DHL Expects 13 Percent Growth In Asian Operations in 2008

September 9, 2008 8:25 a.m. EST

Hong Kong (AHN) - DHL Express expects to grow its Asian business by 13 percent this year, while it expects slower business in the U.S., Europe and Japan.

The bright forecast is due to its healthy document and package delivery operations in Asia, particularly in China. The 13 percent growth, however, is below the 17 percent average annual increase the courier unit of Deutsche Post registered in the Asia-Pacific region from 2000 to 2007.

Daniel McHugh, chief executive officer of DHL Express for the Asia-Pacific region, said the U.S. market accounts for only 15 percent of its revenue. "We have, frankly, a lot more balls in play for us... And that kind of evens out the downsides of one country - albeit the largest one - going into a downturn," McHugh told the Wall Street Journal.

The northern Pacific nations, including China, accounts for 21 percent of DHL Express' income by volume. McHugh said it is expected to go up to not less than 33 percent within the next five to seven years.