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FedEx launches Shanghai service

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FedEx will this month launch its Shanghai Express Freighter service, which the company says will improve services from eastern China to the United States by three to four hours.

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The US-based express mail company will also continue to increase capacity in its mainland network this year, despite the possibility that an economic downturn in the US would slow demand for high-value Asian-made goods.

'The express segment in Asia continues to grow faster than any other region in the world,' said David Cunningham, FedEx's Asia-Pacific division president.

'China is the fastest growing economy within the FedEx network. It has huge potential,' he said.

FedEx, which serves about 190 mainland cities, will add five cities over the course of the year. Within five years, the company hopes to serve 290 cities in China.

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While its mainland business grows, the company faces the threat of a US slowdown. Outbound traffic from the mainland to the US remains the company's biggest business.

'I don't have a crystal ball, so I can't say how much of an effect a US slowdown would have on us,' Mr Cunningham said.

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