Beijing Harmony Shipping & Forwarding Agent Co., Ltd.
Beijing, China Site Visit
April 12, 2012
Mr. Wu Haidong, Director – Overseas
Founded in 2003, Beijing Harmony Shipping & Forwarding Agent Co., Ltd. (Harmony) has 500 employees working at its Beijing headquarters and offices in Dalian, Huhehaote, Qingdao, Tianjin, and Yantai.
Harmony is a key airfreight forwarder in Northern China. In 2010, it generated gross revenue of $240 million with 80% coming from airfreight. It handles around 100,000 metric tons of airfreight exports annually mainly destined to Europe, Japan and North America. For North America, it has contracts with Korean Air, American Airlines, Canada Airlines, etc., for Europe, it has contracts with British Airways, Emirates Airlines, Singapore Airlines, etc. and for Japan, it has contracts with Japan Airlines and All Nippon Airways. Because of its strong cargo volume, Harmony can provide competitive rates.
Harmony has 32 trucks for pickup and delivery of the airfreight shipments. In addition, it has a 2,800 square meter bonded warehouse in the Beijing Airport and a 1,400 square meter warehouse in the city area.
According to Mr. Haidong, 70% of the business comes from logistics companies and the rest comes from direct customers. It uses many overseas agents. For its network in China, it plans to set up additional offices in Shanghai and Southern China this year. It does not plan to set up its own overseas offices in the near future. It has an agent in the U.S. and would like to establish more partners in the U.S. Mr. Haidong is very interested in establishing a relationship with a mid-sized partner/agent in U.S.
Harmony is a strong airfreight player in Northern China. However, it needs to build a network in Southern China and grow its ocean freight forwarding business in order to get more competitive.
Sources: A&A Primary Research, http://www.harmony.com.cn/