FedEx partners with HK Customs for enhanced cross-border shipment clearance

Policy

Jill Brannon FedEx Executive Leadership Executive Vice President, Chief Sales Officer | FedEx

By Sky Industry News

Dec 12, 2024

Federal Express Corporation, commonly known as FedEx, has announced a significant collaboration with Hong Kong Customs. On December 12, 2024, FedEx became the first company to sign a memorandum of understanding (MOU) under the Cross-boundary Express Clearance Facilitation Arrangement (CEFA). This agreement aims to enhance customs clearance efficiency for cross-border shipments from mainland China to Hong Kong.

The MOU specifies that Hong Kong Customs will provide clearance services at one of FedEx's service stations in urban Hong Kong for imports arriving from mainland China. This arrangement applies to goods transported from the FedEx Guangzhou Asia Pacific Hub using cross-border trucks equipped with electronic locks and GPS.

By joining CEFA, FedEx is set to benefit from stable and efficient customs procedures. Imports arriving via the air network at the Asia Pacific region and Europe can be directly transported to a designated FedEx service station without waiting for clearance checks at the Shenzhen Bay Control Point. For regulated goods, classification inspections will occur at a specific location within one of the FedEx service stations.

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FedEx Hong Kong and Macau Managing Director Anthony Leung expressed satisfaction with this development: "We are pleased to sign this memorandum of understanding on 'Cross-boundary Express Clearance Facilitation Arrangement' with Hong Kong Customs. By implementing an innovative clearance model, we strengthen our partnership with them."

Leung further noted that more than 200 cross-border trucks currently operate weekly between Hong Kong and the Guangzhou Asia Pacific Hub. He emphasized that this strategic cooperation improves import freight clearance efficiency in both Asia-Pacific and European markets while supporting local e-commerce customers importing goods from these regions.

In line with the city’s development plans outlined in the 2024 Policy Address by the Hong Kong government, upgrading smart port functionalities is crucial. The CEFA aims to boost trade efficiency between Hong Kong and other cities in the Greater Bay Area.

According to global data from 2023, total merchandise trade value in Hong Kong reached HKD 8,822.4 billion, with mainland China being a major trading partner. Additionally, revenue in Hong Kong's e-commerce market is expected to grow annually by 8.72% until 2029.

FedEx has been committed to collaborating with Hong Kong Customs over time to improve customs efficiency since receiving Tier Two certification as an "Authorized Economic Operator" (AEO) back in 2014; it has also consistently won awards recognizing its contribution toward their efforts each year thereafter.