DB Schenker is in talks with less-than-truckload operator Estes Express Lines to turn over management of the forwarder’s U.S. ground network to the trucker and complete Schenker’s downsizing of its domestic transportation operations in the country.
DB Schenker said the “strategic relationship” with Estes and its customized solutions division would give the forwarder better reach and more efficient distribution in the U.S. market
It also marks the next step in a U.S. realignment the company began this year with the elimination of its domestic air freight network, the former BAX Global system that had flown out of a Toledo, Ohio, nub.
DB Schenker said the restructuring is aimed at focusing on the international shipping that is the forwarder’s strength while using partners with stronger reach to handle distribution within the United States.
“The relationship with Estes allows us to further capitalize on additional economies of scale and expertise to offer a broader, higher quality domestic transportation offering to our customers in terms of reach, speed and reliability,” Heiner Murmann, Schenker CEO, said in a statement.
The company said it will eliminate about 500 positions in North America and that those workers would be given the chance to get jobs at Estes or at other Schenker operations.