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UPS Strengthens Asia Operations to Help Business Capitalise On Regional Opportunity

HONG KONG SAR, CHINA, AUGUST 28, 2018 – UPS (NYSE:UPS) today announced a series of network enhancements implemented across Asia, following strong company-wide growth in the first half of 2018. The news also comes on the heels of the International Monetary Fund’s recent global economic outlook that anticipates Asia to maintain its robust performance with growth at 6.5 percent in 2018-2019[1] .

“The global economy is now a much bigger playing field and far less hierarchical than in the past. Shifting geopolitical forces, free trade agreements and a surge in connectivity through new technologies and physical infrastructure have allowed businesses from practically every market, including those in Asia, to take their products and services to customers anywhere in the world,” said Ross McCullough, President, UPS Asia Pacific Region.

“By making investments in our Smart Logistics Network in Asia, we aim to lay the foundation for more Asian businesses to expand their reach internationally, especially to other markets within our region as increased intra-Asia trade offers a buffer against headwinds from global trade and policy uncertainties.”

Since the start of 2018, UPS has completed the following:

  • Strengthened connectivity for Asian businesses between more than 220 countries and territories worldwide, with transit time improvements of up to 3 days, impacting over 500 trade lanes
  • Expanded the UPS Express portfolio with time-definite delivery service to postal codes in China Mainland; Hong Kong SAR, China; South Korea; and the Philippines
  • Extended cut-off times for export shipments by up to five hours in four markets[2], giving more than 90,000 businesses longer production windows and the ability to fulfil late orders with export pick-ups until as late as 8:00 PM
  • Grown intercontinental air cargo capacity with seven new Boeing 747-8s, servicing trade routes that connect Asia with the United States and Europe; a total of nine new aircraft will add more than 10 percent capacity by end-2018
  • Launched a new rail freight service between Hong Kong SAR, China and Europe, expanded the China Mainland-Europe rail service with nine new stops in China Mainland; Germany; Hungary; the Netherlands and Poland[3]; improving connectivity for businesses in both regions
  • Introduced alternate delivery locations at easy-to-access sites such as EF Lockers or S.F. Stores to provide greater flexibility to the rapidly growing number of online shoppers in Hong Kong SAR, China
  • Increased retail access points in Malaysia by 70 percent to almost 180 across 43 towns

“As cross-border trade and e-commerce continue to drive Asia’s growth and become ever more critical to Hong Kong SAR, China economy, it is important that we, as trade partners to local businesses, continue to expand our services and network to reflect this reality,” said Lauren Zhao, Managing Director, UPS Hong Kong SAR, China and Macau SAR, China. “The launch of UPS’s Full Container Load rail service between Hong Kong SAR, China and Europe delivers goods to market up to 30 percent faster than ocean freight, while balancing transit time and cost-savings considerations. At the same time, our recently launched Alternate Delivery Locations in Hong Kong SAR, China are giving e-commerce businesses greater flexibility while offering online shoppers more options for receiving their packages when and where it is most convenient for them.”

In the past 12 months, UPS has made a swathe of investments in Asia, including service expansions across thousands of postcodes throughout China Mainland; Taiwan, China; South Korea; Thailand and Vietnam, in addition to forming a new joint venture with China Mainland market leading express delivery firm, SF Express, to expand its reach across China Mainland.

UPS was established in Asia Pacific 30 years ago, and in this time, the company has grown to service more than 40 countries and territories in the region and employ more than 13,000 staff. Today, UPS’s Shanghai, Shenzhen and Hong Kong SAR, China hubs handle as many as 36,000 shipments per hour, delivered by 192 dedicated intra-Asia weekly flights that connect manufacturers, buyers and sellers along Asia’s supply chains.

About UPS
UPS (NYSE: UPS) is a global leader in logistics, offering a broad range of solutions including transporting packages and freight; facilitating international trade, and deploying advanced technology to more efficiently manage the world of business. Headquartered in Atlanta, UPS serves more than 220 countries and territories worldwide. The company can be found on the web at ups.com® or pressroom.ups.com and its corporate blog can be found at longitudes.ups.com. To get UPS news direct, follow @UPS_Asia on Twitter.

[1] International Monetary Fund, World Economic Outlook Update, July 2018

[2] China Mainland; South Korea; Taiwan, China; Thailand

[3] Poznan and Malaszewiceze in Poland, Nuremberg and Munich in Germany, Tilburg in the Netherlands and Budapest in Hungary; complimenting the existing stops of Lodz and Warsaw in Poland and Hamburg and Duisburg in Germany.