Expansion sees FedEx Express open four new stations in Spain

FedEx Express is due to open four new stations, three to be situated within the Basque region of Spain with the fourth being on the south-east coast in Alicante. The European expansion will increase movement within their Spanish network, creating approximately 32 new job roles throughout the additional stations. This growth will expand on the 90 new stations FedEx has already positioned within Europe.

The courier company has said the Basque country is depicted as one of the most constantly developing areas of Spain with regards to business interest. There are around 158,000 businesses positioned in this area, in places such as San Sebastian and Vitoria. The expanding network will give customers within this area the opportunity to ship worldwide with expected transit times of one or two working days.

FedEx Express are due to create job opportunities in their
expansion plans.

There is now a demand in the export market for local businesses since the Spanish economy has started to recover. FedEx can see this increasing demand, seeing that the Basque region reached 13.8 billion Euros last year, a 5.4% increase from the previous year. FedEx Express began operating with Spain back in 1989 and now has employed approximately 445 people there. With their local headquarters based in Madrid, FedEx has a gateway at Barajas Airport which links to its main European hub at Paris’ Charles de Gaulle Airport.

FedEx will be creating 12 new jobs within their Alicante station where more than 129,000 businesses are currently based. Businesses based in this area are in industries such as textiles, shoe, marble and toy manufacturing. Within the first eight months of 2013, exports from this particular area were said to have been valued at a staggering three billion Euros.

Senior Manager of Operations for FedEx Express Spain, Ian Silverton, has spoken of how the company will be offering its expertise to local Spanish businesses: “Now we are even better placed to give our customers the local expertise they need to go grow their businesses globally.”

Silverton has also commented on the advantages in opening stations in the Basque region and Alicante: “The Basque business community has made a name for itself for driving research and innovation, creating a thriving business community with a strong entrepreneurial spirit.” He also described Alicante as being “known for its strong industrial research and development.”

FedEx is the first freight carrier to introduce Electric Vehicles in Latin America

FedEx Express, the express delivery branch of US-based FedEx Corp, has announced plans to add six electrically-powered delivery vehicles to its fleet in Brazil, making it the first freight carrier to introduce electric vehicles in Latin America. The vehicles - which will be delivering on the streets of Sao Paulo and Rio de Janeiro from January 2014 - will be able to cover approximately 75 miles on a single charge.

The electrically-powered FedEx Kangoo Maxi ZE -
to be introduced in Brazil in  January 2014.

The introduction of the electric vehicles (EVs) is intended to contribute to FedEx Express' efforts to reduce its carbon footprint. So far, the company has introduced EVs into urban areas in six other countries: USA, France, Germany, Italy, Japan, China. From 2005-12 the introduction of these vehicles into the FedEx fleet has saved approvimately 528,000 gallons of fuel, and with the introduction of the vehicles in Hong Kong also imminent, FedEx have revised its initial energy efficiency goal from 20 to 30 percent improvement by 2020. 

Regional President of FedEx Express, Latin America commentedL "This is a milestone for the Latin American region, and we are excited to provide this type of vehicle to Brazil as part of our efforts to find cleaner, more efficient transportation solutions. We hope to be a catalyst in motivating other companies in the region to develop sustainability programs, as environmental responsibility is such an important part of doing business."

Source: FedEx

News round-up | Courier and freight news from around the world!

Special deliveries

• Get ready for the world's first fully electric car racing series!- DHL to deliver Formula E worldwide
• All hands on deck! - TNT makes urgent delivery to docked cruise ship

Social Responsibility 

• FedEx launches annual FedEx Cares Week in Asia Pacific and Around the World
• UPS ships aid to Syrian refugee camp in northern Iraq. 
• DHL supports Beethoven Fest and prepares for Global Volunteer Day

Air freight

• Swissport maintains struggle to reclaim Interavia
• IATA encourages more cooperation from Eastern Europe
• Indian air cargo is growing but in need of reform 

Industry Trends

• Supply chain transformation predicted for pharmaceutical sector
• DHL, FedEx and UPS recognised for IT innovation
• FedEx growth led by International Economy service

FedEx first quarter growth led by International Economy service

FedEx Corp reported a year-on-year improvement for the first quarter yesterday. Consolidated results showed a 2% increase in total revenue from $10.8 to $11 billion and a 7% rise in operating income from $742 million to $795 million. FedEx CEO Frederick Smith said overall growth in demand was the main cause of the company's recent success.

FedEx Express, the parcel delivery division and by far the largest part of the business, saw a slight 0.3% decrease in revenue from $6.63 to $6.61. This was attributed to lower fuel surcharge revenue and one fewer operating day. Nevertheless, operating income for the division was up 14%year-on-year from $207 to $236 million.  

While US domestic volume and revenue was flat, export volume grew 4% - with most of this coming from the lower end delivery services: FedEx International Economy grew 15% while FedEx International Priority saw a slight decline. 

Speaking of the results, CFO Alan Graf Jr. commented,“We remain confident in our full year earnings outlook despite tepid global economic growth. FedEx Express continued to execute on its profit improvement initiatives during our first quarter. We remain focused and are committed to FedEx Express achieving its $1.6 billion operating profit improvement target by the end of fiscal 2016.”

FedEx Ground, the division for day definite delivery across North America, reported an 11% increase in revenue from $2.46 to $2.73 billion, while the FedEx Freight Segment saw a relatively modest revenue increase of 2% from $1.4 to $21.42 billion. 

50 FedEx volunteers take part in coastal clean up

Along with DHL's upcoming global volunteer day, FedEx Express is also demonstrating its commitment to social responsibility with "FedEx Cares Week".  The initiative comprises a week of volunteering between September 7th and 15th,  in which employees of the company in 11 Asia Pacific markets are encouraged to give back to their communities.

One of the first activities of the initiative saw 50 FedEx volunteers helping out at a coastal clean up project in Taiwan last Saturday 7th September. Along with with the Jane Goodall Institute - the international wildlife and conservation organisation - the volunteers removed over 120 kg of rubbish from the Chao-Jing park in Keelung. The park is home to many wild species but has been blighted of late by debris including cigarettes, cans and plastic bags. As well as improving the living conditions to the wildlife on the coastal region, it is also hoped that the clean up will raise awareness about coastal conservation. 

Managing Director of FedEx Express Taiwan Michael Chu commented: "the FedEx network includes not only wings in the sky, but also wheels on the ground and keels in the water. That's why why we are committed to minimizing our environmental footprint through various environmental sustainability efforts."

It is anticipated that over 1,000 volunteers will commit over 4,000 hours in 36 different activities throughout the week. 

FedEx receives first Boeing 767 of its new freighter fleet

FedEx Express, the express delivery branch of US-based shipping giant FedEx Corp, received the first aircraft of its modernised freight fleet yesterday.

The Boeing 767-300, which can carry approximately 58 tonnes, is up to 30% more fuel efficient than previous models. As well as improving FedEx's environmental performance, the increased fuel efficiency will save the company 20% in operating costs per unit.

Brad McCulle, vice President of North America Sales at Boeing, commented: "We are excited to see the 767 freighter join the FedEx fleet... With its tremendous efficiency among medium wide-body cargo airplanes, [it] will complement FedEx's fleet and support fast, reliable deliveries to customers around the world."

FedEx Express opens new stations in Germany

FedEx Express has opened four new stations in North Rhine-Westphalia, the most populous German state. The new facilities have compelled the courier company to increase their workforce in the region by 25%, creating 150 more jobs, in addition to the 600 already in the area. 

With the addition of the four new stations, FedEx now operates almost 50 facilities across Germany. The stations act as small distribution centres for shipments from regional customers and are sorted on site before being delivered throughout Germany, Europe and worldwide. 

Carl Graham, Managing Director of Operations at FedEx Express Central and Eastern Europe, said the expansion was intended to boost both proximity to customers and service flexibility: “[Germany’s] economic focus on exports in key industries such as chemicals, engineering and automotive means that it has to depend on reliable logistics service providers. We offer companies quick and reliable connections to their international trading partners and, in doing so, promote growth in the region,” he commented.

DHL, one of FedEx’s largest competitors, is headquartered in Bonn and will no doubt be observing the US-based courier’s further expansion into the region with interest.

Now is a critical time for air freight, says FedEx chief.

Michael Ducker, the COO of US courier service FedEx Express, stressed the importance of air cargo at the Cargo Network Service (CNS) conference in Phoenix last month.  During his keynote address, Ducker stated that "right now is definitely a critical time for cargo".

FedEx Express COO Michael Ducker

2012 saw air freight contribute $98 billion to the global economy and fly $US 10 trillion goods internationally, but Ducker called it a disappointing year, given that cargo volumes and yield dropped 2% year  on year. 

In line with many industry commentators who have borne witness to small dips in growth in the industry since 2008, Ducker affirmed that the days of cheap fuel and high investment are over for the foreseeable future: "a new normal" has permeated the industry, he said. Financial stagnation and high oil prices are the primary factors defining the current market. 

At the same time, US markets are seeing increased competition from the emerging markets of China, Brazil and Poland as well as competition from sea carriers. Ducker stated, "I think the future of air cargo is directly tied to ocean freight, but sea freight isn't for everyone." Shippers of time-sensitive, high value goods will always depend on air freight, he stressed.

In order to face the challenges of the future, Ducker urged greater supply chain innovation and efficiency and the quicker adoption of e-freight, calling paper-based processes relics and anachronisms.

FedEx competition indicates increasing importance of social media and sustainability to major carriers

FedEx's launched its "Grow a Greener School Contest" on Pinterest yesterday, highlighting the growing importance of social media as well as sustainability within the industry. The competition aims to give teachers, students and parents the resources to create hands-on sustainability projects at their school. Any school in the United States can enter by submitting an on-line form and attaching a photograph, which FedEx will subsequently post on Pinterest, the photo-sharing social media website. 

Image c/o FedEx

Entries can be submitted until midday (CDT) on May 24th and then a week of public voting for the best projects via "liking" on Pinterest will determine the winners. There are prizes of $3,000, $2,000 or $1,000 prizes for the winning schools' green initiatives.

FedEx's competition comes at a time when both sustainability and social media seem to be high on the agenda for other major carriers including UPS and DHL. UPS have recently announced adjustments to their Boeing 767 aircraft which, as well as cutting fuel costs, will decrease carbon emissions by an estimated 62,000 metric tonnes per annum. DHL  released their 2012 corporate responsibility at the beginning of the month in which sustainability was one of their primary focuses. 

In addition, both carriers have a large and growing presence on social media. DHL have almost 100,000 likes on Facebook while UPS have a still impressive 35,000. TNT Express also has 25,000 likes. FedEx are leading the way, however, with an amazing 650,000! Using social media platforms allows carriers to engage with customers and clients in new and innovative ways and to take advantage of viral marketing opportunities. Carriers regularly post interesting photographs, puzzles or updates on their latest sustainability projects. Often they advertise special offers which are only available on Facebook or other platforms.

Given FedEx's competition, it seems they are keen to build their Pinterest presence next. On this platform too, they are leading the way: they have 1600 likes compared to DHLs 79 and UPS's 51 and, at the time of writing TNT Express are yet to establish a Pinterest account. 

Nissan and FedEx Express unveil new e-NV200 all-electric delivery van

Yesterday, Nissan and FedEx Express presented the result of their latest joint venture, the all-electric delivery van, e-NV200. 

Cargo-friendly features

According to the automotive manufacturer, the e-NV200 features a new telematics system,  benefits from smooth acceleration, new power outlets and has enough space to transport cargo in its compact body. 

“As a global fleet operator, FedEx Express is always looking measures to improve the efficiency of its vehicles. (…) We are delighted to collaborate with a global player like Nissan in the development of an urban all-electric delivery van”, said Russell Musgrove, MD of Global Vehicles at FedEx Express.

Image c/o autoguide.com

Nissan to reduce carbon emissions

When developing e-NV200 Nissan primarily focussed on finding a mobility solution for entrepreneurs whilst also featuring components to help save energy and reduce carbon emissions. Tests began back in December 2011 in order to see if the 100% electric vehicle could perform in real-life situations. 

Hideto Murakami, corporate vice president, Nissan Motor Co. Ltd, promised, “the eNV-200 [would] offer all the spaciousness, versatility and practicality of a traditional diesel or gas-powered compact van, but with zero CO2 or other pollutant emissions at the point of use. What’s more, it will provide an outstanding driving experience that is unique to EVs.”

All-electric parcel delivery vans for FedEx Express

By currently operating 130 all-electric vehicles worldwide and more to come in the near future, the courier company, FedEx Express, hopes to decrease its carbon footprint. According to FedEx Express, 80% of its overall goal of increasing the global fleet’s carbon emissions by 20% by 2020 had already been achieved.

Nissan and FedEx have been testing their e-NV200 in London as well as on the roads of Japan and are hoping to expand to Singapore, USA and Brazil by 2013.

Source: news.van.fedex.com

FedEx connects China with Europe via new 777Fs air freight service

FedEx Express has launched a new air freight service connecting the Chinese gateway cities Shanghai and Guangzhou with Frankfurt Airport in Germany. 

The freighters will fly out five times a week, Tuesday to Saturday and enable FedEx customers to import and export goods from China or Europe. According to FedEx, this is the first time that a direct 777Fs flight has been launched from Guangzhou Baiyu International Airport to Europe.

Moreover, customers will be able to ship good quickly and efficiently whilst also benefiting from the large air cargo storage inside the freighters without an extensive use of fuel. Both freighters are said to be highly fuel-efficient with a low carbon offset.

Image c/o logisticsweek.com

China is Europe’s second largest export partner and trading partner as well as the largest import country in Europe. In Q1 of 2012, the trade value was estimated at EUR 105.6 billion. FedEx Express is responding to this growing trend by adding more air freight services to its product range and has recently expanded the Shanghai Gateway.

Source: Analytiqa.com

FedEx Express to add 19 Boeing 767s to its air freight fleet

Image c/o aviationnews.eu

FedEx Express, one of the world largest air freight services providers, is planning on adding 19 B767-300 aircraft, sold by The Boeing Company, to its fleet. This way the company aims to increase its efficiency levels and technology.

“FedEx Express is positioning itself for more profitable growth by modernizing its aircraft fleet and better aligning its U.S. domestic air network to match current and anticipated shipment volumes”, said David J Bronczek, president and chief executive officer, FedEx Express.

Two out of four Boeing 777s will be converted to 767s in 2016, the rest in the following year. The air freight services company currently operates 19 long-range Boing 777s freighters but may increase the fleet to a total of 24 aircraft.

President and CEO Ray Conner explained the decision to purchase further 767s as follows: “FedEx Express is the world’s largest express transportation company. This order of additional 767 Freighters by FedEx reinforces the value of the airplane’s capabilities in the market today and tomorrow.” 

Apart from improvements in shipment volumes, FedEx Express also hopes that its latest purchase will help to reduce its operating cost by 20 percent whilst increasing its fuel efficiency by at least 30 percent.

Source: FedEx Express

FedEx Express Taiwan shipments now subject to late cut-off times

Starting this month, FedEx Express customers shipping goods from Taiwan to Europe or Africa can now benefit from extended delivery cut-off times. This affects consignments sent via the FedEx parcel services, FedEx International Priority (IP) and FedEx International Economy (IE).

‪ (Photo credit: Wikipedia)

The courier company hopes that its customers will “enjoy more time to prepare [their] shipments.” Michael Chu, FedEx Taiwan managing director, confirmed that 

“despite a challenging economic environment in Europe, Taiwan remains a strong trading partner with the EU and trade between the two markets in 2011 climbed more than 10% year-on-year.”

Last year US$2.9 million worth of goods alone were shipped from Taiwan to Africa and Europe positions itself amongst the Taiwan’s top 5 largest business partners.

Source: FedEx Express Taiwan, Post & Parcel

FedEx and Vital Voices team up to help empower women in Latin America

FedEx Express and Hillary Clinton's NGO, Vital Voices Global Partnership, have formed the alliance, "FedEx & Vital Voices Building the Future: Educating Women, Harnessing Potential", in order to support businesswomen in Latin America. 

Logo c/o vitalvoices.org

The alliance aims at empowering female business owners and entrepreneurs. Vital Voices and FedEx Express will offer business education and training including workshops where women can acquire and expand on their technical and soft skills. Beyond that, seminars will cover essential business topics such as export, business English, HR practises, marketing and technology.

Juan N. Cento, president for FedEx Express, Latin American and Caribbean Division, emphasised the importance of the private sector as well as the importance of supplying female business leaders with educational resources.

"[W]e believe that providing these women with access to education and resources they need to compete in the global marketplace is key to the long-tem prosperity of the region."

The results of a recently published survey about occupation and employment in Mexico, showed a rise in the number of female business executives and owners by 38.9% in 2011. Moreover, the 2020 Secarios Research Report expects Brazil's female workforce including businesswomen with their own staff to grow from 24% to 42% by 2020.

"This alliance will expand access to education and needs-based training for members of the Latin America and the Caribbean Businesswomen's Network, enhancing their ability to lead their companies and communities forward", said Alyse Nelson, president and chief executive officer of Vital Voices.

FedEx Express as well as Vital Voices will provide women with access to their capacity-building initiatives throughout the Latin American region. 

Source: FedEx Express

FedEx Express takes over French express transportation company TATEX

Last week, the international courier, FedEx Express confirmed that it will acquire the French express transportation company, TATEX. FedEx Express had announced initial plans back in April.

Six days ago, the following statement by Fredrick W. Smith, chairman, president and chief executive officer of FedEx Corp., was published:

“The TATEX business complements FedEx existing operations in the French market, and will enable the company to provide additional local services in one of Europe’s largest geographies, to its customers around the world.”

Over the last 38 years, TATEX was able to form a nationwide network consisting of a hub at Lieusaint near Paris delivering parcel to 35 shipping centres all over France.

Following the purchase of the Polish courier company, Opek Sp.z.o.o., FedEx Express hopes that this acquisition will contribute to the its organic growth and benefit future expansion plans for the European market.

Source: FedEx

FedEx and NFWF donate grants to support environmental sustainability

Once again the FedEx Corp. has supported environmental projects. Together with the National Fish and Wildlife Foundation (NFWF), FedEx is going to give grants worth $400,000 in total to local non-profit organisations across 14 major U.S. cities.

The world’s largest express courier service operator has agreed to hand out grants worth $12,000 to $40,000 for each of the 15 chosen projects in order to maximise its philanthropic volunteer resources.

Mitch Jackson, FedEx vice president, environmental affairs and sustainability, said that

“working alongside NFWF in the vital task of urban ecological preservation and restoration provides a unique opportunity  for FedEx team members to play an active role in addressing these challenges and improving the communities where they live and work.”

Not only will the express courier offer its financial support to these thriving, eco-conscious organisation but its own team members will be working actively alongside NFWF grant recipients. Together they will plant trees, clear invasive plants and restore waterfronts.

You can find a detailed description of three of the 15 awarded environmental projects attached below.

1) Philadelphia

The Partnership for Delaware Estuary Inc. has been awarded a $26,173 grant by the NFWF and FedEx Corp. Volunteers and students will plant treed in an on-campus rain garden at a public school. This will help with the improvement of outdoor activities as well as better the health of local rivers such as the Wissahickon Creek, Delaware and Schuylkill River.

2) Pittsburgh

The South Side Trail is a very popular walking, jogging and cycling path. With the help of FedEx Corp. and NFWF the Tree Pittsburgh initiative has been granted $12,610 to plant 400 trees along this beautiful path to make it even more enjoyable and environmentally sustainable. 

3) Washington, D.C.

In order to protect the native Anacostia River, volunteers and students will clean the water and recover shores by clearing the site from rubbish and transplanting the aquatic plant, Nuphar. To finance the Anacostia Watershed project, FedEx has donated $25,000.

For more information please visit news.van.fedex.com.

Polish courier company Opek soon to be part of FedEx Express

The world’s largest express transportation company, FedEx Express, recently acquired the Polish courier service, Opek Sp.z.o.o.

Founded in 1994, Opek has delivered parcels in Poland for over 28 years whilst also establishing a huge network covering the majority of the country. The Polish courier company currently operates 44 stations in Poland whilst working together with 1,300 drivers and 1,200 employees. 

Image c/o Opek.com.pl

FedEx’ recent acquisition is going to add an estimated $70 million to its total annual revenue. Frederick W. Smith, chairman, president and chief executive officer of FedEx Corp. talked about the courier company’s aims to have a “strong leadership and management and dedicated team members” enabling FedEx Express' success in the European market. 

In 1989, FedEx first entered the Polish market. Following its new flight connection between Warsaw and Paris, FedEx opened its branches offering parcel deliveries to and from Poland at Katowice and Warsaw Airport a year later.

Gerald P. Leary, president of FedEx Europe, Middle East, Indian Subcontinent and Africa stated that the acquisition of Opek “represent[ed] a strategic fit with a common commitment to enhance the service [they could] offer Polish businesses, invest in [their] people and positively impact [their] communities as good corporate citizens.”

“We know that our employees and couriers will be proud to be part of the team at FedEx, which is one of the world’s most admired companies and is also known as a great place to work”, said Marek Opinski, general director of Opek.

FedEx' current Polish team consists of approximately 120 employees.

Source: FedEx Express

FedEx Express to fly Chinese Pandas to France

Image c/o FedEx Express

Today, the French ZooParc de Beauval and the logistics & express parcel company, FedEx Express, published an official statement about the upcoming loan of Chinese giant panda couple. 

FedEx Express agreed to fly three-year-old Huan Huan (female) and her male partner Yuan Zi (same age) from Chengdu Airport to Roissy-Charles de Gaulle Airport using their latest FedEx Panda Express. The flight is scheduled to be non-stop and will be carried out with a custom-built Boeing 777F. 

Gerald P. Leary, President of FedEx Express, Europe, Middle East, Indian Subcontinent and Africa, said that FedEx was “honoured to lend [its] expertise and capabilities in welcoming the arrival of the pandas to France.” 

According to the express parcel provider, the Boing 777F is highly fuel-efficient. The plane has also been described as the world’s largest twin-engine cargo aircraft. After the latest Panda arrival in Edinburgh Zoo back in January 2011, the Panda Express is going to fly out once again.

"With the arrival of the giant pandas, ZooParc de Beauval has further cemented its role in the future conservation of one of the world's most endangered species. This is the beginning of a fruitful, long-term partnership and cooperation which will drive research and conservation programs between Beauval and the Chengdu panda base," confirmed Rodolphe Delord, Chief Executive ZooParc de Beauval.

The public is going to be excluded from the departure and arrival of the FedEx Panda Express due to reasons of security. 

**Transglobal Express offers a variety of highly discounted FedEx express parcel services to a variety of international destinations. 

Source: FedEx Express