Germany-based Deutsche Post DHL Group has unveiled its plan to invest $137m in the domestic and cross-border e-commerce market of the US.
With the proposed investment, the company aims to use the global B2C e-commerce market for shipments crossing borders, which is estimated to increase from the current $400bn to a total global volume of $1tn in 2020.
DHL’s new investment plan has been announced by its e-commerce and supply chain divisions.
As part of the plan, the company will open regionalised fulfilment centres in Los Angeles, Columbus, Ohio and New Jersey, in a bid to increase its order fulfilment capabilities in North America.
DHL eCommerce CEO Charles Brewer said: “There is barely any other industry that provides such a promising outlook than the e-commerce business.
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“It is expected that one billion people will shop online and across borders by 2020, with the US being the most popular origin for 25% of consumers worldwide.
“With our investments, we lay the foundation to expand our leading role in cross-border e-commerce logistics, serve our US customers with the best possible infrastructure and solutions, and gain future market shares.”
By next year, the group will establish more regional fulfilment centre in New Jersey and other locations under its Strategy 2020.
Last year, DHL Global Forwarding had opened a $35m distribution centre in Chicago.
In North America, the company currently operates 20 distribution centres, including four international gateways and one centre each in Toronto and Mexico City.
Further facilities in Latin America are planned to open next year.
In the US, DHL eCommerce has 18 distribution centres.
Image: DHL plans to invest $137m in e-commerce infrastructure and services in the US. Photo: courtesy of Deutsche Post.