to-eat food production facility that opened in 2021, with plans to expand its capacity next year.
The company has also adopted an artificial intelligence-powered automated ordering system across its stores to improve demand prediction and inventory management.
“Despite Mongolia’s per capita GDP being just one-fifth of South Korea’s, CU Mongolia achieves sales on par with Korean stores, highlighting its strong position in the local market,” said Kim Tae-han, overseas business operations team manager at BGF Retail.
CU operates over 690 stores overseas, including locations in Malaysia and Kazakhstan. It has scheduled an upcoming launch in Hawaii in November.

Published Date:2025-07-08