UPS will expand its presence at Hong Kong Airport to support demand growth in the Greater Bay Area
Recently, UPS announced that it will build a new large-scale express delivery processing hub near Hong Kong International Airport and the Hong Kong-Zhuhai-Macao Bridge. This investment is an important step for UPS to expand its branch node in Hong Kong into a global hub, aiming to process and sort import and export goods and transshipment goods to and from Europe, the United States, and other regions in Asia.
The president of UPS North Asia said that Hong Kong is the growth engine and an important part of UPS’s global intelligent logistics network. This investment is UPS’s consistent commitment to developing the Asia-Pacific market. The new express processing hub covers an area of about 20,000 square meters, which is four times the size of the existing facility. UPS said that the project will be completed in 2028. By then, the annual throughput of the hub will reach more than 1 million tons.
This investment is an important step for UPS to expand its logistics network worldwide. UPS hopes to expand its role from a simple feeder node to a global hub by building a new express processing hub in Hong Kong. This will enable UPS to better serve customers in Europe, the United States, and other regions in Asia, and improve its logistics efficiency and service quality.
In addition, UPS plans to use the latest technology and equipment to improve processing efficiency. For example, the new processing hub will use six-sided cameras and tomography technology to quickly and accurately sort packages. This will enable UPS to sort 15,000 packages per hour, greatly improving processing efficiency.
This investment also reflects the optimism of international logistics carriers towards the long-term development trend of the Asia-Pacific market, especially in the e-commerce field. Despite the current downturn in the shipping market, DHL and UPS have invested in expanding their Hong Kong processing hubs. This shows their confidence and determination in the future market.
It is reported that DHL’s processing hub in Hong Kong Airport has reached an area of 49,500 square meters. A month ago, DHL announced that it had completed the third phase of the expansion project of the Hong Kong Central Asia Hub, which cost $409 million. This indicates DHL’s emphasis on and investment in the Hong Kong market.
Overall, UPS’ investment plan in Hong Kong reflects the international logistics carriers’ optimism about the long-term development of the Asia-Pacific market. With the rapid development of e-commerce, the demand for logistics services is also increasing. Therefore, international logistics carriers such as UPS and DHL are actively expanding their business in the Asia-Pacific region to meet the growing market demand.