According to a report of Hongkong Newspaper “The Standard”, FedEx FedEx Corp will sign an agreement early next month to open a
second Asia-Pacific hub at Guangzhou’s Baiyun Airport in the Southern part of China. Withreference to a source close to the negotiations “The Standard” reports that the GuangzhouBaiyun Airport Authority will invest up to 1.5 bln yuan to build a warehouse and a cargorunway for FedEx’s use. If the deal gets approval by the State Council andthe General Administration of Civil Aviation, the construction work will start in August 2006 withan expected ompletion date in Oktober 2008.Although FedEx signed a framework agreement with Guangzhou’s Airport last year intending tomake Guangzhou its only Asian hub, the company decided to go for a dual-hub strategy in Asia afterthe Philippines made consessions to FedEx.
