The logistics and delivery market is competitive, like any other, so customers are always looking for the best deals when it comes to getting their packages where they want them to go. For those in China looking for a cheap courier international, there’s some good news from UPS.
UPS, one of the largest international parcel delivery companies in the world, has recently announced its plans to go into a joint venture with one of the leading courier companies in China in order to work on and, eventually, provide reliable international delivery services from the country to other countries in the world. The joint venture will focus on the US as a destination at its infancy, but has plans on expanding towards other countries as well.
The venture, subject to regulatory approval, is to be between UPS and SF Holding, SF Express’s parent firm. SF Holding will bring to the joint venture its network and expertise with supply chains, according to a statement UPS made.
UPS made several statements regarding the venture, with one hailing SF as a market leader in China’s express delivery market, comprehensive service capabilities, possessing an extensive network that covers the country, as well as cornering the Chinese small package market on brand recognition.
Ross McCullough, President of UPS Asia Pacific stated that the joint venture will be aimed towards supporting products that provide benefits to the company’s Chinese customers who are in or are looking to get into the international trade market and are in need of cheap courier international.
The company elaborated on the partnership, saying that the venture will combine SF’s extensive Chinese network with UPS’s international network, which has coverage in over 220 countries across the world.
According to Alan Wong, the SF Group’s vice president, China is the world leader in terms of e-commerce market size, penetration, growth as well as mobile business usage. He says that, when combined with China’s growing and internet-savvy e-commerce consumer base, meant that it was imperative that SF and UPS work together to revolutionize the logistics sector.
SF Express was established in China in 1993, and recently, had managed to set up a service center in South San Francisco. The company offers parcel delivery to the Mainland, with coverage from over 13,000 service points and 15,000 vehicles in its fleet. Additionally, the company also handles an air-cargo operation with an aerial fleet of 36 aircraft.