UPS has announced that it will be the main air cargo provider for the United States Postal Service (USPS) after agreeing to a new contract.
During a transition period, the carrier will handle most of the USPS air cargo in the United States.
UPS CEO Carol Tomé stated, “UPS and USPS have worked together to create a new and beneficial solution that complements our reliable and efficient integrated network.” in a press release.
The specific terms of the contract have not been revealed.
Following unsuccessful negotiations between USPS and FedEx, UPS secured the role of primary air cargo provider, while FedEx will continue to provide domestic transportation services by air, including Puerto Rico, until Sept. 29. the FedEx SEC filing.
In a recent SEC filing, FedEx expressed concerns that USPS’s plan to reduce its reliance on FedEx’s air network would negatively impact its operations and financial condition.
FedEx will continue to provide domestic transportation services by air, including Puerto Rico, for USPS until Sept. 29, when its contract ends, according to an SEC filing.
