DHL sees opportunities in the US, so it is opening eight new distribution centres. The carrier has budgeted $137 million for construction, revamping two existing distribution centres in the US.
DHL's eight new DCs will be completed before 2020. According to Business Insider, DHL aims to capitalise on the growth of e-commerce in the US with the new locations. The e-commerce market in the US is expected to be worth $1 trillion by 2020. This presents opportunities for the company that can but cannot beat rivals UPS and FedEx in the country.
DHL now wants to differentiate itself from the competition with international shipments. Indeed, the US market is said to be of most interest to 25 per cent of online shoppers worldwide, the company explains. However, it also enjoys competition in this from carriers such as FedEx and USPS. Both companies recently launched a cross border shipping service. With FedEx, US retailers can send packages to customers in 220 countries.
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