Negotiations for a service contract between shippers DHL and UPS have ended, UPS said today.
The two companies had been negotiating an agreement under which UPS would provide air transport services for DHL’s North American business for 10 years. Two independent airlines currently provide those services.
“UPS and DHL have mutually agreed to terminate their negotiations,” said spokesman Norman Black in an e-mail to DMNews. “UPS is in its quiet period before earnings and will have nothing further to say at this time.”
The contract negotiations had continued for much of the past year, even after DHL announced that it will discontinue its US-only air and ground services, resulting in the loss of 9,500 jobs.
If the contract had been finalized, UPS would only ship DHL’s international shipments from their US landing points to their ultimate US destinations.