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President Marcos unveils new $80-M UPS hub at Clark Airport

The President hailed UPS’ new expanded logistics hub in as a sign of private sector investors’ confidence in the Philippines as a strategic investment destination.

President Marcos unveils new $80-M UPS hub at Clark Airport

PRESIDENT Ferdinand R. Marcos, Jr. was in Pampanga yesterday for the grand opening of the new expanded UPS Logistics Hub, 15 times larger than the previous facility, at the Clark International Air Base which spans parts of Angeles and Mabalacat cities.

Photograph by Raffy Ayeng for DAILY TRIBUNE

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A total of 600 Cabalens have been hired in the newly opened $80-million United Parcel Service (UPS) Clark International Air Hub in Clark, Pampanga, hailed by President Ferdinand Marcos Jr. as a major investment expected to strengthen the country’s logistics network, speed up the delivery of goods, and connect more Filipino businesses to global markets.

In his speech during the inauguration of UPS’ new hub, President Marcos welcomed the investment as a sign of the private sector’s confidence in the Philippines as a strategic investment destination.

Philippines as strategic investment destination

“We deeply appreciate UPS for recognizing the Philippines as a strategic investment destination, as demonstrated by its long-standing presence in our country,” the President said.

The new 30,000-square-meter facility is more than 15 times the size of UPS’ previous hub at Clark International Airport, which began operations in 2002.

With the expansion, the facility can process up to 15,000 packages per hour and is expected to handle around 46,000 packages and cargo shipments daily, more than nine times the estimated volume handled by the former hub.

UPS currently operates 170 weekly flights to and from Clark, serving businesses across the Asia-Pacific region, India, Europe and the United States.

Upgraded facility

The upgraded facility will also support access to more than 1,100 trade lanes worldwide and create nearly 600 jobs.

The President said the facility’s dedicated immigration and customs lanes will help speed up cargo clearance and improve delivery efficiency.

Also highlighted by the President was the latest innovation in the hub called UPS Premier, a specialized logistics service designed to support the safe and timely transport of critical medical supplies, vaccines, and other time- and temperature-sensitive shipments.

The new hub is expected to operate 17 electric ground service vehicles and equipment units, with nine additional units scheduled for delivery next year to support more efficient and environmentally sustainable operations.

Important development for Clark

President Marcos said the facility’s completion marks an important development for Clark, creating more employment and business opportunities outside Metro Manila.

Meanwhile, Russell Reed, managing director of UPS Philippines, said, “This is a very special moment for our customers and our company. He noted that the company’s first Clark hub opened in 2002.

The new hub includes specialized facilities for healthcare, high-tech and manufacturing shipments, including three refrigeration and freezer units operating between -20 and 25 degrees Celsius. UPS Premier radio-frequency identification technology provides priority handling and shipment visibility for critical healthcare deliveries.

The facility also features automated sorting technology capable of processing up to 9,000 small packages per hour and electric ground-service equipment for ramp operations.

Part of a broader strategy

Bernard Jiang, president of UPS Asia Pacific, said the investment forms part of a broader strategy to improve regional connectivity and supply-chain resilience amid changing trade routes and regulations.

The Clark opening follows recent UPS investments in Taiwan, Hong Kong and South Korea as the company continues expanding its Asia Pacific logistics network.

During his visit to Clark to unveil the new expanded UPS hub yesterday, the President also noted the need to ensure major investments are completed on schedule so businesses and communities can feel the benefits.

Report on unfinished projects

To help ensure that other investments in Clark are completed on time, President Marcos said he has directed the Bases Conversion and Development Authority and the Department of Trade and Industry to submit a report on unfinished investment projects, including their target opening dates.

He said his administration is also pursuing the proposed Subic-Clark-Manila-Batangas Railway, which aims to link major ports through an integrated freight network.

Meanwhile, the DTI has established the Supply Chain and Logistics Center to help businesses access information on suppliers and logistics service providers.

President Marcos said improving the movement of goods is particularly important as the country prepares for the possible effects of Super El Niño, which could disrupt food supplies and put additional pressure on prices.

“As we prepare for the effects of Super El Niño, our synergistic efforts become even more vital. By promoting the timely movement of food and other basic commodities, we can help prevent supply disruptions, ease pressure on prices, and ensure that necessities remain accessible to Filipino households,” the President said.