Deutsche Post Announced as USPS’ New European Postal Partner

The United States Postal Service (USPS) has announced that it will not renew its contract with General Logistics Systems (GLS) when it expires on the 24 th December this year but will instead co-operate with Deutsche Post, Germany’s leading postal service operator

The exclusive licence is for the delivery of private parcels ( EMS and standard air parcel traffic) in 23 European countries, estimated to account for some 1.6 million consignments per year.

The contract, which was said to be a “Landmark Agreement” when it was originally signed in January 2002, is to cease due to “countless service and fee-gouging complaints”, explained USPS’ VP of Public Affairs.

This represents a substantial blow to Royal Mail, the ultimate parent of GLS, at a time when the company is suffering continued quality problems in its home market as well as increasing competition in the UK business to business sector.