The World on Time: FedEx’s Legacy of Innovation
E-commerce is becoming a dominant force in global retail and parcel volumes are climbing after the pandemic shifted consumer habits in an irreversible way.
It pushed major delivery companies to expand rapidly as consumers demand shorter delivery windows, predictability and control.
Now, our supply chains rely on couriers more than ever – but also face a crowded market and rapidly rising costs.
In 2025, it’s estimated the global courier services market is worth around US$417bn; by 2029, its value could reach US$782bn. With competition therefore rising, logistics companies are being forced to innovate.
One courier has been innovating since well before these consumer trends took hold, beginning in 1971 under the leadership of Frederick Smith – FedEx.
Delivering on a legacy
FedEx recently marked the passing of its Founder and long-serving CEO, Fred Smith.
The company’s current CEO, Raj Subramaniam, explained the legacy he left: "Fred pioneered express delivery and connected the world, shaping global commerce as we know it. His legacy of innovation, leadership and philanthropy will continue to inspire future generations.
"I will miss not only his visionary leadership, but his trusted friendship and counsel."
Now, as cross-border trade continues to grow in complexity, FedEx must balance its long-earned customer expectations with the challenge of leading in a transport and logistics sector which is only just showing signs of recovery.
Couriers play a central role in enabling international trade and, as freight rates rise alongside a more active shipping market, logistics companies like FedEx are beginning to benefit from its hard-earned reputation for reliability.
The path forward now relies on adaptability, as every element of the supply chain, from first-mile collection to last-mile delivery, is under scrutiny as trade partners and consumers keep their eyes on efficiency, sustainability and service quality.
That said, FedEx’s 2025 results speak for themselves, pointing to a company in transition as it achieved its cost reduction target of US$2.2bn and targets a further US1$bn in transformation savings next year.
The company’s presence across 220 countries and territories links three million shippers with 255 million recipients, positioning it at the heart of the world’s logistics system.
Kawal Preet, the company’s Asia-Pacific President, has worked for FedEx for 28 years. She credits her upbringing in 1970s India, as well as her early exposure to science, with the shaping of her career.
Kawal holds an electrical engineering degree from Maulana Azad National Institute of Technology and is among only a handful of women designing logistics networks at scale.
A journey of determination
“Growing up as a woman in a smaller town in India during the 1970s forged my resilience and perspective,” Kawal explains.
“At Maulana Azad National Institute of Technology in Bhopal, I was one of only six women in a class of 60—a stark imbalance that followed me into my first role at an automobile factory. Being in the minority sharpened my determination to excel and kindled a lifelong commitment to opening doors for other women.
“That mission has been a north star throughout my career.”
Through nine distinct roles, Kawal has helped design the very systems that now underpin global trade.
“Over the years,” she goes on, “each role has stretched me to think more expansively, challenge my own boundaries and cultivate a mindset of limitless potential.”
It's that mindset, alongside the industry’s pace of change, that continues to motivate her.
“[FedEx’s] relentless energy, the pulse of constant motion, is what keeps me invigorated every day.”
In 2024, FedEx’s APAC region emerged as a hub of rapid growth as the company indirectly contributed around US$1.7bn to the region's economy and 0.2% directly to the net economic output of APAC’s transportation, storage and communications sector.
Kawal is leading her team to these heights through a leadership style “rooted in the principles of inclusivity and empowerment”.
She continues: “I believe that fostering a diverse workplace is not merely a goal but a continuous journey that requires commitment from all levels of the organisation. By actively promoting an environment where every employee feels valued and encouraged to contribute, I can help harness the full potential of our diverse teams.”
One way in which she ensures major economies, such as China and Japan, and developing markets, including Vietnam, Thailand and Indonesia, retain such impressive talent is by encouraging continuous upskilling.
“We leverage advanced technologies and data to transform our business,” she adds. “I empower employees to innovate, improve customer support and develop differentiated solutions for the future.”
Navigating turbulence with agility
FedEx’s pivotal role in facilitating regional commerce is anchored in its ever-expanding air and ground network, now spanning 43 APAC countries and territories. For Kawal and her team, the past few years have been a masterclass in adaptability.
“In times like these, agility becomes everything,” Kawal reflects.
As global trade dynamics shift, her team of active trade practitioners is on the front lines—working hand-in-hand with customers to help them navigate an evolving landscape, stay ahead of regulatory changes and manage the growing complexity of international trade.
“We’re leveraging the full strength of our global network along with our trade expertise and real-time data to reduce friction in cross-border shipping,” she explains.
Kawal credits her team’s seasoned clearance and compliance experts with enabling the smooth flow of goods across borders, though believes expertise alone isn’t enough.
“We’re complementing that expertise with smart, digital solutions—like the FedEx Tariff Information Hub, which gives customers access to the latest regulatory updates and direct support channels,” she says.
Innovation is at the heart of this approach, as targeted tools such as the Consolidated Clearance Model and FedEx Trade Solutions are designed to make managing US-bound shipments more efficient and predictable. Automation and AI are being harnessed to minimise manual paperwork, personalise customer engagement and deliver insights that help businesses respond faster.
Ultimately, Kawal’s focus is unwavering: “Our goal is to help businesses ship with confidence. Even in turbulent times, we’re combining the scale of FedEx with intelligent, tech-driven solutions that keep our customers resilient and moving forward.”
Rethinking delivery for a sustainable future
For FedEx, staying ahead of the curve means more than delivering parcels on time—it’s about redefining what responsible logistics looks like in a rapidly changing world.
“It’s no longer just about speed and reliability—there’s a growing demand for more responsible, low-impact delivery,” Kawal observes. “At FedEx, we see that not as a challenge, but as an opportunity to lead.”
That leadership is evident in the company’s bold commitment to achieving carbon-neutral operations by 2040. In the APAC region, tangible progress is already under way.
“We now have nearly 1,000 electric vehicles operating across the region, with 20% of our ground fleet in China already electrified and we recently added 31 electric vehicles in Singapore,” Kawal notes. By 2030, FedEx aims for every new parcel pickup and delivery vehicle purchase to be electric.
Aviation, one of the toughest sectors to decarbonise, is also getting a sustainability overhaul. FedEx is modernising its aircraft and championing the adoption of sustainable aviation fuels. A US$100m pledge to Yale University helped launch the Yale Center for Natural Carbon Capture, accelerating breakthroughs in carbon sequestration to offset aviation emissions.
For SMEs, sustainability is also becoming a business imperative.
“We’ve introduced tools that allow our customers to estimate CO₂e emissions at both the package and account levels—giving them data and insights to make more sustainable choices,” Kawal notes.
Together, these efforts reflect a commitment that goes beyond meeting expectations. FedEx is actively shaping the future of global commerce—one that is not only faster and more efficient, but also more sustainable for customers, communities and the planet.
