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China Airlines, Chunghwa Post and Yang Ming Marine Form Sea-Air-Ground Partnership to Open Up New Opportunities

Published: Dec 29, 2015

China Airlines, Chunghwa Post and YangMing Marine Transport today (12/29) signed a memorandum of understanding (MOU) on a strategic alliance for freight, passenger transport and e-commerce. The alliance will integrate the sea, air and ground resources of the three companies to take advantage of the business opportunities offered by “Freight-to-Post” in the e-commerce market, extend the global reach of customer services and boost the competitiveness of Taiwanese industries.
At the “China Airlines, Chunghwa Post and YangMing Marine MOU Signing Ceremony,” Chairman Huang-Hsiang Sun of China Airlines, Chairman Philip Wen-chyi Ong of Chunghwa Post, and Chairman Frank Lu of YangMing Marine witnessed the signing of the MOU by President Yu-Hern Chang (China Airlines), President Shian-Juh Chen (Chunghwa Post) and President Hua-Ming Yu (YangMing Marine). The three parties will henceforth establish a formal strategic alliance based around the spirit of mutual trust, mutual benefit and mutual support.
Chairman Huang-Hsiang Sun of China Airlines said that the China Airlines Group has a long friendly working relationship with Chunghwa Post and YangMing Marine. Having previously signed a MOU with YangMing Marine on 11/17, the addition of Chunghwa Post in the strategic alliance will be to the benefit of all three signatories. In the future, the three parties will leverage their strengths in sea, air and ground freight to compete for e-commerce opportunities from the Internet. China Airlines’ air freight and YangMing Marine's sea freight will allow logistics to pass through Taiwan on their way to their final destination. The parcel post services of Chunghwa Post can be integrated as well to set up “to door” services. Apart from seizing the initiative on “freight-to-post” for e-commerce, this also represents a market with tremendous future potential.
President Yu-Hern Chang of China Airlines noted that in the future, the three parties will expand their cooperation on logistics operations such as sea-air freight, parcel post, warehousing and delivery services. The integration of resources will enhance the competitiveness of their offerings and boost service quality; in line with the principle of mutual benefit, discounts will be offered to employees from the three companies and improve their employee benefits; cooperation will also be targeted at third-party e-commerce platforms to expand marketing channels.
The China Airlines Group now operates a fleet of 105 aircraft, making it the airline with the most aircraft and most services in Taiwan. For freight services, China Airlines flies to 33 all-cargo destinations and operates 91 cargo flights a week. IATA statistics on international freight volume in 2014 ranked China Airlines 6th in the world. For passenger transport, China Airlines is now in the midst of an aggressive fleet renewal program. In addition to the progressive introduction of 10 777-300ER aircraft on the U.S. and Frankfurt (European) routes, China Airlines will also begin taking delivery of 14 A350-900 XWB passenger aircraft in the third quarter of 2016. These are slated to fly on long-haul routes to Amsterdam, Vienna, Rome, Vancouver and Hawaii. (2015/12/29)