The Growth of Express Delivery in China
Express delivery refers to a new mode of transportation in which logistics enterprises deliver documents or parcels entrusted by users quickly and safely from the sender’s door to the recipient’s door through their own independent network or through joint venture cooperation. It is
a kind of transportation service usually completed within 48 hours. In January 2018, ten express delivery companies promised that they would not close during the Spring Festival. Well-known express delivery companies in China include EMS, Shunfeng, Zhongtong, Shentong, Yuantong, Yunda, Jingdong, Suning, to list only some of them.
In 2015, the annual business volume of express delivery in China broke through 20 billion items for the first time and continued to rank first in the world. The coverage rate of express delivery service in villages and towns in China has exceeded 70%. In 2016, China’s express delivery business exceeded 30 billion pieces and continued to rank first worldwide. For the promotion project of “express delivery to the countryside”, the coverage rate of express delivery outlets in villages and towns in China increased to 80%. In 2017, the State Post Office issued a report which shows that China’s express business continues to rank first in the world, accounting for more than 40% of the world’s express business and contributing 60% to its growth. In the first three quarters of 2018, 34.74 billion pieces of express business were completed, and the revenue reached 42.63 billion yuan RMB.
EMS: A Pioneer in Chinese Express Delivery
EMS (Express Mail Service) is a kind of express delivery service provided by China Post. It was started in 1980 and delivers to users with high quality international and domestic emergency letters, documents and materials, financial bills, commodities and other documents and objects. EMS enjoys the advantages of broadest express delivery in China at present and delivery to major and medium-sized cities within four days and to counties and townships within five days. It boasts more than 2,000 self-operated networks, reaching anywhere in China. It also features a hand-to-hand express delivery between 100 cities.
In 2003, EMS launched the Shanghai-Osaka independent airline service and the domestic network was extended to foreign countries ever since. The Department of International Cooperation of China Post is responsible for the management of international postal affairs and services. Its international EMS delivery service has covered over 200 countries and regions such as Australia, Hong Kong, Japan, Korea, New Zealand and the United States.
SF Express: A Rising Star in the Industry
SF Express was launched in 1993, providing service between Hong Kong and Guangdong Province. As a Chinese delivery services company based in Shenzhen, SF Express is the second largest express delivery company in China, second only to EMS. With a fleet of 50 cargo aircraft, it provides domestic and international express delivery. SF Express has opened a large number of online shopping service community stores across Chinese provinces. In July 2017 it was listed to begin trading on the Shenzhen Stock Exchange.
In 2016, SF Express achieved over 57.48 billion yuan RMB in revenue, an increase of 21.51% over the same period of last year. In 2017, it realized a business income of over 71.09 billion yuan RMB, an increase of 23.68%.
