FedEx Express has dramatically cut its rates for domestic express delivery within China, accordingto media reports, despite higher transportation costs and recent service enhancements.
The US integrator has reduced prices for its fastest next-day product, FedEx FirstOvernight,by as much as 77%, transport newspaper Cargonews Asia reported. The Memphis Business Journal,citing a Reuters report, wrote that FedEx had slashed rates dramatically to continue to staycompetitive in one of the world’s largest markets.
In late June, FedEx announced several enhancements to its domestic express services in Chinaas part of the one-year anniversary of the service launch last summer.
The express operator said it now offers earlier next-morning deliveries to nine major cities(Beijing, Shanghai, Suzhou, Kunshan, Wuxi, Nanjing, Hangzhou, Guangzhou, and Ningbo), and latercut-off times for intra-region shipments within the Yangtze River Delta and the Pearl River Deltaregions.
FedEx provides domestic time-definite air express services in China through its domestic hubat Hangzhou Xiaoshan International Airport and partnership with Chinese-owned Okay Airways. Thenext-morning delivery service covers more than 40 cities, while the second-day delivery servicereaches customers in more than 200 cities throughout the country.
