The rapid growth potential in China is pushing companies to increase investment in distribution facilities to sustain their development, sources said.

To improve its fragmented distribution network, VF Corp, a leading global company with more than 30 lifestyle apparel and footwear brands, has recently launched its new central distribution center in Kunshan of Jiangsu province.

During the dedication ceremony for the new center on Thursday, Eric Wiseman, chairman, president and CEO of VF, said the company's rapid growth on the mainland market called for a much bigger facility.

The more than $60 million distribution center is expected to handle 30 million units of product each year, according to Wiseman, who expects VF's business in China to double over the next four years.

In 2013, the Chinese market contributed more than $500 million to VF's total revenues. The company is looking to generate nearly $1 billion revenue in China through sales of brands such as North Face, Lee, Vans, Timberland, Kipling, 7 For All Mankind, Wrangler and Nautica.