China Southern Air Logistics, the cargo unit of China Southern Airlines, and FedEx Express signed a memorandum of understanding (MOU) “formally establishing a strategic relationship,” according to a joint statement from the companies.
FedEx is in the midst of a significant expansion of its facilities at Guangzhou Baiyun International Airport (CAN), where it operates its largest Asia-Pacific hub. China Southern is based at CAN. China Southern Air Logistics operates a fleet of 19 Boeing 777 freighters.
A new FedEx “South China Operations Center” spanning 41,000 m2 (441,000 ft.2) is slated to go operational at CAN in 2027, more than doubling the express delivery giant’s space at the airport. FedEx has said the facility will have the capacity to sort 25,000 packages and documents per hour, tripling its current sorting capacity at CAN.
China Southern and FedEx said the MOU calls for the carriers to “explore cooperation opportunities across several key areas, including international flight and hub connectivity, network planning, fleet resources, ground operations and digitalization.”
The companies said cargo network development will be a central component of cooperation.
“By integrating FedEx global air network resources with China Southern Air Logistics’ operational experience in both domestic and international markets, we will further enhance route connectivity and operational efficiency,” FedEx China President Poh-Yian Koh said.
China Southern Air Logistics Chairman Li Xiao added that the carriers will focus on cargo space, routes, fleet and operations. The companies will aim to “leverage respective resource advantages,” he said.
Related Content
