FedEx Corp has expanded its intra-Asia air network with two new routes, redeploying aircraft to meet rising regional demand amid falling transpacific volumes caused by US tariffs, reported New York's FreightWaves.
The express carrier reduced freighter activity from Asia to the US by 25 per cent in the quarter ending August 30. Executives cited a US$150 million profit hit from reduced China revenue, following the removal of duty-free de minimis treatment for low-value e-commerce shipments.
On Tuesday, fedex launched a weekly flight linking Seoul's Incheon airport with Hanoi, Vietnam, continuing to its Asia-Pacific hub in Guangzhou, China. The route shortens transit times by one day for shipments from northern Vietnam to Asia and Europe.
A second new route connects Seoul and Taiwan, operating daily and serving high-tech and e-commerce sectors. FedEx said the service supports clients like CJ Olive Young, a South Korean health and beauty retailer expanding into the US.
The Vietnam route uses a Boeing 767 freighter, while the Taiwan service employs MD11s and a Boeing 777 on Sundays. FedEx Asia Pacific president Kawal Preet said the company is investing to strengthen regional connectivity and adapt to shifting supply chains.
Intra-Asia trade now accounts for nearly 60 per cent of Asia's total exports, according to the United Nations. ASEAN countries have become China's largest trade partner, with bilateral trade reaching US$963 billion in 2024, Chinese data show.
Rival UPS has also increased intra-Asia flights, adding services between Shenzhen and Sydney, and deploying larger aircraft between Hanoi and Shenzhen. UPS reported a 35 per cent drop in China-US volumes earlier this year.
FedEx recently launched new routes between Dublin and Indianapolis for healthcare shipments, and its first dedicated cargo flight to Saudi Arabia from the US and Europe. DHL Express has seen China and Hong Kong volumes to the US fall 30 per cent year on year.
SeaNews Turkey
The express carrier reduced freighter activity from Asia to the US by 25 per cent in the quarter ending August 30. Executives cited a US$150 million profit hit from reduced China revenue, following the removal of duty-free de minimis treatment for low-value e-commerce shipments.
On Tuesday, fedex launched a weekly flight linking Seoul's Incheon airport with Hanoi, Vietnam, continuing to its Asia-Pacific hub in Guangzhou, China. The route shortens transit times by one day for shipments from northern Vietnam to Asia and Europe.
A second new route connects Seoul and Taiwan, operating daily and serving high-tech and e-commerce sectors. FedEx said the service supports clients like CJ Olive Young, a South Korean health and beauty retailer expanding into the US.
The Vietnam route uses a Boeing 767 freighter, while the Taiwan service employs MD11s and a Boeing 777 on Sundays. FedEx Asia Pacific president Kawal Preet said the company is investing to strengthen regional connectivity and adapt to shifting supply chains.
Intra-Asia trade now accounts for nearly 60 per cent of Asia's total exports, according to the United Nations. ASEAN countries have become China's largest trade partner, with bilateral trade reaching US$963 billion in 2024, Chinese data show.
Rival UPS has also increased intra-Asia flights, adding services between Shenzhen and Sydney, and deploying larger aircraft between Hanoi and Shenzhen. UPS reported a 35 per cent drop in China-US volumes earlier this year.
FedEx recently launched new routes between Dublin and Indianapolis for healthcare shipments, and its first dedicated cargo flight to Saudi Arabia from the US and Europe. DHL Express has seen China and Hong Kong volumes to the US fall 30 per cent year on year.
SeaNews Turkey
