ZTO Express begins testing Chengdu hub

ZTO Express has begun trial operations at its new Chengdu sorting hub, as it prepares for the spike in deliveries coming on Single’s Day.

The new parcel sorting hub will be the largest that ZTO runs in Western China in terms of parcel volume capacity.

The ZTO hub in the Longquanyi District of Chengdu, has a number of technologies that were developed in-house, including cross-belt sorting systems that will enable the delivery giant to sort more than 5 million parcels per day.

ZTO released a statement that says it has invested nearly US$60 million in the construction of the site. Full operations are expected to begin in October ahead of the Single’s Day spike. The hub was built with a view to handle the spike in volume when nationally it is expected that a billion parcels will be sent across China.

Meisong Lai , Chairman and Chief Executive Officer of ZTO, commented: “The launch of trial operations at our largest sorting hub in Western China is critical to meeting the surge in parcels that we expect to see during the most important day in China’s e-commerce market.

“Our in-house developed cross-belt sorting systems significantly improve sorting efficiency allowing us to further reduce unit logistics costs, improve customer service and strengthen brand loyalty. We will continue to invest in expanding our network and developing tools to improve efficiency as we work to create greater shareholder value.”

Single’s Day is the shopping equivalent of the West’s Christmas and Black Friday combined. As with the West, logistics companies are gearing up capacity in anticipation.  
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