'Tariff hell' leaves industries in limbo – 'not a great environment to plan'
UPDATED 17.30 BST TO INCLUDE SECOND PAR Yesterday the tariff landscape changed yet again, with a ...
There should be no fears of a break-up of Deutsche Post-DHL, Mike Parra, CEO of DHL Express Americas, told The Loadstar yesterday.
The German transport behemoth has faced difficulties in some divisions, leading to speculation that it might be more efficient if it broke up into separate units.
But Mr Parra told The Loadstar: “I have no fear that the group will break up; its strength comes from unity.
“We have a common DNA running through the group, and that is that we are incredibly customer-centric – customer focus is ...
Comment on this article
Chuck
September 16, 2019 at 8:43 amMr Parra should pay attention to Amazon’s job postings, he might notice a giant competitor with modern systems is opening up next door in CVG.
Stephen
September 19, 2019 at 10:44 pmI’m not sure they’re playing in the same space; I haven’t seen any evidence of Amazon opening their wet-leased capacity to bookings from third parties. I believe their intent is to facilitate the movement of goods being traded on their ecommerce platform. Not competing with the integrators for express parcel transport, so much as replacing them with their own dedicated capacity. Amazon Air only has 1 customer: Amazon.com.
The risk is not Amazon poaching customers from DHL, so much as dropping DHL as a service provider. Which is a very real threat, as evidenced by activities around FedEx Express.
Your point definitely rings true on the labor front. The whole CVG-ILN-LCK-DAY triangle is developing into a nice little hub. Amazon aggressively building their presence at both ILN and CVG is obviously going to constrain DHL’s ability pull from the local labor force. But I think they are aware of that, based on the quotes in this companion article:
https://theloadstar.com/innovation-is-the-only-way-to-keep-amazon-at-bay-says-dhl/
Certainly interesting times in the airfreight business.