Incheon International Airport Elevates Logistics Services for Symbiotic Growth
Incheon International Airport Elevates Logistics Services for Symbiotic Growth
  • Lee Jun-sung
  • 승인 2023.09.18 11:04
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Streamlined Logistics: Incheon Airport's Free Trade Zone Offers Competitive Advantages
Incheon International Airport Cargo Terminal / Courtesy of Incheon International Airport

Incheon International Airport is taking strategic steps to enhance its logistics services and promote mutual growth with its customers in the rapidly evolving logistics landscape, characterized by advanced systems and global e-commerce. The airport's primary focus is on ensuring customer satisfaction through various strategies centered around symbiotic growth.

 

Improving Customer Convenience with Comprehensive Infrastructure

Incheon International Airport's Free Trade Zone encompasses a logistical complex and cargo terminal area, offering customers a competitive edge through streamlined customs procedures and attractive incentives, such as duty-free benefits. Tenants can take advantage of flexible manufacturing and trade activities, affordable rental rates, and simplified customs duties. These interconnected facilities eliminate the need for multiple transportation steps, promoting value-added logistics operations that align with the demands of the global business environment.

The airport currently boasts an extensive logistics hub, including eight cargo buildings, three warehouses, four special facilities, and two bonded areas. Furthermore, Incheon International Airport is at the forefront of innovation in cargo terminals and autonomous towing technologies, aiming to further streamline operations and enhance efficiency. 

These developments are intended to elevate the quality of logistics services. By incorporating AI and robotics, the airport is actively reducing costs and processing times in cargo handling, resulting in a significant boost in productivity. Additionally, it is establishing ground operation protocols and driving the digital transformation of the air cargo industry.

Moreover, the airport is working on expanding transportation options, such as integrating new bus routes, to ensure convenient and efficient access to the logistics complex for clients.

 

Collaborative Marketing Initiatives with Clients

Incheon International Airport is intensifying its collaborative marketing efforts to support the activities of client companies. An exemplary initiative was the 'Joint Information Session to Boost Air Cargo Volume in the Vietnam Region,' conducted in collaboration with Jeju Air from May 31st to June 1st in Vietnam. The goal was to increase air freight traffic by engaging local logistics professionals.

This two-day event, a part of the 'Air Cargo Incentive Program,' attracted approximately 61 Vietnamese logistics companies and 150 representatives. Building on this success, the airport has plans to collaborate with FedEx for a briefing later this year and launch online campaigns in partnership with China Airlines and UPS. These efforts aim to expand partnerships and maintain continuous dialogue with a broader client base.

 

President Lee Hak-jae of Incheon International Airport Corporation / Courtesy of Incheon International Airport

Efforts to Increase Cargo Traffic Through Tailored Support for Emerging Growth Sectors

Incheon International Airport is proactively boosting cargo traffic by focusing on industries experiencing new growth, with the aim of increasing cargo volumes. The airport holds CEIV certification in perishable goods, pharmaceuticals, and lithium batteries, solidifying its position as a global leader. It is forging partnerships and gaining insights into customer needs to provide targeted support.

Current collaborations in the perishable goods sector involve organizations like the Korea Agro-Fisheries & Food Trade Corporation (aT) and the Korea Trade-Investment Promotion Agency (KOTRA). Simultaneously, partnerships with major companies such as Celltrion and Samsung Biologics are enhancing pharmaceutical logistics, with plans to collaborate with KoBIA (Korea Biomedicine Industry Association) in the pipeline.

Furthermore, the airport is ramping up promotional activities across various sectors, utilizing both online and offline channels to build global customer trust and steadily increase cargo traffic in these burgeoning sectors.

 

Partnerships with Global Logistics Companies

Incheon International Airport is strengthening its infrastructure by collaborating with global logistics leaders to foster mutual growth. Recently, the airport deepened its partnership with FedEx, a global leader in air cargo handling.

During a recent visit, FedEx President Richard Smith expressed significant interest in the high-quality air logistics facilities and services at Incheon International Airport. Discussions revolved around using the airport as a central hub to expand FedEx's business in the Asia-Pacific region, potentially increasing air cargo demands.

Additionally, the FedEx team explored the newly established FedEx cargo terminal, which was inaugurated in October 2022 through a 94 billion KRW collaborative project using the BTS (Build-to-Suit) model. This terminal is now operational, with FedEx as the lessee.

The DHL cargo terminal at the airport, operational since 2007, recently expanded its footprint to 58,000 square meters, tripling its original size. This expansion, featuring modern logistics systems, has significantly reduced cargo handling times, increasing hourly processing capacity from 8,100 to over 20,000 units, promising a considerable boost in cargo throughput at the airport.

Lee Hak-Jae, the president of Incheon International Airport, stressed, “Incheon International Airport is committed to ongoing partnerships with global logistics firms to enhance infrastructure and solidfy its position as a key logistics hub in Northeast Asia.”


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