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USPS Inks $10B Multi-Year Deal with DHL eCommerce for Last-Mile Delivery

The U.S. Postal Service secured a multi-year contract exceeding $10 billion to provide last-mile parcel delivery services for DHL eCommerce, marking a significant revenue boost for the federal agency facing years of losses. The arrangement allows DHL to inject parcels into postal carrier routes, leveraging USPS infrastructure that reaches every domestic address. The deal reflects Postmaster General David Steiner's focus on growing revenue streams to stabilize agency finances following years of losses. It follows Amazon's April agreement to maintain USPS last-mile services, though at reduced volume as Amazon builds rural delivery capabilities. The Postal Service's three largest last-mile customers, including UPS, generate more than $8 billion in annual revenue. Steiner has positioned the USPS to expand its competitive parcel network while also offering middle-mile and first-mile services for end-to-end shipping solutions.