UPS Takes Control of Korean Venture

UPS Inc. said Wednesday that it has signed agreement with Korea Express Co. Ltd. to acquire KEC’s interest in the companies’ joint venture company in Seoul, South Korea.

The transformation of the joint venture to a wholly owned subsidiary will allow UPS to grow its business in Korea and better serve its customers in a key market, it said in a statement.

Terms of the deal were not disclosed.

“UPS and KEC have had a successful partnership in Korea for more than 10 years, but UPS has arrived at a point where we need greater flexibility to match our commitment to this important market,” said Derek Woodward, president of UPS’ Asia-Pacific Region.

Korea is the United States’ seventh-largest trading partner, he said in a statement.

The two companies also signed a cooperation agreement for continued collaboration. It recognizes UPS’ global network and infrastructure and KEC’s local network and customs brokerage operations.

UPS is ranked No. 1 on the Transport Topics 100 listing of U.S. and Canadian for-hire carriers.