Amazon plans to build a $1.5 billion air hub at the Cincinnati/Northern Kentucky airport in Hebron, KY, part of its ever-growing logistics enterprise. Observers continue to believe Amazon’s endgame is to handle shipping and distribution not only for its own fast-growing ecommerce business but for other retailers as well.
UPS has acquired British firm Freightex to gain entry into the European truck brokerage market. This comes eight months after FedEx closed its acquisition of Netherlands-based TNT Express. See what a UPS unit executive had to say about the rationale behind the move, how it will be integrated with Coyote Logistics and how it’s positioned in the European market.
The recently announced rate changes from FedEx reflect both the continual cat-and-mouse game with main rival UPS, as well as a bigger hit on ecommerce shippers as carriers look to recover the higher cost of moving more and more online orders. See what analysts and experts have to say about the impact of the new rates.
Following on the heels of FedEx’s move earlier this year, UPS plans to update its fee structure for larger parcels, decreasing the size of items that incur an extra $10.50 handling charge. Under the new rule, packages with a long side of 48″ or more will be subject to the charge as of June 6. The previous threshold was 60″.
Continuing its relentless push into logistics to shore up carrier network capacity issues, Amazon has struck a deal with major air transport firm Atlas Air of Purchase, NY, leasing 20 of its Boeing 767-300 jets and taking up to a 30% stake in the company. Atlas is also a supplier of transport planes to UPS.