Facility "Built for Speed and Reliability"; Accelerates Flow of Express Packages and Heavy Freight
SINGAPORE, December 10, 2008 - UPS (NYSE:UPS) yesterday
placed in service a new international hub in Shanghai, improving access to China
and speeding the movement of express packages and heavy freight around the
world.
The facility is strategically located in Shanghai Pudong International
Airport right in the heart of the Yangtze River Delta area and now becomes the
key gateway linking China to UPS's global network.
It features the largest on site 24/7 customs inspection area in Shanghai and
was built to a unique design that facilitates rapid handling of express packages
in addition to heavy freight.
"Everything about this facility was built for speed and reliability," said
Dan Brutto, president of UPS International. "Linked now to our vast integrated
transportation network, it opens wider the doors of commerce with China. We
believe Shanghai will become an even more attractive business location because
our customers will benefit from a world-class UPS facility that provides rapid
access to the world."
Joining Brutto at a special opening ceremony today were Mr. Wu Nian Zu,
Chairman and President of the Shanghai Airport Authority (SAA); Derek Woodward,
President of UPS Asia Pacific Region, and Richard Loi, the head of UPS
China.
The hub features 117 conveyor belts and 47 docking bays and has a package
sorting capacity of 17,000 pieces per hour. It also is designed, however, for
simultaneous rapid processing of heavy freight, recognizing the different types
of business done by importers and exporters in China.
To speed the processing of packages and freight, UPS collaborated with
Shanghai Customs to deploy an industry-first customs risk management system at
the facility. By providing UPS information to Customs ahead of time to identify
high-risk items for inspection, the system minimizes checks and expedites
shipment clearance for delivery to recipients.
The dedicated customs area is equipped with advance technology enabling
automated import and export inspection thereby increasing overall package flow
efficiency. With a touch of a button, specific packages can be routed off the
main conveyor belts for inspection without impacting the flow of remaining
packages.
With its high sorting capacity, the hub improves delivery times for customers
in eastern China by a full day. In addition, pick-up times for express and cargo
shipments in Shanghai will be pushed back by one hour and four hours,
respectively, so customers have greater flexibility in shipment preparations.
Another industry-first feature is the "Shipper Build Area" at the General
Cargo Handling Area, which allows customers to perform on-site packaging before
goods are loaded onto the aircraft. This eliminates the current industry
practice of processing goods at a separate facility, once again saving
time. It also improves service to customers who ship items requiring
special handling, such as precise instruments.
"China is UPS's top international priority," said Loi, the head of UPS China.
"We have continued a steady path of expansion here and this latest facility
stands as a strong testament to our long-term commitment. We are grateful for
the leadership of Chairman Wu and the strong support of the Chinese government,
without which today's event would not have been possible."
About SAA
The Shanghai Airport Authority (SAA) is
responsible for the operation and management of two international airports in
Shanghai - Pudong and Hongqiao. With 2-digit average annual growth rates, the
cargo tonnage of Shanghai Pudong International Airport accounts for over 85% of
the Shanghai air cargo market. According to statistics from ACI, over the last
five years, cargo tonnage in the Shanghai Pudong International Airport has
increased from 1.19 million in 2003 to 2.5 million in 2007,with its global rank
climbing from 17th place to the 5th place. In August of this year, it had
climbed to third place, and cargo tonnage is expected to hit 2.8 million by the
end of the year. SAA is committed to implementing the national Shanghai aviation
hub strategy to establish Shanghai's airports as major international cargo hubs.
The West Cargo Handling Area of Shanghai Pudong International Airport opened on
1 December 2008. Located in the west side of the third runway at the Shanghai
Pudong International Airport, it covers an area of 1.67 square kilometers and
consists of a public cargo terminal, a base cargo terminal and a transit center,
with 38 parking stands for all-cargo aircraft and 2.45 million tonnage of
designed capacity.
About UPS
UPS is the world's largest package delivery
company and a global leader in supply chain and freight services. With more than
a century of experience in transportation and logistics, UPS is a leading global
trade expert equipped with a broad portfolio of solutions. Headquartered in
Atlanta, Ga., UPS serves more than 200 countries and territories worldwide. The
company can be found on the Web at www.ups.com.
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