With an eye on helping shipper customers work through the myriad challenges presented by the ongoing COVID-19 pandemic, DHL Global Forwarding, an air and ocean subsidiary of Deutsche Post DHL Group, said this week it is taking steps to support more than 200 customers via its exclusive Multi-Modal Express (MMEX) service.
MMEX was originally rolled out in October 2019, with the objective of connecting China to the Latin America, with this week’s announcement expanding it from China to the United States, providing customers with reduced transit times and more competitive costs, according to DHL.
DHL added that MMEX meshes its air transportation agility, dedicated inland solutions adaptability, and ocean shipping cost consciousness into the U.S. and Latin America to increase shipping operations speed and efficiency compared to services from other industry players.
What’s more, it also highlighted how the MMEX service ships cargo from any China-based location, through Shanghai Port, to any U.S.- or Latin America-based destination, through the Port of Long Beach, in a 12-to-17-day period. DHL said this has resulted in savings of 30%-to-35% in airfreight costs for customers, in certain verticals like high-tech, automotive, and retail. DHL Global Forwarding added that the MMEX service is also offering up the MMEX service to support urgent shipments for shippers from China to Europe, through the Port of Long Beach and then via air to Europe, to help shippers counter COVID-19-related concerns.
A DHL spokesperson told LM that the MMEX service was created to fill a need in the market for an ocean freight and airfreight solution that would provide customers with another additional service for their logistics needs.
“It then moved into combining the agility of air transportation, the adaptability of dedicated inland solutions and the cost-consciousness of ocean shipping,” the spokesperson said. “We’ve been working on this for the past year to fine tune the service, which is now even more important as the pandemic proved to be challenging for our customers.”
As for the main customer benefits of MMEX, the spokesperson cited reduced transit times and cost savings, as well as an additional option that is less expensive than pure airfreight and faster than pure ocean freight.
When asked what the main competitive benefits of this service are from a DHL perspective, the spokesperson cited its experience with this service since it has been working with customers to meet their needs around this mode for some time (especially during the pandemic) and its global and, in this case, regional reach.
“At DHL Global Forwarding, we are always looking to increase our operational efficiency and to offer our customers the best-possible solutions – especially during these challenging times,” said David Goldberg, CEO, DHL Global Forwarding US, in a statement. “This new service not only reduces transit times for our customers, but highlights how we are continually adapting to meet their needs.”
Goldberg added that the MMEX service also addresses the company’s ongoing focus on sustainability, noting that MMEX continues to push its sustainability objectives and provide a competitive logistics advantage. As an example, he pointed to the CO2 reductions, varying from 50%-to-80% compared to using airfreight only, based on distance.
Looking ahead, DHL said the MMEX service will help out Southeast Asia-based shippers, as it will be offered to shippers in Vietnam.
About the Author
Jeff Berman, Group News Editor
Jeff Berman is Group News Editor for Logistics Management, Modern Materials Handling, and Supply Chain Management Review. Jeff works and lives in Cape Elizabeth, Maine, where he covers all aspects of the supply chain, logistics, freight transportation, and materials handling sectors on a daily basis. Contact Jeff Berman