Courier giants swear by long-term plans

Global courier companies such as DHL, FedEx and UPS said their operations in China are running normally and expressed confidence in the long-term investment in the country.

"Despite the impact of the (COVID-19) pandemic, China's first-quarter GDP grew faster than expected, once again showing the high quality and resilience of the economy. We remain positive and confident about the development of the Chinese market in the long run and will continue to invest in the fast-growing market with huge potential," said Wu Dongming, CEO of DHL Express China.

DHL has launched a number of projects since the beginning of the year to further strengthen its logistics network in China, he said.

Wu's remarks sought to quiet rumors floating in cyberspace that international courier players have suspended postal and parcel delivery services in China due to COVID concerns.

"Our commitment to long-term growth and development in China never changes. We have some other planned projects in the works and will continue to promote the trade flow connecting China and the rest of the world logistically," Wu said.

DHL recently announced it will expand and upgrade its gateway facility at Chengdu Shuangliu International Airport to a regional hub to serve Southwest China better.

Eddy Chan, senior vice-president of FedEx Express, said the company is making every effort to ensure supply chains linked to Shanghai remain stable. FedEx will continue to provide the best service possible to customers in Shanghai and surrounding areas, he assured.

Chan said China is one of the key engines of the global economy. In the context of the pandemic, the country's economy has remained resilient. China has been playing a key role in the global supply chain and industries, and hence remains an important market in FedEx's global strategy.

"We will keep increasing investments in China, supporting the connectivity between China and the rest of the world. We look forward to growing together with China in the long run," he said.

Chan further said FedEx's Shanghai International Express and Cargo Hub at Pudong International Airport has continued operations even during the lockdown in the city, providing outbound services and facilitating cross-border trading.

UPS, another major player in the global courier industry, denied it had suspended its import services in China. Its hubs in Shanghai and Shenzhen remain operational and have been strictly following the pandemic containment measures. Temporary service adjustments are being made and all steps are being taken to minimize disruptions in the meantime.

Pan Helin, co-director of the Digital Economy and Financial Innovation Research Center at Zhejiang University's International Business School, said China's cross-border courier industry has been robust. Global players, who have invested massively in the country's logistics sector, will only step up their investments further.

Zhou Xibing, a Chinese researcher who has written extensively on the internationalization of Chinese companies, said China, with its relatively lower production and logistics costs as well as sophisticated logistics and freight transport system, is very competitive in the global market.