USPS secures major multi-year partnership with DHL
Anabelle Colaco
29 May 2026, 23:44 GMT+10
- The U.S. Postal Service has signed a multi-year agreement with DHL eCommerce for last-mile parcel delivery services across the United States in a deal expected to be worth more than US$10 billion
- The agreement, announced on May 28, is expected to strengthen DHL's expansion plans in the U.S. market while providing a major boost to the financially strained Postal Service
- DHL eCommerce, a division of Germany-based DHL Group, said the partnership would help the company significantly grow its operations in the United States over the coming years
WASHINGTON, D.C.: The U.S. Postal Service has signed a multi-year agreement with DHL eCommerce for last-mile parcel delivery services across the United States in a deal expected to be worth more than US$10 billion.
The agreement, announced on May 28, is expected to strengthen DHL's expansion plans in the U.S. market while providing a major boost to the financially strained Postal Service.
DHL eCommerce, a division of Germany-based DHL Group, said the partnership would help the company significantly grow its operations in the United States over the coming years.
Postmaster General David Steiner said the Postal Service's nationwide reach made it an ideal partner for DHL.
"No one else delivers to 170 million U.S. households six days a week," Steiner said in an interview. He added that the agreement gives DHL "the opportunity to play in the largest market in the world."
Steiner said DHL faced a choice between investing heavily in a nationwide delivery network and partnering with an organization that already had an established last-mile infrastructure.
"They either had to invest a ton of capital to build out an end-to-end network, or they need to partner with someone that has that last mile capability," like USPS, he said.
Under the arrangement, DHL eCommerce will continue handling parcel pickups and sorting operations through its 19 hubs in the United States before USPS completes final deliveries to customers.
DHL eCommerce Americas Chief Executive Officer Scott Ashbaugh said the partnership would allow the company to expand its business and handle slightly heavier parcels.
"We expect to roughly double our business by the 2030 horizon," Ashbaugh said.
Ashbaugh also said DHL could add more hubs in the United States as part of its long-term growth plans.
The agreement comes at a crucial time for the Postal Service, which has repeatedly warned about its financial challenges and previously said it could run out of cash as early as February.
Last month, Amazon also reached a new package delivery agreement with USPS, further highlighting the Postal Service's growing role in handling e-commerce shipments across the country.
