DHL Express to invest more than $360 million across the Americas as e-commerce booms in the region

It is learned that DHL Express, a well-known American logistics company, plans to invest more than US$360 million between 2020 and 2022 to build new facilities and expand existing facilities in major e-commerce blue ocean markets in the Americas.

Compared with last year, the average daily shipments of countries in the Americas increased by 33% in the first quarter of 2021. Among them, the shipments of the United States in the first quarter of 2021 increased by 41% compared with the same period in 2020. In response to this, DHL Express has adopted a strategic expansion plan in response to the significant growth of B2C and B2B e-commerce shipments.

DHL Express said many of the infrastructure investments will focus on the company's facilities, including service centers for pickup and delivery operations, gateways to manage customs clearance for international freight, and hubs that serve as transshipment points for freight to and from all over the world. Millions of dollars will be invested to strengthen its American air network and introduce new direct routes.

North American Expansion

The expanded state-of-the-art hub in Miami, Florida, currently under construction, will become Time Definite International (TDI) DHL Express' sixth hub globally.

The new 244,000 square foot automated centre in Hamilton, Ontario, Canada is another major investment for DHL in the region. Once completed, the new hub will have a capacity four times that of the current hub.

DHL Express will also add new service centers and upgrade existing facilities across the regional network to support first-mile and last-mile pickup and delivery operations.

DHL Express will also strengthen other hubs and gateways and expand its footprint in key markets in South America, such as Mexico, where it will invest heavily and support the growing Time Definite Domestic (TDD) delivery market.

DHL Express plans to install 105 self-service kiosks at retail counters during 2021 to facilitate customer pickup. It will also invest in state-of-the-art automation to upgrade express hubs and gateways in Mexico City, Guadalajara and Monterrey, and expand key service center markets to penetrate the Mexican market nationwide.

South American Expansion

In Brazil, DHL Express will upgrade Viracopos International Airport, the gateway to Campinas, Brazil, to speed up the processing of TDI shipments in and out of the country.

DHL Express is also expanding in other South American countries, including opening new express service points in Chile, Colombia and Lima, the capital of Peru, to expand the market.

Aircraft Fleet Investment

It is understood that all these investments also include improving operational efficiency and investing in new technologies. By the end of 2022, the capacity of the DHL Express Americas network will increase by nearly 30%. Since 2019, DHL Express's global fleet has added 14 DHL 777Fs to serve service points in the Americas and other regions. Four support networks will be implemented this year, and eight more aircraft will be added between 2022 and 2024. The company has also added different models such as third-party aircraft lifts (ACMI) serving the Americas, some of which will be shipped to US operators to exclusively support the DHL Express network.

Mike Parra, CEO of DHL Express Americas, said: “Growth in e-commerce shipments will continue to put pressure on the industry’s air cargo capacity and we will continue to invest in new dedicated aircraft and routes. With the renewal of leased third-party aircraft arrangements and the entry of new operators in the Americas, aviation investments will help the company maintain high service levels and capacity requirements for our customers in the coming years.”

Editor ✎ Estella /

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