WASHINGTON, D.C.: The U.S. Postal Service has signed a multi-year agreement with DHL eCommerce for last-mile parcel delivery services across the United States in a deal expected to be worth more than US$10 billion.<\/p>\n
The agreement, announced on May 28, is expected to strengthen DHL’s expansion plans in the U.S. market while providing a major boost to the financially strained Postal Service.<\/p>\n
DHL eCommerce, a division of Germany-based DHL Group, said the partnership would help the company significantly grow its operations in the United States over the coming years.<\/p>\n
Postmaster General David Steiner said the Postal Service’s nationwide reach made it an ideal partner for DHL.<\/p>\n
“No one else delivers to 170 million U.S. households six days a week,” Steiner said in an interview. He added that the agreement gives DHL “the opportunity to play in the largest market in the world.”<\/p>\n
Steiner said DHL faced a choice between investing heavily in a nationwide delivery network and partnering with an organization that already had an established last-mile infrastructure.<\/p>\n
“They either had to invest a ton of capital to build out an end-to-end network, or they need to partner with someone that has that last mile capability,” like USPS, he said.<\/p>\n
Under the arrangement, DHL eCommerce will continue handling parcel pickups and sorting operations through its 19 hubs in the United States before USPS completes final deliveries to customers.<\/p>\n
DHL eCommerce Americas Chief Executive Officer Scott Ashbaugh said the partnership would allow the company to expand its business and handle slightly heavier parcels.<\/p>\n
“We expect to roughly double our business by the 2030 horizon,” Ashbaugh said.<\/p>\n
Ashbaugh also said DHL could add more hubs in the United States as part of its long-term growth plans.<\/p>\n
The agreement comes at a crucial time for the Postal Service, which has repeatedly warned about its financial challenges and previously said it could run out of cash as early as February.<\/p>\n
Last month, Amazon also reached a new package delivery agreement with USPS, further highlighting the Postal Service’s growing role in handling e-commerce shipments across the country.<\/p>\n","protected":false},"excerpt":{"rendered":"WASHINGTON, D.C.: The U.S. Postal Service has signed a multi-year agreement with DHL eCommerce for last-mile parcel delivery…\n","protected":false},"author":2,"featured_media":27312,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[21057],"tags":[18682,21073,21072,26621,27581,27578,27577,27165,27580,26697,27579,26563,481,7937],"class_list":["post-27311","post","type-post","status-publish","format-standard","has-post-thumbnail","category-dhl","tag-d-c","tag-deutsche-post","tag-dhl","tag-dhl-ecommerce","tag-dhl-ecommerce-americas-chief-executive-officer","tag-dhls-expansion-plans","tag-last-mile-parcel-delivery","tag-postal-service","tag-postmaster-general-david-steiner","tag-scott-ashbaugh","tag-u-s-market","tag-u-s-postal-service","tag-united-states","tag-washington"],"_links":{"self":[{"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/posts\/27311","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/comments?post=27311"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/posts\/27311\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/media\/27312"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/media?parent=27311"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/categories?post=27311"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/germany\/wp-json\/wp\/v2\/tags?post=27311"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}