ET 07:15

UPS (NYSE: UPS) to Launch Time-Definite Heavy Freight Air Service Between US and Mexico in August

IMP3.5
SNT+0.4
CONF95%
Operational

UPS (NYSE: UPS) will begin offering time-definite heavy freight air service between the U.S. and Mexico on its own aircraft for the first time in August 2026, backed by a nearly $50 million investment, targeting automotive and industrial manufacturers that need faster, guaranteed delivery for high-value parts. The new service provides one-, two-, and three-day options from Mexico City, Guadalajara, and Monterrey to destinations across the U.S. and Canada. UPS also launched a cross-border Ground freight pricing product for multi-package shipments over 150 pounds, functioning as a less-than-truckload solution, and deployed over 300 industry-specific experts to help navigate tariff and regulatory complexities. The move aligns with UPS’s strategy to prioritize premium, high-margin logistics over low-yield parcel volumes, as parcel growth stagnates. Rivals FedEx and DHL have similarly shifted focus to heavy freight, seeking to capture complex industrial supply chain business.

EditorLim