LYNX Express has invested GBP4m (EUR6m) in a purpose-built depot at Newhouse, near Glasgow. The companys biggest single investment in Scotland is a result of increasing volumes through its former unit, 10km away. The new warehouse is more than 4,500 sq metres in size and the office space is set to accommodate a call centre.
Read MorePanasonic is the high-profile launch customer for Integrated Logistics Solutions (ILS), a new operation set up by the Business Post group.
Although Panasonic has its own national distribution centre and in-house logistics arm for delivery to retailers, it also uses third parties, for example to handle smaller and palletised consignments that do not suit its dedicated vehicle fleet.
Demand from small and medium-sized companies is helping shipping giant United Parcel Service Inc. (UPS) post double-digit sales growth in Mexico, company officials said Monday. During the first quarter, UPS’ export business sales from Mexico, the company’s biggest Latin American market, grew by 30% versus the like-2004 quarter, building on a 60% annual expansion last year. “We have positioned the product with companies that used to have their own trucks,” Luis Arriaga, head of UPS Mexico, said in an interview. UPS has also gained customers from other transport companies, he added. “The product is actually tailor-made for any type of need that you might have,” Arriaga said, listing party favors like pinatas, electronics and automotive parts as examples of recent shipments out of Mexico.
Read MoreDHL Global Mail is expanding its national business-to-business network to bolster plans to cover 80 per cent of the UK by June next year.
The company is opening a mail hub in Birmingham, just a few weeks after setting up a northern division in Warrington, Cheshire.
The Warrington arm represented DHL’s first opening since the acquisition of business mail specialist Smartmail International last year. DHL also plans to open a distribution centre in Sheffield in August, and increase its London coverage in the autumn.
During the first half of 2006, it will open centres in Scotland, Northampton and Watford, claiming it will create a nationwide, end-to- end network. Tony Allsop, head of Smartmail Citispeed services at DHL, explains: “We’ve made a significant investment in our network, as we believe Birmingham is a key strategic location in our bid to build a significant postal network.
Read MoreFedEx warned yesterday that first-quarter earnings would be affected by high fuel prices and intense competition, after increasing net profits by 9 per cent in the fourth quarter. The cautious guidance appeared to signal a slowdown in the package delivery company’s momentum, after several consecutive quarters as the industry’s star performer. Michael Glenn, vice-president of market development, conceded that the industry was becoming more competitive but insisted pricing remained “rational”. United Parcel Service, which had been losing market share to FedEx, has fought back strongly from a weak 2004 and German-owned DHL is expanding in North America. James Valentine, analyst at Morgan Stanley, said FedEx’s comments brought confirmation that FedEx and UPS were “using price more aggressively”. But he dismissed fears that the market was descending into a destructive price war.
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