LOGISTICS firm United Parcel Service (UPS) has signed a strategic partnership with Luzon International Premiere Airport Development Corp. (Lipad), operator of the Clark International Airport, for the construction of a new hub that is expected to boost its presence in the region.

"We have been doing business in our Philippines hub for more than 25 years, helping to connect businesses to markets in Asia-Pacific and beyond," UPS Asia-Pacific President Wilfredo Ramos said.

"The investments UPS continues to make through this expansion will enhance time in transit across Asia-Pacific and continue to deliver service reliability for our customers and position UPS for long-term growth," he added.

Noel Manankil, Lipad president and chief executive, said the collaboration positioned Clark as a premier logistics hub for international brands seeking to launch or grow their global presence.

"This expansion is part of the efforts of [Lipad] in project land development, as stipulated in its concession agreement with the Bases Conversion and Development Authority," he added.

Construction of the new Clark hub is set to begin in February 2025, and it is expected to be operational in late 2026.

Lipad Chairman Josephine Gotianun-Yap said, "UPS's expansion in Clark will bring positive changes to Pampanga, providing job opportunities for the local community and serving as an economic stimulus in the region."

The agreement is the latest in a series of recent network and facility enhancements UPS has made across Asia-Pacific, including in Singapore, Japan, China, Vietnam, South Korea, Taiwan, and most recently Hong Kong, where UPS said that it would open a new state-of-the-art facility in 2028.

"Asia-Pacific continues to be one of UPS's fastest-growing regions. UPS has continued to invest in our network to maximize speed and flexibility, build solutions addressing the shift of global trade lanes, and offer resilience for our customers," Ramos said.