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UPS Expands Operations at Clark International Airport: Signs Strategic Partnership Agreement with LIPAD 

CLARK, Philippines, March 21, 2024 – Luzon International Premiere Airport Development Corp (LIPAD), operator of the Clark International Airport (CRK) announces the expansion of the operations of Global logistics leader UPS (NYSE: UPS) at CRK. 

The move will allow UPS to strengthen its portfolio of integrated express, supply chain and healthcare logistics services. This has taken the value of its investment commitments in Asia Pacific to over $250M since the start of 2023. 

“We have been doing business in our Philippines hub for more than 25 years, helping to connect businesses to markets in Asia Pacific and beyond. The investments UPS continues to make through this expansion will enhance time in transit across Asia Pacific and continue to deliver service reliability for our customers and position UPS for long term growth,” explains Wilfredo Ramos, president, UPS Asia Pacific. 

“The collaboration between UPS and LIPAD marks a major achievement in positioning Clark as a premier logistics hub for international brands seeking to launch or grow their global presence, “said Noel Manankil, LIPAD President and CEO. 

According to Mr. Manankil, “This expansion is part of the efforts of LIPAD in project land development, as stipulated in its concession agreement with the Bases Conversion and Development Authority (BCDA).” 

Construction of the new Clark hub is set to begin in February 2025, and it is expected to be operational in late 2026. 

LIPAD Chairperson Josephine Gotianun-Yap says, “UPS’s expansion in Clark will bring positive changes to Pampanga, providing job opportunities for the local community and serving as an economic stimulus in the region.” 

The agreement is the latest in a series of recent network and facility enhancements UPS has made across Asia Pacific including in Singapore, Japan, China, Vietnam, South Korea, Taiwan, and most recently Hong Kong, where UPS announced it will open a new state-of-the-art facility in 2028. 

“Asia Pacific continues to be one of UPS’s fastest growing regions. UPS has continued to invest in our network to maximize speed and flexibility, build solutions addressing the shift of global trade lanes, and offer resilience for our customers,” Ramos added. 

Since 2022, UPS has also invested intensively in its Healthcare business introducing UPS Premier – which provides priority handling for time- and temperature-sensitive, and patient-critical products – in nine markets across the Asia Pacific region. In 2023, the company added over 22,000 square meters of cold chain enabled handling, storage and distribution space via new healthcare facilities in Singapore and Australia. An additional 12,000 square meters is planned for 2024.

The Luzon International Premiere Airport Development Corp. or LIPAD is a multi-sectoral consortium composed of Filinvest Development Corporation (FDC), JG Summit Holdings Inc. (JGSHI), the Philippine Airport Ground Support Solutions Inc. (PAGSSI) and Changi Airports Philippines (I) Pte. Ltd., a wholly owned subsidiary of Changi Airports International (CAI). LIPAD was awarded the operations and maintenance contract for Clark International Airport (CRK) in 2018, with the mission of elevating CRK into a premier aviation hub, offering excellent facilities, and services for travelers.

In 2022, LIPAD opened Clark International Airport’s new terminal to the public, and all international and domestic flights from Clark International Airport were transferred to the new terminal. With an annual capacity of 8 million passengers, CRK serves as an alternate entry point to the Philippines and alleviates congestion at Manila’s primary airport. The airport’s strategic location and ongoing developments to further improve efficiency aim to meet the rising aviation needs in the region and contribute to the country’s economic progress.