FedEx, UPS Can’t Get Enough Vans to Keep Up With Delivery Rush - MSN
FedEx Corp. and United Parcel Service Inc. are running into a shortage of delivery vans during a record surge in package volumes.
Urged by the couriers to purchase any vans they can scrounge up, leasing companies are dipping into the used market. Added demand in the rental market “is creating shortages,” a UPS spokesman said by email. FedEx is even paying a stipend to its contractors to offset the extra cost of renting.
“If there’s a cargo van out there, we’re trying to buy it,” said Brendan Keegan, chief executive officer of Merchants Fleet, which provides vehicles to package delivery companies. It expects to have 15,000 vans out for lease at year-end, up from 6,000 a year earlier.
FedEx Corp. and United Parcel Service Inc. are running into a shortage of delivery vans during a record surge in package volumes.
Urged by the couriers to purchase any vans they can scrounge up, leasing companies are dipping into the used market. Added demand in the rental market “is creating shortages,” a UPS spokesman said by email. FedEx is even paying a stipend to its contractors to offset the extra cost of renting.
“If there’s a cargo van out there, we’re trying to buy it,” said Brendan Keegan, chief executive officer of Merchants Fleet, which provides vehicles to package delivery companies. It expects to have 15,000 vans out for lease at year-end, up from 6,000 a year earlier.
Last edited:
