FedEx Express has selected Kansai International Airport (KIX) in Osaka, Japan, as the site of anew North Pacific hub to profit from growing trade between the region and the USA.
The 25,000 sqm facility, which will be an expansion of the company’s existing operation at thewestern Japan airport, is expected to go into operation in spring 2014. No investment figure wasdisclosed.
The new North Pacific (NPAC) Regional Hub will serve as a consolidation point for shipments fromnorthern Asia to the United States while continuing as an international gateway for customers inwestern Japan. The agreement with Kansai International Airport Co., Ltd. for the new facilityincludes customs clearance operations, ramp operations, sort and transshipment operations.
FedEx apparently opted for KIX rather than Seoul’s Incheon airport as the hub location for NorthPacific. The 24-hour operation will allow greater operational flexibility to meet customers’ needs,the company noted. Kansai aim to position itself as one of the natural hubs for air logisticswithin Asia and between Asia, the USA and Europe. The role of the Asia Pacific Hub in Guangzhou,China, remains unchanged, FedEx stressed.
At present, FedEx has 39 scheduled weekly flights from KIX with B777 or MD-11 freighters,including six direct B777F flights to Memphis and six via Shanghai with an MD-11. Otherdestinations include Los Angeles, Tokyo, Beijing, Guangzhou, Singapore, Bangkok, Penang and Taipei,according to the airport authority.
“Asia is said to be the powerhouse of the world economy, and its trade volume is expected toreach US$14 trillion by 2015,” said David L. Cunningham, Jr., president, Asia Pacific, FedExExpress. “With the establishment of the FedEx NPAC Regional Hub, we will be able to provide asuperior level of service to our customers within and outside of the APAC region. I believe the newfacility will play a major role in contributing to Asia’s growing economy.”
Masamichi Ujiie, regional vice president, North Pacific, FedEx Express, added: “We find that thelocation of KIX is convenient for both the major Asian markets and cities in the United States, andit has also had outstanding 24-hour operations since its opening in 1994. We are looking forward toworking together with KIAC as their partner. FedEx will further enhance its operations and servicesto our customers to continue the strong momentum of the Asia Pacific region’s economy.”
Shinichi Fukushima, president of Kansai International Airport Co., Ltd., welcomed the agreement,saying: “I know that the NPAC Regional Hub will have a major impact on global shipping, and we areprepared to fully support FedEx via our 24-hour operations and by offering plenty of space forfurther development. We look forward to growing into a facility that can truly meet the needsof customers from around the world and contribute to their businesses.”
Kansai International Airport is a 1,055 hectare airport located 5 km offshore designed topreserve the natural environment and is Japan’s first international airport to be operationalround-the-clock. Other freighter operators at the airport include UPS, China Postal Airlines, AirChina Cargo, China Cargo Airlines, local carriers Japan Airlines and ANA and various Asian andEuropean cargo airlines.