FedEx expands flight capacity across Asia Pacific as peak season nears

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Source: FedEx

FedEx Express has increased its number of weekly flights across Asia Pacific to accommodate the expected surge in package volume during a peak holiday season.

Flights have substantially increased for Asia-to-Europe and Asia-to-Australia routes. In addition to the company’s 500,000 team members, it plans to hire 70,000 workers more as part of its capacity expansion efforts.

Its Asia-Pacific Air Network has been operating at peak levels over the past six months.

FedEx’s expanded capacity supports the logistics needs of small businesses as they benefitted from e-commerce growth.

“At FedEx, we are helping our customers to prepare and get ahead to help ensure their shipping and delivery needs are met and business continues to flow during one of the busiest times of the year. We’re calling this the Shipathon – a shipping endurance race,” said Kawal Preet, President, AMEA region, FedEx Express.

Kawal said SMEs accelerate business recovery as e-commerce allows them to expand their markets beyond borders without investments related to opening brick-and-mortar storefronts.

“We’re actively working with merchants and small businesses to ensure they’re ready and have the right tools to give their customers more control over their deliveries.”

The rapid growth of e-commerce has driven significant shifts in demand over the past several years and will continue to drive volume during the 2020 holiday season. In Asia Pacific, online retail sales for 11 countries in the region are expected to grow from $1.5 trillion in 2019 to a total of $2.5 trillion in 2024, according to Bain & Company.

A report from McKinsey & Company found the global pandemic has sped up the adoption of digital customer interactions by as much as four years. As consumers have moved dramatically to online channels, businesses have responded in turn, with Asia leading the way. In addition, the rate of creation of digital or digitally enhanced offerings in Asia has leapt forward ten years compared to a global average of seven years.

FedEx is also prepared to deliver the best possible service to our customers in a challenging environment this peak season.

Recently, FedEx announced to open its $30 million new facility in the Philippines in 2021. The 17,000 square-meter facility will increase the company’s supply chain responsiveness and capability to serve its customers in the country as sorting capacity will increase to 9,000 parcels an hour and workforce to 800.

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