Federal Express (FedEx) is set to establish a parcel facility at Istanbul Airport.

FedEx Express has signed an agreement to construct a new parcel facility at Istanbul Airport, set to be completed by November next year.

The American company currently utilizes shared facilities at Istanbul Airport. With the new facility, FedEx aims to enhance its presence at the airport by significantly increasing its footprint to over 25,300 square meters and gaining full control over operations.

The facility will feature three aircraft stands, space for 32 trucks, and seven loading docks, equipped with state-of-the-art sorting technology capable of handling 3,000 items per hour.

Designed specifically for separate handling of parcels and freight, the facility supports companies looking to integrate both transport modes into a single network, which FedEx considers its unique value proposition in Europe.

Separating parcel and freight processing is expected to improve operational efficiency, including reducing the movement of forklifts.

Eser Sezek, Vice President of FedEx Express for Southeastern Europe, Israel, and Turkey operations, commented, "We are excited about our expansion at Istanbul Airport, which strengthens FedEx's position at this strategic location and opens growth opportunities for our international trade customers."

"This also underscores our steadfast and ongoing commitment to our business and customers."

Overall, FedEx Express has faced a challenging year. In April this year, the company announced plans to integrate its various divisions as part of a cost-saving effort to trim $4 billion in expenses.

In June, FedEx Express also reported declines in revenue and operating income for the fourth quarter of the fiscal year due to "soft demand and cost inflation," leading to further reductions in flight operations.

Additionally, FedEx Express pilots have been engaged in prolonged contract negotiations with the company.