UPS announced today they have entered into an agreement to acquire Nightline Logistics Group. The Irish delivery company is one of the leading express delivery and logistics firms in Ireland.
This acquisition will immediately position UPS as the top shipping and logistics company in Ireland. Customers of both Nightline Logistics Group and UPS will now have a wider option of both domestic and cross-border services.
Currently, UPS offers small parcel and supply chain services in Ireland. It also operates air shipment gateways at both Dublin and Shannon airports.
Nightline Logistics Group has an extensive network of ground sorting facilities and vehicles servicing Ireland.
The company also operates the popular virtual address Parcel Motel service. Parcel Motel is like UPS Access Point Lockers and will become part of the UPS service offering in Ireland.
Initially, the two brands will continue to operate separately. However, over time, operations will be fully integrated and rebranded under the UPS name.
NIGHTLINE LOGISTICS GROUP PART OF $2 BILLION EUROPEAN INFRASTRUCTURE INVESTMENT BY UPS
UPS announced in 2014 plans to invest upwards of $2 Billion in its European infrastructure by 2020. The acquisition of Nightline is part of that strategy.
The growth in Europe is important to UPS as it continues to expand its cross-border services. Faster, easier, and more reliable access to European markets will be a significant benefit to U.S. and other non-European shippers.
EUROPEANS LOVE AMERICAN PRODUCTS
Currently, U.S. made products are more expensive to Europeans due to a high Dollar. However, trade with EU member states in 2016 surpassed Canada as the U.S. number 1 export market.
As the EU block recovers from some countries sluggish economies, the Euro should gain strength. U.S. firms should see a further increase in European exports over the next few years.
Current export numbers to the EU do include Great Britain.
With BREXIT looming in about two years, there will be some uncertainty on trade with the U.K.
However, this should be a short-term problem, and the future of U.S. exports to Europe will continue to be bright.
The continuing investments by UPS, Fedex, and other logistics companies is a clear indicator that cross-border trade for U.S. companies is here to stay.