British online fashion retailer Asos is to open a 40 million dollar fulfilment centre in the US as part of its phased development programme to “significantly enhance” its US proposition.

The new e-commerce fulfilment centre will be based in Union City, outside of Atlanta, Georgia and is expected to be operational by autumn 2018, meaning that Asos will be able to offer more cost effective, fast and flexible services to its growing US customer base.

The fit-out is expected to commence “shortly” and will have the capacity for 10 million units, as well as allowing the opportunity to “expand further at the appropriate time,” the company said.

Asos chief executive officer, Nick Beighton, said: "This agreement is a major step forward for Asos in the US and demonstrates the opportunity we believe lies ahead in this key market. Our US fulfilment centre will enable us to significantly develop our proposition for our 20-something US customers supporting our continued growth and future ambitions.”

The move comes as Asos reported that its US business was delivered 39 percent constant currency growth in the first six months of the current financial year following sales of 179 million pounds in the year ended August 2016.