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The expansion comes as online retail sales in China surged nearly 10% year-over-year
in the first half of 2024
FedEx is significantly strengthening its e-commerce logistics services to capitalize on the
growing demand for cross-border shipping from China. The delivery giant announced last week
that it is expanding its FedEx International Connect Plus service to include routes to the U.S.
and Europe, aiming to support Chinese e-tailers urging international market access.
Previously available only for intra-Asia-Pacific shipments, FedEx International Connect Plus now
offers delivery in as little as two to three business days for lightweight and non-urgent packages.
The expansion comes as online retail sales in China surged nearly 10% year-over-year in the
first half of 2024, driving increased demand for international shipping and placing pressure on
air freight capacity. Senior Vice President of FedEx and President of FedEx China, Poh-Yian
Koh, stated that the rapid growth of cross-border e-commerce in China has forced many local
e-tailers to seek opportunities for expanding globally. He also highlighted that mature markets
such as the U.S. and Europe remain the primary destinations for their exports.
FedEx’s move follows similar trends seen with rival UPS, which reported a 20% increase in
export volumes from China to the U.S. in the second quarter of 2024. As competition heats up,
FedEx is positioning its expanded service as a cost-effective option with a straightforward rate
structure and no residential surcharges.
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