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GLOBAL FORWARDING, FREIGHT Division
Customised global transport solutions
DHL Global Forwarding in figures
- Countries and territories: >150
- Locations: >810 branches
DHL Freight in figures
- Countries: >53
- Locations: >160 branches
With its Global Forwarding and Freight business units, DHL is the world's largest provider of air and ocean freight services and one of the leading overland freight forwarders in Europe and the Middle East. We develop global and individual transport solutions for our customers, provide capacity and co-ordinate the dispatch of goods and information in more than 150 countries. To do so, we rely on the competence of around 41,000 employees along with reliable partners.
We broker between our customers and freight carriers and combine their orders in order to reach a volume that allows us to secure cargo space and charter capacity from airlines, shipping companies and freight carriers at competitive prices. We also make use of the air freight capacity of our EXPRESS division. Since we purchase transport services rather than providing them ourselves, we are able to operate our business with a very low level of fixed assets.
Business units
World market leader in air freight and number two in ocean freight
In Global Forwarding, DHL is the world leader in air freight services and one of the leading providers of ocean freight services. Around 30,000 employees work to ensure the transport of all kinds of shipments by air or sea. Our logistics solutions span the entire supply chain, from the factory to the shop floor. They also include special transport-related services. We store, collect and deliver the goods, handle customs formalities, insure the load and supply product-related information. In this way, we ensure safety and reliability across national borders.
Our customers come from companies of all sizes. They operate primarily in the Technology, Pharmaceuticals, Automotive, Engineering & Manufacturing, Consumer and Fashion & Apparel sectors. We also plan and implement industrial logistics projects worldwide, in particular for the energy industry. To an increasing extent, we also contract for transport management services in order to combine all means of transport for our customers with the goal of reducing complexity, improving quality and lowering costs.
Air freight market shaped by capacity shortages
The air freight market improved in 2010 compared with the previous year. Demand was up; however, freight capacity shortages existed, resulting in a substantial rise in freight rates. For this and other reasons, we significantly expanded the charter business of our subsidiary StarBroker. Due to a well-established network, we were able to help our customers overcome the challenge that faced the air freight industry as a result of the eruption of the Eyjafjallajökull volcano in Iceland.
Ocean freight business sees increased volumes
In the ocean freight business, we are the world leader in less-than-container-load services and we are one of the two leading providers of full-container-load services. The ocean freight market declined in 2009 compared with the prior year. However, we were able to increase our volumes in 2010 from 2.615 million to 2.772 million TEUs, which brought us back up near pre-crisis levels.
The market handled substantial volume increases, especially in the first half of 2010. Market capacities were stretched, particularly on trade lanes between Asia and both Europe and North America, which presented a challenge.
Market share in European overland transport slightly expanded
With a workforce of around 11,000 in 53 countries, DHL’s Freight business unit is one of the largest overland freight forwarders in Europe, the Middle East and North Africa. In this business, we also see ourselves as a broker of capacity. Our overland transport services include full-truckload, part-truckload and less-than-truckload solutions. We also offer intermodal transport services with other carriers, especially rail transport companies. Our range of services also comprises handling customs formalities and providing insurance.
In 2009, the European market for road transport shrank by around 16% year-on-year as a result of the financial and economic crisis. Based on our own calculations, we were able to expand our market share slightly. Since the beginning of 2011 a significant volume increase has however again been recorded.
