UPS launched its new Asia-Pacific hub on 9 February with its inaugural flight at Shenzhen’s Baoan International Airport. The Shenzhen hub replaces operations at the former Clark Air Force Base in the Philippines.

The new facility cost an estimated US$180m to build and its 400 staff will be capable of sorting 18,000 packages an hour, according to the US-based company. It will provide overnight delivery services between Asia-Pacific countries.

UPS reported a 10 per cent growth in Asia-Pacific export volume in the fourth quarter of 2009 compared with the same period in 2008. China-to-Europe volume grew by more than 15 per cent, while intra-Asia volumes increased by more than 5 per cent.

International express delivery companies have invested heavily in China in recent years. One year ago, FedEx opened a US$150m Asia-Pacific hub in Guangzhou’s Baiyun International Airport. Its main Asian hub was also previously based in the Philippines. In December 2008, UPS opened an international air hub in Shanghai at a cost of US$125m. DHL has also announced plans to spend US$175m on its north Asia hub in Shanghai, due to be completed in the second half of 2010.