THE Chinese Government has permitted three new overseas courier firms to offer domestic delivery services, the Xinhua news agency said Thursday, as part of government pledges to further open up the fast-growing market.

    The State Post Bureau has approved Yamato (China) Transport Co. Ltd., the China unit of Yamato Holdings Co. Ltd., OCS Overseas Courier Service (Shanghai) Co. Ltd. and Kerry Logistics Co. Ltd., Xinhua said.

    The government said in September it would ease restrictions on foreign couriers seeking to deliver packages nationwide.

    Express parcel delivery is booming in China, thanks to a surge in e-commerce. The Chinese market, however, is highly fragmented and competition is stiff.

    There are currently more than 35,000 express delivery companies operating in the country. Some can ship packages for hundreds of miles as quickly as within the same day, and for as little as 2 yuan (US$0.32), compared to the U.S. Postal Service, which on average charges at least US$10 for a domestic delivery.

    FedEx Corp. and United Parcel Service Inc. already operate express parcel delivery services in China.(SD-Agencies)