CMA CGM, a French container shipping company, is reportedly nearing a $1.4 billion cash deal to purchase FedEx's third-party logistics division, FedEx Supply Chain. Talks between the two companies have progressed significantly, with a deal potentially being finalized as early as Wednesday. This acquisition would allow CMA CGM to further diversify into air freight and logistics.
For FedEx, this sale comes just a month after it spun off its trucking division, FedEx Freight. The company aims to concentrate on its core network of air-ground deliveries. FedEx Supply Chain specializes in order fulfillment and product returns for major retail chains.
The strategic shift by FedEx follows a period where global tariffs, particularly those imposed by former President Donald Trump, have impacted demand for delivery services. Changes in U.S. trade policies, including the potential end of duty-free low-value e-commerce from China-linked discount retailers like Shein and Temu, have also affected shipping volumes.
