On February 26, SF Holdings disclosed in an announcementthe progress on the Hubei international logistics core hub project which is participated by SF Taisen, a subsidiary of SF and the building of Ezhou civilian airport in the project was approved by the State Council and the Central Military Commission. The announcement shows that the Hubei international logistics core hub project has a total investment of 37.6 billion yuan, of which the airport project is 18.36 billion yuan.The investment will be jointly financed by Hubei province and SF Taisen and other enterprises, the National Development and Reform Commission and the Civil Aviation Administration will support the function of the passenger transport branch of the airport with the central budget investment and the Civil Aviation Development Fund.

The transfer center project of 13.5 billion yuan and the base project of SF airlines was 4.62 billion yuan will be solved by SF Taisen. The then general manager of SF Airlines said thatfour factors are considered in the location of the aviation hub,one is to avoid the air passenger transport in function, and to stagger the provincial capital city and the densely populated city; second, in the central part of the country, and two-hour flight can cover 80% of the country's GDP sources; third, it is in good connection with railway, highway and other means of transportation; Fourth, the airport has a complete port function. Ezhou, Hubei satisfies almost perfectly all the above requirements, which is the main reason why SF finally chose Ezhou as the location of the aviation hub. SF is not the only enterprise in the logistics industry which has a dream of having an airport of its own. YTO had previously disclosed its intention to build a self-owned aviation base in Jiaxing, Zhejiang province. It is worth noting that the overall market share of several major logistics giants is also on the rise. In January, the market share of the top eight companies was 80%, up 1.3 percentage points from the full year of 2017, and the market concentration increased slightly. The city's share rate has hit a new high of nearly three years, behind the transformation and elimination of third or fourth tiers of express delivery companies. The construction of the airport by SF also heralds the acceleration of competition among the logistics industry's oligarchs.