UPS targets China
China has to be a great opportunity for UPS, which now controls all its own operations in China, in what has become a major growth engine.
Today, UPS is expanding its number of flights to China, building more infrastructure and creating a stronger brand presence, calling itself a “technology company with trucks.” Now, its business in Asia and China is leaping ahead.
Part of that China presence is because of the expansion of air services. UPS has, or is adding, new flights connecting Shanghai and the U.S. and is increasing its weekly flights to 18. It plans to establish an air hub in Shanghai in 2007. UPS serves the 23 largest Chinese markets, which account for 80% of China’s global trade.
UPS now has 33 large, wholly owned branch offices that serve more than 200 cities in China. The offices are staffed by UPS’s own employees, such as service providers and salespeople, and use the company’s own technology. In China, the company has 500 salespeople–whereas in the U.S., it has several thousand.
UPS also plans to expand its service to an additional 100 cities in China. To remain a top-tier logistics player in China, it will continue opening new branches, as well as 22 more offices to serve the new expansion cities. It is also building further connections between the ground and the air.
