DHL to Invest $137 Million in U.S. E-Commerce Operations

By Laura Stevens

Deutsche Post AG's DHL plans to invest $137 million in the U.S. market to expand its e-commerce capability, as the German mail and logistics giant seeks to better compete in the world's largest cross-border package-delivery market.

DHL said Wednesday it plans to build eight new e-commerce distribution centers and expand two that it is already operating. At these centers, retailers can stock items for sale online so that when a U.S. customer makes an order, the item will reach them more quickly. The company already has 20 distribution centers in North America.

"Our customers are asking for specific support and services when building up that online presence," said Thomas Kipp, head of strategy and business development for DHL e-commerce. Mr. Kipp said consumers are becoming "more demanding" in terms of speed of delivery.

Write to Laura Stevens at laura.stevens@wsj.com

(END) Dow Jones Newswires

July 27, 2016 15:03 ET (19:03 GMT)

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