UPS and SF Holding have announced approval of their planned joint venture by China’s Ministry of Commerce (MOFCOM). The jv enables them to collaborate on development and provision of international delivery services from, China to the U.S. initially, and to other trade lanes in the future. The JV approval is a positive development for international trade and allows the two leading companies to leverage their complementary networks, service portfolios, technologies and logistics expertise.
UPS is the world’s largest express delivery company and a leading global supply chain integrator. SF is a market leader in express delivery in China, with extensive China-wide network coverage, comprehensive service capabilities, and the highest brand recognition in the Chinese small package industry. The newly approved joint venture is a continuation of UPS and SF’s collaboration that began in 2015, when UPS Worldwide Express service was made available at SF’s Heike retail stores in Shanghai and Shenzhen.
The alignment of UPS and SF transportation networks provides customers with greater coverage, additional routing options, increased capacity, and more choice in transit times and service options.
With the joint venture approved, customers seeking an economical solution for less urgent shipments can opt for Global Reach Plus, the new joint venture deferred express product that features the full visibility and reliability of a premium express service.
The joint venture supports these highly competitive joint service offerings on the China-to-US lane, with planned expansion to markets in the rest of the world. Both companies can now utilize their own assets to boost operational effectiveness and efficiency for businesses while aligning business processes in order to provide seamless customer care for all parties shipping out of China.