DHL Worldwide Express, a unit of Deutsche Post, has won a major battle against package delivery rivals United Parcel Service and FedEx Corp. when the Department of Transportation denied a petition to revoke its freight forwarding operation, according to news reports.
The agency said there was no evidence that DHL was competing or will compete unfairly with U.S. firms and should keep its license. However, the department said it could take action in the future if it finds that things change.
The Transportation Department also ruled that it would not launch a formal probe of the ownership structure of U.S.-based DHL Airways, which is partially owned by DHL Worldwide’s parent, Brussels-based DHL International in which Deutsche Post has a controlling interest.
For the past few years, Deutsche Post, the privatized German post office, has been working toward becoming a major player in the worldwide delivery business. This decision helps clear the way for DHL to expand its now miniscule presence in the U.S. parcel and express delivery markets. It could also lead to further U.S. expansion by privatized postal services in the U.K., France and the Netherlands.
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