Global logistics service provider, UPS, said over the weekend it had commenced construction of its new intra-Asia air hub at Shenzhen International. The 89,000-sq-m facility, being constructed with an investment of $180 million, is slated to open in 2010 and will replace UPS's current intra-Asia hub at Diosdado Macapagal (Clark) in the Philippines.
"The repositioning of the air hub will slash at least a day off shipment times-in-transit for Asian customers while offering a new level of service to the manufacturing region located just north of Shenzhen, not far from Hong Kong," UPS said.
China, Hong Kong, Japan, Korea and Taiwan currently account for more than half of the company's total intra-Asia volume, with "a sizeable proportion of package export volume" originating in southeast China and Hong Kong.
Earlier in May, UPS said the establishment of the intra-Asia air hub in Shenzhen would provide jobs and boost tax revenues, as well as provide an incentive for other companies to locate to the region. It also said rapid and convenient express delivery and cargo service to be offered by it would benefit local companies in terms of reducing costs and increasing competitiveness.
The new facility will employ 400 staff and sort up to 36,000 pieces per hour.