DHL eCommerce and USPS recently announced the signing of a multi-year exclusive last-mile delivery agreement worth more than $10 billion.
Agreement content
Under the agreement, DHL eCommerce will continue to exclusively use the USPS network for last-mile parcel delivery within the United States. The CEO of DHL eCommerce stated that this agreement is a key step towards the company's goal of doubling its volume by 2030.
Impact on cross-border sellers
Sellers using DHL ePacket to ship to the United States should note the following:
- The service network is more stableThe long-term partnership between DHL and USPS means that there will be no major changes to the last-mile delivery network.
- Rates may be adjustedDHL plans to expand its business and may attract new customers through more competitive pricing.
- Delivery time is expected to improveDHL commits to investing in technology to upgrade package tracking and delivery efficiency.
US Last-Mile Market Landscape
This deal further solidifies USPS's position in last-mile delivery in the United States. Previously, UPS and FedEx were also vying for the e-commerce parcel market, and DHL's decision to deeply integrate with USPS means it will not build its own last-mile network in the short term.
For Chinese cross-border e-commerce sellers, DHL eCommerce is one of the most cost-effective small parcel delivery options. This long-term agreement signals that DHL's eCommerce small parcel delivery service is stable in the US market and is unlikely to experience service disruptions in the short term.
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