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Category: Logistics

Retail News Asia is committed to providing both local and global retailers with the latest Logistics news throughout the Asian market. This on a daily base.

  • FedEx launches first Mercedes-Benz eVito vans in Asia Pacific

    FedEx launches first Mercedes-Benz eVito vans in Asia Pacific

    FedEx Express Corporation, one of the world’s largest express transportation companies, is introducing 31 electric vehicles (EVs) into its existing fleet in Singapore. Singapore is the first market within the FedEx Asia Pacific network to deploy the custom-built Mercedes-Benz eVito 112 panel vans to support its parcel pickup and delivery operations across the country. The EVs offer a 923 kg load capacity and an estimated range of up to 321 kilometers on a full charge. Collectively, the vehicles are estimated to avoid around 148 metric tons of tailpipe emissions per year when compared to diesel-powered vans.

    FedEx Singapore is already replacing all its end-of-life vehicles used for parcel pickup and delivery with EVs, contributing to the company’s global goal to make 100% of new purchases of these vehicles electric by 2030. The addition of these new vehicles to its fleet marks a significant step towards the company’s commitment to sustainability in Singapore and its ongoing efforts to achieve zero-tailpipe emissions for last-mile parcel delivery operations across its global operations.

    FedEx continues to explore innovative solutions and collaborations to enhance the sustainability of its operations, including the company’s vision of integrating renewable energy and enhancing facility efficiency. The South Pacific Regional Hub in Singapore will soon be able to use solar energy to meet more than half of the facility’s total electricity demands, helping to charge the EV fleet in Singapore via clean energy beginning in January 2025. Overall, these projects support the Singapore Green Plan 2030, which aims to lower national carbon emissions and promote sustainability.

    FedEx’s transition to EVs in Singapore is part of its ongoing expansion across Asia Pacific markets including in China, Thailand, Japan, Malaysia and New Zealand. To further improve the efficiency of the Singapore fleet, including these new EVs, FedEx is using its AI-powered Stops Sequencing tool, which is designed to optimise delivery routes in real-time based on package volume and customer requests. By intelligently planning delivery stops, the tool helps reduce total mileage travelled each day, contributing to greater reductions in fuel and energy consumption and, as a result, carbon emissions.

    “FedEx is committed to connecting people and opportunities in smarter ways,” stated Kawal Preet, president of FedEx Asia Pacific. “With the introduction of these electric vehicles, we are taking meaningful steps to lower greenhouse gas emissions while improving our efficiency, directly supporting Singapore’s bold sustainability initiatives. This is an important milestone on our path to achieving carbon-neutral operations by 2040, as we work to build a cleaner and more efficient logistics network that promotes sustainable growth throughout the Asia Pacific region.”

    Earlier this year, FedEx completed the first cross-border delivery between Malaysia and Singapore with an EV, which was recognised by the Malaysian Book of Records. This initiative is part of the company’s broader efforts to reduce emissions for long-distance deliveries. In other Asia Pacific markets, electric tricycles were introduced for last-mile deliveries in congested urban areas in Taiwan, while electric trucks and vans have been introduced in Japan and Thailand, further advancing the company’s sustainability goals.

    In addition to vehicle electrification, the company has also launched a cloud-based carbon emissions reporting tool, FedEx® Sustainability Insights, giving customers access to historical emissions information on eligible shipments within the FedEx network. FedEx customers can use the data to h

  • Etihad Cargo extends Ministry of Industry and Advanced Technology partnership to boost national ICV programme

    Etihad Cargo extends Ministry of Industry and Advanced Technology partnership to boost national ICV programme

    Etihad Cargo, the cargo and logistics arm of Etihad Airways, has extended its Memorandum of Understanding (MoU) with the Ministry of Industry and Advanced Technology (MoIAT), offering preferential air cargo rates to In-Country Value (ICV)-certified companies. This initiative comes as part of Etihad Cargo’s commitment to promoting local products, strengthening the UAE’s industrial sector and enhancing its competitiveness in international markets.

    Providing discounted air cargo rates across Etihad Cargo’s fleet, the extended MoU was signed by Stanislas Brun, Vice President Cargo at Etihad Cargo, and Salama Al Awadi, Director of National In-Country Value Programme (ICV) at MoIAT, in the presence of His Excellency Omar Al Suwaidi, Undersecretary of MoIAT. The signing ceremony took place on the sidelines of the Abu Dhabi International Petroleum Exhibition and Conference (ADIPEC), held at the Abu Dhabi National Exhibition Centre (ADNEC).

    Under the extended MoU, Etihad Cargo will continue to offer a 25 per cent discount on air cargo tariffs to ICV-certified companies. As a result, more UAE-based companies will be able to scale their operations across the UAE and access more international markets. Building on the original agreement signed in 2021, the partnership highlights Etihad Cargo’s significant role in driving the UAE’s ambitious efforts to boost in-country value and empower local manufacturers.

    HE Al Suwaidi said: “The extended MoU is aligned with the Ministry’s National Strategy for Industry and Advanced Technology (Operation 300bn), aimed at diversifying the national economy and enhancing the UAE’s industrial sector competitiveness. The National ICV Programme serves as a key pillar in empowering this sector and boosting the resilience and sustainability of supply chains. Moreover, extending the agreement will enhance the export capabilities of local companies.

    “Leading national companies, such as Etihad Airways, always strive to support the UAE’s drive towards sustainable industrial and economic development. Etihad Airways is a strategic partner of MoIAT and was one of the first companies to join the National ICV Program in 2021. It also prioritises local suppliers and industrial companies in its procurement business.

    “The UAE has set a clear vision to elevate the national business environment and foster a competitive economy. Therefore, the MoU underscores the important role of national entities in supporting local products and steering larger demand towards local procurement,” HE Al Suwaidi added.

    Brun said: “Etihad Cargo remains committed to fostering a supportive environment for local manufacturers and companies. It delivers bespoke logistics solutions that align with the UAE’s In-Country Value goals. This collaboration offers the UAE’s industrial and service companies the opportunity to expand into more international markets. Therefore, it aligns with Etihad Cargo’s commitment to advancing the targets of Operation 300bn along with Abu Dhabi’s vision of economic diversification and long-term sustainability.”

    Extending the MoU between Etihad Cargo and MoIAT reaffirms their shared strategic vision to leverage logistics operations as a catalyst for sustainable industrial growth in the UAE. It also embodies Etihad Cargo’s ongoing commitment to developing the local industry and enabling ICV-certified companies to expand glob

  • FedEx strengthens healthcare capabilities in Asia Pacific with expansion of its Life Sciences center in Korea

    FedEx strengthens healthcare capabilities in Asia Pacific with expansion of its Life Sciences center in Korea

    Federal Express Corporation (FedEx), one of the world’s largest express transportation companies, has expanded its state-of-the-art Life Science Center in Gimpo, Gyeonggi-do, Korea. This strategic enhancement, along with FedEx Life Science Centers in Singapore and Japan, is addressing the rising demand for a robust logistics network with advanced capabilities to support the rapidly growing healthcare industry across the Asia Pacific region.

    The advanced FedEx Korea Life Science Center spans 2,288 square meters – almost triple the size of the previous facility. The new operation includes five temperature-controlled areas for temperatures ranging from -150°C to +25°C, which are monitored 24/7 to ensure continuous compliance with pharmaceutical cold chain requirements. The facility is also Korea Good Supply Practice (KGSP)-certified, in accordance with market-specific quality and regulatory requirements for the healthcare industry. Along with temperature-controlled Inventory management capabilities, the Korea Life Science Center is equipped to support both domestic and international transportation needs.

    By expanding its capacity, FedEx is strengthening its life sciences logistics expertise, ensuring seamless and reliable transportation of critical healthcare shipments including investigational medicinal products (IMP), biological samples, and biopharmaceutical product lines while enabling pharmaceutical and clinical trials customers to prioritize patient care.

    The pharmaceutical market in Asia Pacific is projected to reach USD 290 billion by 2028. Additionally, the region accounts for approximately 50% of global clinical trials, highlighting its increasing role in global pharmaceutical research and development. Customers in the healthcare and pharmaceutical sector need precise, temperature-controlled services to preserve product efficacy. With decades of experience, FedEx provides expertise in specialized healthcare and clinical trial solutions, enabled by its international Express network, customized Time Critical Special Services (SpS), and a global network of Life Science Centers with locations in Korea, Singapore, Tokyo (Japan), Mumbai (India), Memphis (United States), and Veldhoven (the Netherlands). The company’s extensive healthcare infrastructure also includes 130+ cold-chain facilities worldwide, ensuring continuous temperature integrity for shipments moving through our domestic and international networks.

    “Asia Pacific’s healthcare sector is evolving at an unprecedented pace, driven by demographic shifts, infrastructure investments, and rapid tech advancements,” said Kawal Preet, president, Asia Pacific at FedEx. “At FedEx, we are leveraging our decades of healthcare expertise, extensive global network and differentiated solutions to propel this growth. Through strategic investments in cutting-edge facilities and AI-driven smart logistics, we are reshaping healthcare supply chains and enabling the future of life sciences research and business innovation across the region.”

    FedEx Clinical Care, part of the company’s portfolio of dedicated healthcare transportation solutions, provides end-to-end delivery capabilities for time and temperature-sensitive healthcare shipments. This service ensures expedited delivery within 24 to 48 hours, leveraging specialized features including temperature-controlled packaging, priority handling and clearance, and 24/7 monitoring and intervention using sensor-based real-time tracking.

    Recently, FedEx was recognized for ‘Innovation in Clinical Supply Chain Logistics’ at the Korea Biopharma Excellence Awards 2024 for exceptional contribution to clinical supply chains in Korea. In August, the company introduced FedEx Surround®, an innovative monitoring and intervention solution for enhanced control and visibility for healthcare and other critical shipments.

  • Lufthansa Cargo starts transpacific flight from Vietnam to the USA

    Lufthansa Cargo starts transpacific flight from Vietnam to the USA

    With the start of the winter flight schedule last weekend, Lufthansa Cargo has inaugurated its first direct transpacific freighter service from Asia to North America. On Sunday, 27 October 2024, flightLH8019 took off from Ho Chi Minh City (SGN) in Vietnam to Los Angeles (LAX) in the United States, operated by its JV subsidiary AeroLogic. The aircraft with the identification D-AALO had previously taken off from Frankfurt (FRA) for Vietnam on Saturday, 26 October 2024. It had then flown back from Los Angeles on Sunday, 27 October 2024, and had arrived at the carrier’s home hub on Monday, 28 October 2024.

    “This new freighter connection highlights our commitment to connecting economies by responding to the demand of the rapidly growing economy in Vietnam, which can now be seamlessly connected to the U.S. even faster. This service reinforces our purpose of enabling global business, which is why we are continuously examining the possibilities of establishing new routes and growing in dynamic market environments,” explains Ashwin Bhat, CEO of Lufthansa Cargo.

    With the new flight schedule, Lufthansa Cargo is now offering its customers 89 weekly B777F freighter connections worldwide. This includes 50 frequencies to 17 destinations in Asia, reflecting the strong demand in the region. The growing e-commerce industry, in particular, is driving this development, to which Lufthansa Cargo is able to respond quickly and flexibly thanks to its early preparations. With its own A321 freighter fleet for short and medium-haul routes, as well as additional cargo capacities marketed on the extensive network of Lufthansa Airlines, Austrian Airlines, Brussels Airlines, Discover Airlines and SunExpress, Lufthansa Cargo is able to offer its customers capacities to over 350 destinations in 100 countries in its winter flight schedule

  • FedEx appoints new Vice President for Southeast Asia

    FedEx appoints new Vice President for Southeast Asia

    Federal Express Corporation, one of the world’s largest express transportation companies, has appointed Bianca Wong as the new Regional Vice President for Southeast Asia. Bianca, previously Vice President of Human Resources for Asia Pacific, will now helm the operational strategies in one of the company’s fastest-growing markets. She succeeds Audrey Cheong, who assumed the role of Vice President for FedEx China in September 2024.

    With over 22 years of extensive experience in human resources and business partnership roles across different industries, Bianca has demonstrated a strong track record of strategic leadership and operational excellence. In her new role, Bianca will lead the overall planning and implementation of corporate strategies and operations to drive business transformation and will manage a team of more than 4,000 team members across markets and territories in the region.

    “I am honoured to take on this new challenge and to continue transforming FedEx for what’s next by driving our growth and commercial success,” said Bianca Wong, Vice President, Southeast Asia Operations.

    “Southeast Asia is a vibrant region with immense growth potential. Together with our strong and talented team, we will continue to deliver service excellence to meet the evolving needs of our customers while continuing our mission of connecting people and possibilities in this dynamic business environment.”

    Bianca’s appointment is a reflection of the company’s commitment to its People-First philosophy by nurturing leadership from within, and ensuring the talent is capable of steering the company through the evolving logistics landscape as FedEx strives to create smarter supply chains for all.

  • Etihad Cargo reaches 10-year milestone in Vietnam

    Etihad Cargo reaches 10-year milestone in Vietnam

    Etihad Cargo, the cargo and logistics arm of Etihad Airways, is celebrating a decade of successful operations in Vietnam. This milestone highlights the carrier’s commitment to supporting Vietnam’s booming trade and economic growth, particularly in the high-tech and manufacturing sectors.

    Since the launch of freighter services in July 2014, Etihad Cargo has continuously expanded its operations in Vietnam. The airline began with two A330 freighter flights to Hanoi per week, offering 120 tonnes of cargo capacity. Today, Etihad Cargo operates four weekly Boeing 777F freighter flights, providing 400 tonnes of capacity to support the growing market demand. Etihad Cargo has played a crucial role in transporting high-tech goods for major global brands such as Samsung, Apple, Dell, and LG, alongside garments, textiles, footwear, and other products from Vietnam to Europe, the US, the Middle East, and Africa.

    In addition to its Hanoi operations, Etihad Cargo also serves Ho Chi Minh City, Vietnam’s second-largest air cargo market. The carrier offers two weekly charter flights between Ho Chi Minh City and Kuala Lumpur, effectively creating an online station to provide customers with a reliable solution for transporting cargo globally via Kuala Lumpur. Furthermore, Etihad Cargo leverages its interline partners to offer customers access to other key Asian hubs, including Denpasar, Singapore, Phuket, Bangkok, and Manila.

    Etihad Cargo’s SecureTech product, introduced to support the growing demand for electronics shipments, has seen significant growth in Vietnam. In 2024, SecureTech shipments from Hanoi saw a 43 per cent year-on-year increase, rising to 5,174 tonnes from 3,618 tonnes during the same period in 2023. This growth reflects Vietnam’s critical role in the global electronics supply chain and Etihad Cargo’s ability to provide reliable logistics solutions for sensitive high-tech goods.

    Vietnam, recognised as one of the fastest-growing economies in the world, remains a strategic market for Etihad Cargo. The carrier remains committed to increasing its frequencies and capacity in both Hanoi and Ho Chi Minh City to meet the ever-growing demand for airfreight services. This expansion aligns with Etihad Cargo’s goal of maintaining its position as the Air Cargo Partner of Choice for customers in Vietnam and beyond.

    Reflecting on the 10-year milestone, Stanislas Brun, Vice President Cargo, said: “Etihad Cargo’s decade of successful operations in Hanoi and across Vietnam demonstrates the carrier’s long-term commitment to this dynamic market. By continually enhancing its products and services, expanding capacity, and investing in digitalisation, Etihad Cargo ensures that customers receive the high-quality air cargo solutions they expect. Etihad Cargo looks forward to further strengthening its presence and meeting the evolving logistics needs of Vietnam.”

    Etihad Cargo has also made significant strides in digitalisation, with the majority of Vietnamese customers utilising the carrier’s online booking platform and track-and-trace capabilities. This has streamlined the shipping process, enabling greater efficiency and customer satisfaction. In 2021 and 2022, the Hanoi station achieved the highest revenue contribution across Etihad Cargo’s network, further cementing its importance in the airline’s global operations.

    As Etihad Cargo continues to support Vietnam’s economic growth, the airline is committed to providing reliable and innovative air cargo solutions that help drive the country’s expanding trade footprint.

  • DHL Global Forwarding China introduces cross-border e-commerce solution ahead of peak season

    DHL Global Forwarding China introduces cross-border e-commerce solution ahead of peak season

    DHL Global Forwarding, the freight specialist of DHL Group, is introducing a variety of cross-border e-commerce solutions ahead of the year-end holiday shopping season globally. The solutions will offer cross-border shipping from China to the world with different service levels and features, as well as an integrated tracking platform for end-to-end visibility.

    China’s e-commerce sector has continued to grow despite a mixed global economic sentiment. In the first half of 2024, China’s cross-border e-commerce trade totaled 1.22 trillion yuan (EUR155 billion), a 10.5% growth year-on-year.

    “Chinese companies like Shein, Temu, AliExpress and Tik Tok Shop are gaining popularity globally. While the U.S. remains the primary export market, Europe is fast catching up as a critical region for these e-commerce platforms.  In DHL’s recent Global Shopper Trends Report, 53% of European online shoppers purchase goods from China,” said Aditi Rasquinha, CEO of Greater China, DHL Global Forwarding.

    “Cross-border e-commerce business can face many hidden obstacles, especially for small- and middle-sized customers who are not yet familiar with customs and logistics regulations at destination markets. DGF can be a strong and reliable partner for them. Our solution provides Chinese e-commerce companies with a simple and affordable cross-border shipment solution with returns, with full and semi-tracking options,” said Robin Li, Vice President, Global E-commerce Development, DHL Global Forwarding.

    The e-commerce solutions from DHL Global Forwarding China will offer:

    • End-2-End ONE DHL solution in all key markets
    • Fast and Reliable transit time with full track and trace functionality
    • Access to over ten thousand certified e-commerce specialists across the globe with local market expertise
    • Simple IT integration options including APIs, web portals, major marketplaces and e-commerce platforms
    • Different options to cater to the needs of large e-commerce platforms right down to local sellers/Direct-To-Consumer (DTC)

    One of the major advantages of the solution is the direct market access into Europe through the DHL network. The solution will feature:

    • End-to-end fast delivery within 4-5 days from China to Germany
    • Fully managed customs clearance
    • Fast & reliable transit time and doorstep delivery with delivery confirmation
    • End-to-end shipment visibility for senders and recipients via a 24/7 DHL customer portal

    The e-commerce solution will also offer expedited service to other markets such as the rest of Europe, the United Kingdom and the U.S.

    “We are making it easier for our customers to focus on what they do best: bringing their products to a global audience. This solution is designed to help them maximize their reach while minimizing their effort.

    It is particularly timely with the year-end holiday season fast approaching and we are ready to serve the peak season demand,” added Aditi.

  • DHL Express to triple its shipping capacity at Porto Airport with EUR 25M investment

    DHL Express to triple its shipping capacity at Porto Airport with EUR 25M investment

    DHL Express Portugal has inaugurated a new facility at Francisco Sá Carneiro Airport in Porto, Portugal. With an investment of more than €25 million, this significant expansion underlines DHL’s commitment to the Portuguese market and strengthens its support for the growing export industry in the North and Central regions of the country.

    With a total footprint of over 18,000 square meters, the new facility triples DHL’s operational capacity at the international airport, allowing it to process up to 6,500 pieces per hour for imports, an increase of 150%, and 5,000 pieces per hour for exports, a rise of 300%. The terminal is equipped with advanced automation systems, such as X-rays and automatic weighing and measuring equipment, enabling fast, efficient, and secure handling of shipments. The capacity expansion will allow DHL to support annual volume growth in the double-digit range, which will further consolidate its leading position in the logistics sector in Portugal.

    In parallel with the capacity expansions, DHL is also reaffirming its commitment to sustainability. The new facility will feature 130 loading bays for DHL vans, 119 of which are prepared for electric vehicles. The building is equipped with solar panels, advanced lighting and ventilation systems, further reinforcing the company’s efforts to increase the carbon efficiency of its transportation and warehousing operations.

    “Portugal has been one of the strongest performers in Europe in terms of economic growth in recent years, supported by healthy demand for Portuguese exports, and DHL Express is fully committed to enabling the country’s further trade development over the long-term,” said Mike Parra, CEO of DHL Express Europe. “As usual, we are combining our investments in capacity with the addition of new technology that improves efficiency and reliability and supports increased sustainability, which we expect to significantly enhance the competitiveness of our customers in Portugal in their export and import activities.”

    “The inauguration of this new terminal at Francisco Sá Carneiro Airport in Porto marks an important milestone for DHL in Portugal. It is a renewed commitment to innovation, sustainability and economic growth in the North of Portugal,” said José Reis, CEO of DHL Express Portugal. “We are proud to contribute to the development of this region, supporting the small and medium-sized enterprises that are the foundation of our economy. With this investment, we are prepared to continue connecting people and improving lives, while raising the standards of efficiency and sustainability in the logistics industry.”

    The DHL Express executives were joined at an inauguration ceremony for the facility by António Tiago, Mayor of Maia, and Julia Monar, German Ambassador to Portugal.

  • Lufthansa Cargo publishes winter flight schedule 2024/2025

    Lufthansa Cargo publishes winter flight schedule 2024/2025

    With the newly published timetable, Lufthansa Cargo offers its customers 89 weekly B777F freighter connections worldwide, seven more than in the summer timetable. A significant development in the winter timetable is a transpacific flight: a weekly rotation of a B777F freighter connects Frankfurt via Ho Chi Minh City (SGN) with Los Angeles (LAX) and then returns to the home hub in Frankfurt. This is the cargo carrier’s first direct connection from the Asian market to the U.S. network, offering cargo customers an even faster, high-quality connection between the two continents. With the expansion of new routes and direct connections, Lufthansa Cargo is underlining its long-term growth plans in a dynamic market environment and underlining its purpose of “Enabling Global Business”.

    “Lufthansa Cargo is constantly reviewing all possibilities to offer its customers seamless, high-quality connections and to enable global business even more efficiently and sustainably. With a comprehensive review of our existing schedule and network, we have been able to optimize our rotations. In the future, some of our freighters will have fewer stopovers, allowing our customers to benefit from direct connection and transportation of their freight within our global network,” said Ashwin Bhat, CEO of Lufthansa Cargo.

    For the winter schedule, the cargo carrier is increasing its frequencies to destinations in India and China to accommodate the continued growth in e-commerce shipments and other goods requiring Lufthansa Cargo’s renowned quality services and solutions. The increase in frequencies is primarily due to the entry into service of the 18th B777F freighter in the fleet, which was transferred from the Boeing plant in Seattle to Frankfurt in mid-August. In addition, the A321F fleet will operate up to 34 weekly medium-haul and short-haul flights connecting our two Hubs Frankfurt and Munich.

    In the Asia-Pacific region, Lufthansa Cargo is increasing its weekly freighter capacity to Mumbai (BOM) and Taipei (TPE) by one flight per week. Chennai (MAA) will be served twice weekly in combination with Hyderabad (HYD) or Mumbai (BOM). With the recent addition of Shenzhen (SZX) and Zhengzhou (CGO) to its route network, the cargo carrier can now offer its customers a total of 50 weekly frequencies to Asia.

    In addition, the freighter rotation from Frankfurt via Tel Aviv (TLV) to Cairo (CAI) will be increased by one weekly flight with a B777F. The continental network will remain largely unchanged with the A321F fleet, which since July has also been offering cargo customers, particularly in southern Germany, a direct connection from Munich to Istanbul (IST) and back.

    The Winter schedule 2024/2025 can be booked from October 6 and takes effect on October 27. In addition to the freighter service, Lufthansa Cargo also markets the additional cargo capacity of up to 7,500 flights a week to over 350 destinations served by Lufthansa, Austrian Airlines, Brussels Airlines, Discover Airlines and SunExpress – and since this summer also on numerous new connections to North America, such as from Frankfurt to Raleigh-Durham (RDU) or Minneapolis (MSP).

  • UPS bolsters healthcare logistics capabilities with cold-chain acquisitions

    UPS bolsters healthcare logistics capabilities with cold-chain acquisitions

    UPS announced that it has agreed to acquire Frigo-Trans, and its sister company BPL, (together “Frigo-Trans”) industry-leading, complex healthcare logistics providers based in Germany. Once completed, the acquisition will enhance UPS’s end-to-end capabilities throughout Europe for UPS Healthcare customers who increasingly require temperature-sensitive and time-critical logistics.

    “The fast-paced innovation in the pharmaceutical industry is creating the need to have more integrated cold and frozen supply chains,” said UPS EVP and President of International, Healthcare and Supply Chain Solutions Kate Gutmann. “Frigo-Trans will help deepen our portfolio of solutions for our customers and accelerate our journey to become the number one complex healthcare logistics provider in the world addressing their needs.”

    Frigo-Trans’ network includes temperature-controlled warehousing that covers six temperature zones from cryopreservation (-196°C) to ambient (+15° to +25°C); a Pan-European cold chain transportation solution and temperature-controlled and time-critical freight forwarding capabilities.

    The transaction is expected to close in the first quarter of 2025, subject to customary regulatory reviews and approvals. The value and terms of the transaction are not being disclosed at this time.

  • Etihad Cargo’s cutting-edge solutions bridge the gap between East and West for high-value shipments

    Etihad Cargo’s cutting-edge solutions bridge the gap between East and West for high-value shipments

    In the ever-evolving landscape of global logistics, ensuring the safety and security of high-value is paramount. Etihad Cargo, a leader in the air freight industry, continuously enhances its security measures to meet the demands of transporting valuable goods. By leveraging specialised products, technological advancements, and strategic partnerships, Etihad Cargo remains at the forefront of secure cargo handling.

    Added security when transporting high-value goods
    In the context of evolving security threats, Etihad Cargo ensures continuous enhancement and robustness of security measures for handling high-value cargo through its specialised SafeGuard product. For goods classified as “valuables,” which exceed a certain value per kilogram, Etihad Cargo also leverages the expertise of its sister company, Etihad Secure Logistics.

    Leonard Rodrigues, Director Revenue Management & Network Planning at Etihad Cargo explains, “The partnership, in combination with our SafeGuard product, provides state-of-the-art security measures, including secure transit via dedicated, armoured vehicles and security personnel.” For vulnerable goods, such as electronic products, Etihad Cargo offers SecureTech, a process-based product that controls more aspects of the transportation process. SafeGuard and SecureTech serve the transportation needs of both valuable and vulnerable goods, ensuring high standards of safety and security.

    Enhanced security and transparency
    Technological advancements enable more intermediate milestones for tracking, reducing physical touchpoints and human intervention. Leonard says, “This approach increases digital updates, enhancing functional tracking while minimising the risk of errors and security breaches.”

    Etihad Cargo’s digital transformation initiatives have significantly enhanced the safety and security of high-value cargo during transit. A dedicated Cargo Control Centre team monitors shipments and alerts stakeholders if there are any deviations from the SLA. Recognising the crucial role of technology, Etihad Cargo plans to introduce live monitoring, allowing customers to view the real-time status of their shipments. By engaging with multiple service providers, Etihad Cargo aims to implement the best solutions.

    Enhancing efficiency and security in high-value cargo handling
    In June 2024, Etihad Cargo expanded its partnership with SF Airlines, increasing the frequency of flights between mega hubs Abu Dhabi and Ezhou to boost cargo connectivity and capacity between China, the UAE and other global destinations.

    Strategic partnerships, such as this, enhance Etihad Cargo’s ability to handle and transport goods, especially in the e-commerce sector, by leveraging state-of-the-art facilities and digital controls.

    Leonard highlights that SF Airlines’ Ezhou hub employs dedicated staff and advanced digital systems to increase handling security. The partnership, which provides full control over the process unlike traditional reliance on third-party providers, ensures more efficient and secure management of high-value cargo. This is especially true for goods from China, where much of today’s mobile phones and consumer technology are manufactured. The entire platform is digitally monitored, and all staff are under the direct control of the operator. The collaboration allows Etihad Cargo to benefit from dedicated teams and enhanced oversight, improving overall efficiency and security in transporting valuable and vulnerable goods.

    Elevating security and customer trust with SecureTech
    Etihad Cargo’s state-of-the-art facilities and security protocols ensure the security of high-value electronic devices transported under its SecureTech program. Security supervision is provided at every stage, from acceptance to transit, buildup, and delivery. This comprehensive approach ensures continuous monitoring and protection throughout the transportation process, safeguarding high-value electronic devices from potential risks.

    Leonard adds that the introduction of SecureTech has significantly enhanced customer trust and satisfaction for high-value or vulnerable cargo shipments. “We saw a 40% growth in Q1 compared to last year following the launch of SecureTech. The main USP is the handling and security we offer, ensuring electronic shipments are protected throughout transit, with the added option to clear cargo immediately upon arrival at the destination.” Through this, Etihad Cargo has created more alignment and clarity throughout the supply chain, ensuring consistency in service delivery and allowing customers to understand exactly what they are receiving.

    Strategic location, efficient cargo transit
    The location of Etihad Airlines and Etihad Cargo’s hub, Zayed International Airport in Abu Dhabi, significantly enhances the efficiency of high-value cargo transit. The airport features security vaults, special storage areas, security escorts, and CCTV surveillance, making it a secure hub. Serving as a central hub, the airport receives shipments from multiple destinations.

    Leonard notes that for Etihad Cargo’s SecureTech product, top markets include Vietnam, China, Hong Kong, and India; while for SafeGuard products, top markets include Singapore, Hong Kong, Pakistan, and India. Additionally, Abu Dhabi’s central location is ideal for handling high-value cargo efficiently between these key markets and connecting destinations across the carrier’s global network, essentially bridging the gap between East and West.

    Looking forward, Etihad Cargo is exploring new technologies to further secure and optimise shipment handling. “The goal is to provide more information with less human intervention, ensuring every shipment follows a pre-approved path and progresses as expected, with alerts being sent if shipments deviate from this path. This approach focuses on utilising advanced technology rather than increasing human involvement,” Leonard concludes.

    As global trade and security challenges are evolving, Etihad Cargo remains steadfast in its commitment to innovation and excellence. By continuously refining its security protocols, embracing technological advancements, and fostering strategic partnerships, Etihad Cargo ensures that high-value goods are transported with the utmost care and precision. With ambitious plans to further enhance their digital monitoring capabilities and streamline operations, Etihad Cargo is well-positioned to lead the industry in secure cargo handling. In bridging the gap between East and West, Etihad Cargo not only meets the demands of today but also sets new standards for the future of high-value shipments.

  • J&T Express turns to net profit in H1 2024

    J&T Express turns to net profit in H1 2024

    J&T Global Express Limited a global logistics service provider, announced its 2024 interim results for the first half of 2024. In the first half of the year, J&T’s revenue reached US$4.86 billion, representing a year-over-year increase of 20.6%. Revenue of its core business, express delivery services, reached US$4.74 billion, marking a YoY increase of 33.7%. Gross profit showed a YoY increase of 176.8% to US$540 million.

    In H1 2024, all of J&T’s profit metrics swung to positive. The Company reported a net profit of US$31.026 million, a significant turnaround compared to the loss of US$670 million over the same period last year. Adjusted net profit was US$63.248 million, compared to a loss of US$260 million over the same period last year. Adjusted EBITDA soared by 795.6% to reach US$350 million. Adjusted EBIT also turned positive and reached US$120 million, underlining a healthy and sustainable level of profitability.

    During the Period, J&T’s total parcel volume increased by 38.3% YoY to 11.01 billion. The business scale of all operating regions continued to expand, with parcel volume consistently achieving double-digit growth. In Southeast Asia, parcel volume increased by 42% YoY to 2.04 billion, raising its market share to 27.4%. In China, parcel volume grew by 37% to 8.84 billion. In newer markets such as Saudi Arabia and Mexico, parcel volume surged approximately 64% to 140 million.

    China’s parcel volume growth leads the industry; cost per parcel reduction drives adjusted EBIT to profitability for the first time
    During the Period, J&T’s market share continued to rise, with a 37% YoY growth in parcel volume outpacing its peers. J&T’s market share, in terms of parcel volume in China, reached 11%, up 1.1 percentage points YoY. This was primarily driven by J&T seizing the growth opportunities brought by the rapid growth of social e-commerce and enhancing customer acquisition with cost-effective services. At the same time, J&T continued to explore its business development in China’s lower-tier markets, cooperating with a number of e-commerce platforms to undertake consolidation delivery business targeting at remote areas, thereby helping e-commerce vendors and e-commerce platforms to expand to areas that were originally difficult to reach.

    In the first half of the year, J&T revenue in the Chinese market was approximately US$3 billion, a year-on-year increase of about 36%. The adjusted EBITDA reached US$200 million, and the adjusted EBIT turned positive for the first time, reaching US$59.595 million. This is mainly due to the Company’s relatively stable revenue per parcel in the first half of the year, with the unit cost per parcel of express delivery continuing to decline. Specifically, the unit cost per parcel dropped by about 6% to US$0.32. Benefited from to the continuous implementation of refined management and operational optimization in each process in China, which has continually enhanced the strength and efficiency of our entire network.

    Maintaining its lead in SEA for four consecutive years with growing market share; continually optimizing service quality
    J&T’s full coverage and well-established logistics network in SEA, as well as its cost-effective services and strong customer relationships, have continued to serve as competitive advantages. As a result, the Company’s parcel volume in the region increased by 42% YoY. J&T’s market share reached 27.4%, up 2 percentage points compared to 2023.

    In SEA, J&T continues to seize opportunities in the e-commerce market and actively develop non-e-commerce platform customers. The Company also benefits from both the overall rise in e-commerce volume and the emergence of social commerce, while maintaining a strong commitment to service quality. In H1 2024, the Company’s average parcel delivery time in SEA was shortened by 13.8% YoY.

    In the first half of 2024, revenue of the Company’s SEA operations increased by 22% to US$1.52 billion, adjusted EBITDA grew by 13% to US$210 million, and adjusted EBIT grew by 46% YoY to reach US$130 million.

    New Markets business maintained rapid growth and actively expands local e-commerce customer base
    J&T continues to penetrate new markets, rapidly expanding its business scale. The volume of packages in J&T new markets is growing at a high speed. While maintaining close cooperation with Chinese cross-border e-commerce platforms, we are actively developing and maintaining good relationships with major local e-commerce platforms such as Noon in the Middle East and Salla in Saudi Arabia. At the same time, the demand for parcel services from individual customers and commercial organizations in new markets is increasing. To better serve this need, we have launched the J&T SPEED product in the Middle East.

    In 1H 2024, revenue from new markets reached US$290 million, representing a near 1.2x YoY increase. This growth was fuelled primarily by a 64% YoY surge in regional parcel volume. During the Period, gross profit turned positive, reaching US$35.022 million, while the adjusted EBITDA loss narrowed significantly to US$7.84 million compared to the same period last year.

    Continue to enhance service experience: Solidifying the path to global development
    J&T is committed to providing customers with an enhanced logistics service experience by continuously building its own sorting centers, enhancing the efficiency of self-operated transportation fleets, and investing in automated equipment across various markets. As of 30 June 2024, the Company had approximately 8,000 network partners and around 19,900 outlets. The Company operated 237 sorting centers equipped with 254 automated sorting lines. Its transportation network comprised over 4,100 line-haul routes, utilizing more than 9,900 vehicles, including over 5,700 that were company-owned.

  • Australia Post announces three-year strategic partnership deal with IKEA

    Australia Post announces three-year strategic partnership deal with IKEA

    Australia Post and IKEA announced a new strategic partnership, entering into a three-year agreement to further expand IKEA’s delivery footprint in Australia.

    With ten stores in six states and territories Australia-wide, the Swedish retailer’s focus on omnichannel retailing through e-commerce and remote selling channels has sparked exponential parcel growth over the past five years, with over 500,000 parcel orders being fulfilled in FY24. Under the new multi-million-dollar deal, Australia Post becomes their primary eCommerce fulfilment partner for small and medium parcels, accounting for approximately 65% of IKEA Australia’s total number of parcel orders.

    With 23% of all IKEA Australia parcel orders delivered to areas outside the reach of metro stores, Australia Post will support the expansion of IKEA deliveries across its extensive network, reaching even the most regional and remote parts of Australia. The widespread Australia Post collection points across Australia will also greatly benefit IKEA customers, who will be able to pick up their IKEA parcel orders from convenient locations such as their local Post Office.

    Australia Post CEO and Managing Director, Paul Graham, highlighted the partnership as strategically beneficial for both companies.

    “Australia Post is proud to be chosen as IKEA Australia’s trusted delivery partner. With our robust infrastructure and commitment to reliability and efficiency for customers, we have built the largest delivery network in the country.

    “We look forward to supporting the continued growth and momentum of this iconic brand as they expand their customer reach in Australia through our extensive delivery capabilities.”

    IKEA Australia CEO and Chief Sustainability Officer, Mirja Viinanen, said:

    “As an omnichannel retailer, our goal is to bring IKEA to more people, in more ways and in more places, making it easier and more convenient than ever before for Australians to shop with us to create homes they love.

    “We’re famous for our flatpack furniture, however what our customers don’t always realise is much of the IKEA home furnishing range is available to them in a parcel via the post. Partnering with Australia’s largest delivery provider allows us to greatly enhance our accessibility for our customers in this way.

    “We are excited to work together with such a highly trusted brand as Australia Post, who shares our values when it comes to excellence in customer experience and a dedication to sustainability and look forward to a successful new partnership.”

    Australia Post is projected to deliver over 250,000 IKEA parcels each year under the agreement, offering both Parcel Post and Express Post delivery options for customers across the country.

    Sustainable delivery solutions also underpin the partnership, with Australia Post operating the country’s largest electric delivery vehicle fleet, contributing to IKEA Australia’s ambition to offer zero-emission deliveries.

    The three-year partnership launches this October.

  • eleport and Etihad Cargo partners in line with growing trade flow between Southeast Asia and Middle East

    eleport and Etihad Cargo partners in line with growing trade flow between Southeast Asia and Middle East

    Teleport, an integrated logistics provider, and Etihad Cargo have partnered to inject cargo capacity and frequency into their respective cargo network between Southeast Asia and the Middle East, with plans to increase frequency shortly. This move is against a backdrop of growing airfreight demand and trade between the two regions.

    Trade between the Gulf nations and emerging Asian nations continues to show high growth momentum, surging 35% from US$383bil in 2021 to US$516bil in 2022, and is expected to reach US$757bil by 2030, outstripping growth rate with Western nations such as the US, UK and the Euro Area. At the same time, air freight demand continues to pose double-digit growth across all regions, having risen 14.1% as of June 2024.

    Since signing the partnership in May this year, Teleport has deployed its freighters for Etihad to ship machines, raw materials, phones and chip sets among others, from Ho Chi Minh to Kuala Lumpur twice a week, with onward connection via Etihad’s capacity to Abu Dhabi and beyond. This partnership also enables both parties to maximise the available passenger belly capacity especially out of leisure hubs such as Bali and Phuket, by leveraging on each other’s network strength. Etihad will deepen its connectivity in Southeast Asia on the back of Teleport’s extensive network in the region, while Teleport leverages Etihad’s strong global network to expand its network reach into the Middle East, Europe, Americas and the African regions. By the end of this year, the partnership is expected to see 1600 tonnes of cargo moved between the two destinations with the potential for an increase in flight frequency and new routes.

    Stanislas Brun, Vice President of Cargo at Etihad Cargo said, “We continue to anchor our strategy on key partnerships that will enable us to better serve our customer needs while supporting global trade. This recent partnership with Teleport is important to enhance our connectivity to Southeast Asia, and we are confident that through the integration of their freighter operations and our capacity, we are able to continue to grow and build a more efficient and robust network that better serves both regions, and quickly. The market environment is highly favourable to grow our presence here today, and with a strong air partner like Teleport.”

    Jagedeswaran Nadrajah, Head of Air Partners at Teleport, commented “The integration of Etihad’s global network with our largest Southeast Asia network has opened up a more dynamic way to connect cargo between these two regions – leveraging on the strengths of both our networks. This is valuable to both our existing and new customers trading between two important regions. This sort of synergy is testament to what Teleport has been building through its Air Partners programme as a win-win solution for all Teleport Air Partners, where we can continue to build and grow, and never fly empty.”

  • Vietnam’s exports to US accelerate

    Vietnam’s exports to US accelerate

    Vietnam’s exports to the U.S. surged 24.4% year-on-year to $66.09 billion in the first seven months, the highest growth rate among its export markets.

    In the seven-month period, American buyers spent a monthly average of close to $9.6 billion on purchasing goods from Vietnamese suppliers.

    With the U.S. accelerating goods purchases for the year-end festive season and the volume of their goods in stock plunging, the number of orders from U.S. buyers is expected to grow significantly.

    Vu Vinh Phu, an economic expert, predicted Vietnamese exports to the market such as electronics, leather and footwear, garment textiles, farm produce, machinery and equipment will continue to recover in months to come.

    These product categories have seen improvement in quality and competitive pricing thanks to substantial foreign direct investment in production and export activities as well as their deep integration into supply chains, making them more favoured and trusted by U.S. importers.

    If the current growth momentum is maintained, bilateral trade could reach $135 billion this year.