FedEx has signed a Memorandum of Understanding (MoU) with the Hong Kong Customs and Excise Department (C&ED) on the Cross-boundary Express Cargo Clearance Facilitation Arrangement (CEFA), becoming the first company to join the initiative.
CEFA aims to increase customs clearance efficiency for cross-border shipments from mainland China to Hong Kong.
FedEx said under the MoU, C&ED will provide customs clearance at one of FedEx stations in downtown Hong Kong for inbound shipments from mainland China.
The announcement added that the arrangement applies to shipments currently transported through FedEx cross-border trucks equipped with an electronic lock (e-lock) and Global Positioning System (GPS) from the FedEx APAC Hub in Guangzhou to Hong Kong.
[Source: FedEx]
"By joining CEFA, FedEx benefits from stable and efficient customs clearance," the logistics giant said.
It added that these shipments, delivered from APAC and Europe through the company's flight network at its APAC Hub, will now be transported directly to FedEx stations instead of waiting for inspection at the Shenzhen Bay Control Point.
The C&ED will also sort and examine constrained shipments at a designated clearance area at one of the FedEx stations.
"We are excited to sign the MoU with Hong Kong C&ED to join CEFA and deepen our partnership with Hong Kong Customs by implementing an innovative customs clearance process," said Anthony Leung, managing director of FedEx Hong Kong and Macau.
He added that FedEx operates over 200 cross-border trucks weekly between its APAC Hub in Guangzhou and Hong Kong.
"This strategic partnership enhances customs clearance efficiency for inbound shipments from mainland China, APAC, and Europe and supports our local e-commerce customers who import goods from those markets," Leung said.
"By leveraging our extensive network and customs clearance capabilities, we can provide efficient and flexible services to meet the growing market demands in the city and the Greater Bay Area."
In the Hong Kong 2024 Policy Address announced by the HKSAR government, developing a smart logistics port with upgraded functions has become one of the major focuses in the city.
FedEx said the CEFA then enhances the efficiency of trade and commerce flow between Hong Kong and other cities in the GBA.
Data shows Hong Kong's total merchandise trade with the world amounted to HK$8,822.4 billion in 2023, with mainland China being one of the major trading partners.
Meanwhile, Hong Kong'e e-commerce market revenue is expected to grow at an annual rate of 8.72% through 2029, with the highest revenue generated in Mainland China.
FedEx noted that Hong Kong serves not only as an international trade hub but also as a trading and logistics centre in the Greater Bay Area.
