Chinese courier companies raise prices ahead of 'shopping festival'

A man unloads parcels from a ZTO Express delivery vehicle in Beijing. [Photo/Agencies]

BEIJING - Two major Chinese courier companies announced price hikes on Tuesday and Wednesday ahead of November 11, which will see China's largest online shopping festival.

ZTO Express and Yunda Express said the aim is to provide better services amid rising labor, material and transportation costs.

Neither company disclosed the scale of price hikes.

Industry insiders said other domestic couriers are likely to follow suit.

China Express Association predicted Wednesday that the industry would handle more than 1 billion packages for nationwide shopping spree between Nov 11 and Nov 16.

In 2016, delivery volume of China's courier sector accounted for more than 40 percent of the world's total with 60 percent of world delivery volume growth.