China's express parcel volume expected to hit 142.5 bln in 2024

The business volume and revenue of China's courier industry is expected to reach 142.5 billion parcels and 1.3 trillion yuan ($182.8 billion) in 2024, up by about 8 percent year on year, respectively, according to Zhao Chongjiu, head of the State Post Bureau (SPB).

Last year, the sector set new records in both business volume and revenue, which hit 132 billion parcels and 1.2 trillion yuan, a year-on-year increase of 19.5 percent and 14.5 percent, respectively, Zhao added.

This aerial photo taken on Nov. 8, 2023 shows robots sorting and conveying parcels at an intelligent logistics center in Deqing County, east China's Zhejiang Province. (Photo by Ni Lifang/Xinhua)

China will continue to improve its express delivery network infrastructure. In 2024, the country will implement a program to boost the capacity of postal express-delivery hubs, and accelerate the implementation of major postal projects and express infrastructure construction. It will also enhance cargo transport capabilities by air and land, and encourage the use of high-speed trains for parcel delivery, and the promotion of multimode transportation.

China will improve parcel delivery networks. The SPB will enhance the coverage of integrated delivery logistics service stations at the village level to help boost rural revitalization across the board. It will vigorously advance the program of encouraging courier companies to set up service stations in factories for more demonstration courier-manufacturing collaboration projects in terms of smart warehousing and supply chain management.

In terms of the global development of the courier sector, China will upgrade a batch of international postal delivery centers. It will also encourage express delivery firms to open more international air routes and expand their fleets, accelerate the construction of overseas distribution centers, ground networks and overseas warehouses to continuously improve the international parcel delivery networks.

"The strong transportation infrastructure and delivery capability lay the foundation for the courier industry to ensure better connectivity. Changes in domestic and overseas consumption patterns provide broader development opportunities for the sector. The rise of new e-commerce models brings new growth impetus to the industry," Zhao said.

The official added that the country's courier sector will move towards accelerating high-quality development.

In the past year, China continuously improved the overall performance of infrastructure facilities in the courier industry.

The use of high-capacity cargo vehicles and the opening of several international air routes boosted the capability to handle parcels. For instance, the Ezhou Huahu Airport, a cargo-focused airport mainly invested by China's leading courier enterprise SF Express in central China's Hubei Province, had launched 45 domestic air cargo routes and 10 international ones as of December 2023, with the yearly throughput exceeding 200,000 tonnes.

Construction has also begun on a freight air hub mainly invested by Chinese leading express firm YTO Express, which is expected to be put into use in 2025.

In the past year, parcel delivery networks in border areas were improved, with all 3,356 border villages being covered by postal services.

"Last year, China accelerated the construction of the rural postal and express delivery system, with the system's capacity to serve industrial and supply chains being further strengthened. The country also improved the international delivery system and its ability to ensure smooth circulation," Zhao said.

By 2023, China had built 1,267 county-level delivery and distribution centers, 289,000 village-level integrated delivery logistics service stations, and 190,000 village mail stations. The combined courier-postal services had been available to over 70 percent of administrative villages across the country.

So far, over 1,900 courier-manufacturing collaboration projects with an annual revenue of over 1 million yuan have been launched across China.

A total of 312 overseas distribution centers and over 300 overseas warehouses have been established to promote the courier industry's expansion internationally.