DHL-Sinotrans, the leading express company in China, has announced that its US$200 million China investment program, unveiled in 2003, is on track.

Following the opening and upgrading of nine facilities in major cities like Beijing, Shanghai and Guangzhou in 2004, DHL–Sinotrans has successfully upgraded another five service centers in the first half of 2005. The upgraded facilities have seen a remarkable improvement in terms of size of building, number of courier vans and shipment handling efficiency.

The service centers upgraded in 2005 are located in Qingdao, Shanghai, Suzhou, Hefei and Xiamen. As a result of the facility upgrading, the total space of the five service centers has expanded by 140 percent, with 40 courier vans added; and the daily inbound/outbound shipments have almost doubled.

DHL-Sinotrans currently boasts 56 branches in China, with its services covering 318 major cities, allowing its air express services network an unrivaled advantage in China. As the company further unfolds its 5-year investment program, DHL-Sinotrans will further consolidate its network advantage, enhance its operational capacities, and facilitate China’s booming foreign trade through world-class services.

Wu Dongming, Managing Director of DHL-Sinotrans, said, “DHL has always attached great importance to the Chinese market. Its joint venture, DHL-Sinotrans, maintained a 35 to 45 percent annual growth in recent years, and the growth hit 50 to 60 percent in 2004. The US$200 million 5-year investment program unveiled in 2003 will provide DHL-Sinotrans with a strong guarantee in strengthening leadership, enhancing operational capacities and improving service quality. DHL-Sinotrans will systematically implement the program in order to provide better services to our customers in China.”

These upgrades represent DHL-Sinotrans’ responses to the growing demands for world-class express service in these markets. With its 5 year investment plan on track, DHL-Sinotrans will further enhance its operation capacity, meeting the increasingly critical and sophisticated customer demands.

A multitude of foreign-owned companies are now investing heavily in China as it is now the second largest economic market in Asia. DHL has long recognized the enormous business potential of China, and has constantly scaled up its investment in this market. DHL has an extensive history in China. It was the first foreign express company to enter China as early as 1986, when it set up a joint venture with Sinotrans.