House Committee To Hold Hearings on UPS-DHL Deal

[cheryl]

House Committee To Hold Hearings on UPS-DHL Deal - Smart Money

The chairman of the House Judiciary Committee announced Friday that he plans to hold hearings in September to review an agreement between United Parcel Service Inc. (UPS) and DHL Express that makes UPS the exclusive provider of air shipping for DHL's North American package delivery service.

The hearing also will focus generally on competition in the air shipping industry.

 

[In the Know]

The results of the hearings are going to be interesting. If they take the view that the UPS-DHL deal is effectively giving UPS a monopoly position, that leaves DHL up the creek without a paddle. You can expect that there will be ripples across the Atlantic into 'old' Europe too. What then for a UPS takeover of TNT? The European Commission is likely to take a dim view of UPS becoming a potential monopoly in Europe (FedEx isn't strong on the Continent) and DHL through its Deutsche Post parent will apply lots of pressure on the Brussels bureaucrats to keep UPS from gobbling up TNT. This is all getting interesting.....

 

[over9five]

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[In the Know]

I like your posts, In the Know. Why don't you register, and become a member?

Thank you for your kind words and the invitation. I appreciate being asked.

 

[UPS_UK]

Dutche Post wants to sell off DHL Express as they are a loss maker. This tie up in the US could just be the start of things for a UPS take over of DHL or tie up in Europe....again interesting.