Tag: DHL Express

Outdated logistics threaten China's economic growth

China needs to bring its logistics infrastructure and supply chain management capabilities into the 21st century if it is to maintain its competitiveness in the global marketplace.

Studies show that logistics expenses in China are higher than in countries with mature logistics infrastructure, and this has pushed up the cost of its goods. Industry analysts and third-party logistics providers said these supply chain inefficiencies, left unchecked, would undermine China’s long-term economic growth. “Compared to developed countries where logistics costs are approximately 9 per cent to 10 per cent of GDP, logistics costs accounted for about 21 per cent of GDP in China,” said Jerry Hsu, president, Greater China area, DHL Express Asia Pacific, citing Ren Xingzhou, director of the Market Economy Research Department at the State Council’s Development Research Centre.

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Colombia DHL Express to invest USD 15 mln 2007-2011

Colombian company DHL Express, a subsidiary of global carrier and package delivery company DHL Express, part of the German postal services operator Deutsche Post, plans to invest USD15 mln (12 mln euro) in the period from 2007 to 2011 in its express national postal service.
The launching of this service was officially announced on October 10, 2006. The sum will be directed for the acquisition of new equipment and vehicles, as well as for the reorganisation of the company’s operations. Currently the company has 130 vehicles, but aims to reach 500 by 2011.
DHL Colombia’s division DHL Express is expected to have over 1,000 workers by 2011, nearly doubling its present workforce.
DHL Colombia will have to meet the competition of companies as Servientrega, TCC and Coordinadora in that segment.
The new service will be first offered to the corporate sector, available for 130 primary and secondary populated places as destinations for a package of up to 70 kg, and then to individuals.

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Colombia DHL Express denies rumours about Servientrega acquisition talks

Colombian company DHL Express, a subsidiary of global carrier and package delivery company DHL Express, part of the German postal services operator Deutsche Post, denied rumours that it is in talks for the acquisition of local logistics and courier company Servientrega.
The announcement was made by the general director of DHL Express, Antonio Arranz, on October 10, 2006. Arranz added that DHL Express might study in the future the possibility to strengthen its ties with some local delivery firm.
Servientrega’s president, Jesus Guerrero Hernandez, also said that no such talks were held.
Servientrega has its own logistics chain, spreading through Colombia, Miami (USA), Venezuela, Ecuador and Peru, and also provides packaging, storage and shipment management. Servientrega plans to invest USD5.2 mln (4.15 mln euro) in order to expand in Panama, Peru and Spain.

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DHL becomes a contender

When considering carriers for overnight express packages, shippers may now have three legitimate options: FedEx, UPS and newcomer DHL Express. DHL commissioned a transit study this summer that demonstrates the carrier is performing as well or better than its veteran U.S. competitors.

The study tracked 14,400 overnight express shipments between 44 major U.S. cities across 480 lanes during July. The results showed UPS and DHL tied at a 90% reliability rate for 10:30 a.m. delivery, followed closely by FedEx at 88%.

“For two or three years, we’ve battled quite a degree of skepticism,” says DHL Americas CEO John Mullen. This study, he says, vindicates DHL’s efforts to break into the UPS/FedEx duopoly. “It has been a difficult road but we have come through it, and we think our customers can feel safe that they are not taking a chance on a niche player with us.”

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DHL hikes air surcharge

DHL Express, the third-largest express carrier in the U.S. package competition, already had an 18 percent surcharge in effect for August. Its September fuel fee will be 19 percent.

All three major overnight parcel carriers that compete in the United States have now said they were hiking their air fuel surcharges by a full percentage point in September.

The two biggest express players in the U.S. package market, UPS and FedEx Express, both said they will push their fuel surcharges for overnight air parcels to 17 percent in September, from 16 percent now.The carriers listed the new fees in Web site updates. They had each held those rates steady from July to August, after jet fuel prices stabilized some from an earlier surge.

But as oil prices rose for much of the past month, jet fuel costs rose as well, pushing the fuel price indexes for all the carriers to another trigger level.

But while they were raising their surcharges based on aviation fuel, they left their ground shipment surcharges at the same levels they used in August as the cost of diesel that fuels most of their trucks did not show the same gains as jet fuel.

FedEx and UPS left their September ground shipment fuel fees at 4.75 percent. DHL held to its 4.8 percent ground fuel surcharge.

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