Shippers Respond to UPS Heading for LTL Market
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ess-than-truckload shippers had mixed reactions to the news that parcel giant UPS Inc. would enter the LTL market with its proposed purchase of Overnite Transportation.
The acquisition could mean a loss of choices for customers, making freight-rate negotiations more difficult in an already high-cost market, some shippers said.
Others were excited that the competition between UPS and FedEx Corp. would infuse the market with a higher standard of logistics technology, as the two large parcel carriers continue their business rivalry in the field of less-than-truckload carriage. And some said they ex-pected business as usual.
