May 17, 2020

FedEx raises North American shipping prices

Supply Chain Digital
Supply Chain
Price Increase
Rate Hik
Freddie Pierce
2 min
Adding to the global trend of supply chain visibility, FedEx increases its SenseAware service to other industries
Talk about undercutting the competition. Last month, it was revealed that United Parcel Service would raise its North American shipping rates by 6.9 pe...

Talk about undercutting the competition.

Last month, it was revealed that United Parcel Service would raise its North American shipping rates by 6.9 percent to help offset rising fuel costs. Now, FedEx is doing the same thing, albeit with a 6.8 percent general rate increase for North American freight shipments between the United States, Canada and Mexico.

The rate hike will take effect later this year on Sept. 6.

FedEx Freight had raised its ground and home-delivery services by an average of 4.9 percent earlier this year, but the newest rate hike does not raise fuel surcharges at all. UPS made the same decision, and it’s a curious one because most of the speculation surrounding the price increases has been swirling around the volatile petroleum market.


FedEx talks supply chain logistics

FedEx offers three new ocean freight options

Check out August’s issue of Supply Chain Digital!

Revenue and margins continued to benefit from a surging demand, as FedEx’s fourth-quarter earnings rose 33 percent. The shipping company’s breadth of services around the globe make it an economic bellwether of sorts, which is good news with fears of a double-dip recession looming.

According to The Wall Street Journal, Moody’s Investors Service raised its outlook on FedEx from “stable” to “positive,” an indication that FedEx could be entering an economic uptick.

With a network of nearly 150,000 employees stationed around the world, FedEx is a global leader in air, ocean and ground transportation.

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Jun 8, 2021

DHL Claim Multi-Sector Collaboration Key to Fighting COVID

3 min
Global logistics leader DHL’s new white paper highlights what supply chain professionals have learned one year into the pandemic

Since January, global logistics leader DHL has distributed more than 200 million doses of the COVID vaccine to 120+ countries around the globe. While the US and UK recently rolled out immunisation plans to most citizens, countries with less developed infrastructure still desperately need more doses. In the United Arab Emirates (UAE), which currently has one of the highest per-capita immunisation rates, the government set up storage facilities to cover domestic and international demand. But storage, as we’ve learned, is little help if you can’t transport the goods.


This is where logistics leaders such as DHL make their impact. The company built over 50 new partnerships, bilateral and multilateral, to collaborate with pharmaceutical and private sector firms. With more than 350 DHL centres pressed into service, the group operated 9,000+ flights to ship the vaccine where it needed to go. 


Public-Private Partnerships

With new pandemic knowledge, DHL just released its “Revisiting Pandemic Resilience” white paper, which examined the role of logistics and supply chain companies in handling COVID-19. As Thomas Ellman, Head of Clinical Trials Logistics at DHL, said: “The past one year has highlighted the importance of logistics and supply chain management to manage the pandemic, ensure business continuity and protect public health. It has also shown us that together we are stronger”. 


Multisector partnerships, DHL said, enabled rapid, effective vaccine distribution. While international scientists developed a vaccine in record time—five times faster than any other vaccine in history—manufacturers ramped up production and logistics teams rolled out distribution three times faster than expected. When commercial routes faced backups, logistics operators worked with military officers to transport vaccines via helicopters and boats. 


In the UAE, the public-private HOPE Consortium distributed billions of COVID-19 doses to its civilians as well as other countries in need by partnering with commercial organisations such as DHL. For the first time, apropo for an unprecedented pandemic, logistics companies made strong connections with public health and government.


“While the race against the virus continues, leveraging the power of such collaborations and data analytics will be key”, said Katja Busch, Chief Commercial Officer DHL and Head of DHL Customer Solutions & Innovation. “We need to remain prepared for high patient and vaccine volumes, maintain logistics infrastructure and capacity, while planning for seasonal fluctuations by providing a stable and well-equipped platform for the years to come”. 


How Do We Sustain Immunisation? 

By the end of 2021, experts estimate that we need approximately 10 billion doses of vaccines—many of which will be shipped to areas of the world, such as India, South Africa, and Brazil, that lack significant infrastructure. This is perhaps the greatest divide between countries that have rolled out successful immunisation programmes and those that have not. As Busch noted, “the UAE’s significant investments in creating robust air, sea, and land infrastructure facilitated logistics and vaccine distribution, helping us keep supply chains resilient”. 


Neither is the novel coronavirus a one-time affair. If predictions hold, COVID will be similar to seasonal colds or the flu: here to stay. When fall comes around each year, governments will need to vaccinate the world as quickly as possible to ensure long-term immunisation against the virus. This time, logistics companies must be better prepared. 

Yet global immunisation, year after year, is no small order. To keep reinfection rates low and slow the spread of COVID, governments will likely need 7-9 billion annual doses of the vaccine to meet that mark. And if DHL’s white paper is any judge of success, multi-sector supply chain partnerships will set the gold standard.

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