Canadian Shipper

News

Chinese logistics firm to build hub at EIA, boosting North America-China trade


Edmonton, AB — EHL International Logistics Co. and Edmonton International Airport (EIA) signed an agreement on Nov. 9, 2018 in Shanghai, China, making the airport EHL’s new North American logistics consolidation centre for goods, including e-commerce, moving between China and North America. The deal will generate many new jobs for the Edmonton Metro Region and significantly increase real-time access to global markets for small- and medium-size businesses across the region, Alberta and Canada.

EHL, a subsidiary of the Henan Provincial Government, will operate its North American flights from Zhengzhou, Henan to Edmonton, and continue to the US mainland. Trial 747-400 flights through Edmonton are already underway, in preparation for an expanded freighter schedule.

“Henan is a key link to China’s Belt and Road Initiative, and EHL is committed to develop trade links between China, Canada, and USA through our distribution centre in Edmonton,” said Ziqiang Ma, EHL President. “We chose Edmonton because of the ideal location, logistics infrastructure and strong partnerships with EIA and Maple Horizons. We believe that through this, we can increase trade and cooperation between China and North America. EHL is grateful for the partnership with Edmonton International Airport and Maple Horizons, and the support of the municipal governments of Zhengzhou and Edmonton, the provincial governments of Henan and Alberta.”

“We welcome EHL to EIA’s Airport City and the new construction investment, jobs and trade opportunities it brings to the Edmonton Metro Region and Alberta,” said Tom Ruth, EIA President and CEO. “This significant agreement builds from EIA’s strong track record of driving successful trade and commerce between China and North America, solidifying EIA as a major international trade hub.”

The city of Zhengzhou is the provincial capital of Henan Province. Henan Province is the State Government of China’s pilot zone for cross border e-commerce. Over 70 per cent of China’s air-cargo perishables move through the province of over 100 million people. Zhengzhou is located within two hours of one billion people.

EIA’s partners Edmonton Global, Western Economic Diversification, the Government of Alberta (Economic Development and Trade) and Airport Accord partners – the City of Edmonton, Leduc County and the City of Leduc – have been actively developing EIA as a leading North American transportation and logistics hub for the movement of e-commerce and other goods to and from China. One of EIA’s many advantages for this type of business is its Foreign Trade Zone designation, which reduces trade barriers and enhances access to Canadian markets.

Key sectors set to benefit from the EHL-EIA partnership are agri-food and manufacturing. Maple Horizons is a successful Canadian company active in the cross-border e-commerce market in China and has acted as a critical catalyst for the partnership.

For small- and medium-sized companies, like Maple Horizons, the hub at EIA will accelerate access to and from China-Canada markets through global e-commerce.

“Edmonton is the ideal location for expanding air cargo business between China and North America due to its geography, local expertise in transportation and logistics, and government leadership,” said William Wang, Maple Horizons President. “The city is one of the best places to do business in Canada, and is a strong base for e-commerce distribution across North America. We are excited to partner with EIA and EHL to build the China-Canada logistics solutions of tomorrow.”