UPS to benefit from opportunity in intra-Asia trade

UPS sees immense opportunity in intra-Asia trade and aims to help small businesses in the region with its supply chain services. A recent study published on intra-Asia trade provides insights into the needs of regional businesses which it can use to help its customers plan better. “As the world’s largest package delivery company, it’s our job to help simplify the move into international trade for small business so they can capitalise on this opportunity while also staying focused on building a healthy, profitable business,” said UPS. “By helping more businesses succeed in international trade, we hope to create an ecosystem of opportunity, profitability and growth in the long term.” Released last year, UPS’ ‘Clearing the Runway for Intra-Asia Trade’ study found the value of Singapore’s trade with 11 other major Asian markets could grow by over 50% to $13.5trn by 2030, and small business play a significant part in this.
Across the 12 markets, the four segments driving the surge in intra-Asia trade are retail, industrial manufacturing and automotive (IM&A), high-tech, and healthcare, found the study.
These segments accounted for 76% of Singapore’s trade with the rest of Asia, and 75% of total intra-Asia trade in 2020.

However, UPS said multi-stakeholder action is required to tackle the impact of geopolitical tensions and restrictive trade policies across Asia – including tariffs and other punitive measures – that could impact its long-term trade prospects.

UPS said three key actions that can be taken include digitalising completely, diversifying supply chains and promoting the integration of MSMEs (micro-, small-, and medium-sized enterprises) into regional supply chains.

The findings of the study also support UPS’ efforts to work with government on facilitating trade, the company said.

“The findings also provide us with additional insight on how we can support the industry via policies that make trade more accessible. We’ll continue to work with partners and policymakers to create a robust and resilient logistics sector that delivers for businesses, the economy, and the consumers.”