UPS starts work on air hub in Shanghai

United Parcel Service (UPS) has begun constructing its air hub in Shanghai, Xinhua reports.

Located in Shanghai's Pudong International Airport, the hub will cover an area measuring 96,000 square metres and is expected to open next year.

The air cargo handling facility will provide express delivery, distribution and air freight services 24-hours a day, seven days a week. Its sorting capacity is projected to reach 17,000 pieces per hour.

"The opening of this hub will ensure we are well-positioned to support the explosive growth in Asia's regional trade," said UPS chairman and CEO Mike Eskew.

China export volume growth at UPS has been robust and the outlook remains bright, said Mr Eskew.

The export volume of the company in China surged 25 per cent in the second quarter of this year, driving the growth of UPS operations in the Asia Pacific region, which expanded by 20 per cent during this period.

"It is expected that half of the exports from Asia will be handled in China by 2012," said Li Songjiang, vice president of UPS China.

The company handles 100 flights per week at Pudong International Airport, including 24 domestic flights operated by Yangtze River Express.