TNT grasps new Volvo contract
TNT has received a three-year contract renewal from the Swedish truck and bus maker AB Volvo for ‘inbound to production’ and aftermarket delivery services in Europe.
Under this contract, TNT will continue to handle AB Volvo’s European emergency production movements. TNT collects automotive components and parts from more than 800 different suppliers in Europe and delivers them to AB Volvo’s production facilities in Sweden, Belgium, France and Poland.
The service builds on TNT’s integrated road and air network in Europe. It combines scheduled and special services to ensure all production delivery needs are met.
The need to maintain low inventory levels while keeping assembly lines running smoothly make guaranteed reliable deliveries essential. TNT provides a door-to-door transit monitoring service for shipments from its Automotive Control Centres, with 24/7 availability.
Also under the contract, TNT handles parts distribution to Volvo dealers throughout Europe to support the brand’s aftermarket offering. Most parts are collected at AB Volvo’s central or support warehouses in Europe. TNT also increasingly makes direct deliveries from suppliers to dealers. Next-day delivery before 7am is the norm for these deliveries, regardless of the dealer’s location.
TNT has worked for Volvo for more than 20 years. Another contract sees TNT managing the delivery of parts from suppliers in Europe to Volvo Trucks’ manufacturing plant in Hagerstown, Maryland, United States.
‘Inbound to Production’ and aftermarket services are among the industry service propositions developed by TNT under its Outlook strategy to meet the specific needs of vertical industries. They will be available to more customers in the automotive, high tech and industrial sectors in 2015.
For more information, please visit: http://www.tnt.com/express/en_gb/data/News/TNTVolvoContractRenewal.html
Uber Freight to Acquire Transplace in $2.2bn Deal
Uber Freight is to acquire logistics technology and solutions provider Transplace in a deal worth $2.25bn.
The company will pay up to $750m in common stock and the remainder in cash to TPG Capital, Transplace’s private equity owner, pending regulatory approval and closing conditions.
“This is a significant step forward, not just for Uber Freight but for the entire logistics ecosystem,” said Lior Ron, Head of Uber Freight, and former founder of the Uber-owned trucking start-up Otto.
Uber’s Big Play for Supply Chain
Transplace is one of the world's largest managed transportation and logistics networks, with 62,000 unique users on its platform and $11bn in freight under management. It offers truck brokerage and other capacity solutions, end-to-end visibility on cross border shipments, and a suite of digital solutions and consultancy services.
The purchase is the latest move by parent company Uber, which launched as a San Francisco cab-hailing app in 2011, to diversify its offering and create new revenue streams in all transport segments.
Transplace said the takeover comes amid a period of “accelerated transformation in logistics”, where globalisation, shipping and transport disruption, and widespread volatility are colliding.
Uber Freight plans to integrate the Transplace network into its own platform, which connects shippers and carriers in a dashboard that mirroring the intuitive experience found in its consumer vehicle booking and food ordering services.
“This is an opportunity to bring together complementary best-in-class technology solutions and operational excellence from two premier companies to create an industry-first shipper-to-carrier platform that will transform shippers’ entire supply chains, delivering operational resilience and reducing costs at a time when it matters most,” said Ron.
Frank McGuigan, CEO of Transplace, said the resulting merger will offer enhanced efficiency and transparency for shippers, and benefits of scale for carriers. “All in all, we expect to significantly reduce shipper and carrier empty miles to the benefit of highway and road infrastructures and the environment,” he added.
History of Uber Freight
Uber Freight was established in 2017 and separated into its own business unit the following year. In 2019 the company had expanded across the entire continental US, established a headquarters in Chicago. Later that year it launched its first international division in Europe, initially from a regional foothold in the Nertherlands, and later moving into Germany.
The logistics spinoff attracted a $500m investment from New York-based Greenbriar Equity Group in October 2020, and launched a new shipping platform for companies of all sizes in May, partly in response to a driver shortage in Canada.