As part of its rapid expansion in China, UPS has successfully bid to become the official Logistics and Express Delivery Sponsor of the Beijing 2008 Olympic Games. UPS will provide logistics consultation and management to The Beijing Organizing Committee, helping the group develop and execute the logistics operating plan for the 2008 Games. UPS also will provide express delivery services to venues during the Games.

The announcement came just two weeks after UPS announced it would set up a logistics distribution center in China and offer express package service across much of that nation by September. UPS and FedEx continue to fight for market share in the developing China market. A day before the UPS announcement regarding its new DC, FedEx said it was in the process of signing an agreement to establish its first transport hub in China at the Guangzhou Baiyun Airport. "Our goal is to be the leading global package delivery and logistics company to, from and within China," says David Abney, president, UPS International. "This sponsorship is another important step in strengthening our brand presence in one of the fastest-growing markets in the world."

Earlier this year UPS opened three new DCs in China and said that it plans to open another 20 facilities there over the next two years. Also this year, UPS won permission from the U.S. Department of Transportation to expand air operations in China and was granted three more air routes there. In the last year, the carrier has expanded its service to 18 weekly jet flights to and from China.