Increased demand for air services has compelled UPS to order 14 Boeing 747-8 cargo jets and four Boeing 767 aircraft, which are expected to be delivered by the end of 2022, the company announced on Thursday.
UPS ordered also 14 Boeing 747-8 freighters in 2016. Combined, the 32 new jets will increase UPS air cargo capacity by more than 9 million pounds. The company also added three new 747-8 freighters to its fleet in 2017.
“Our intra-U.S. next-day and deferred air shipments are expanding to record levels, and UPS’s International segment has produced four consecutive quarters of double-digit export shipment growth,” David Abney, chairman and CEO of UPS, said. “To support this strong customer demand, we continue to invest in additional air capacity, providing the critical link our customers need to markets around the world.”
In addition to increased customer demand for air service, the company credited federal tax reforms for additional investments in its air fleet, which currently totals more than 500 owned and leased aircraft.
“As we celebrate the 30th anniversary of UPS Airlines today, we are seeing unprecedented demand for our air products,” UPS Airlines President Brendan Canavan said. “The new freighters will allow us to continue upsizing aircraft on routes and will create a cascading effect that will boost capacity on regional routes around the world.”