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European package volumes set record high amid rising online trade

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European package volumes set record high amid rising online trade
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Frederick W. Smith FedEx Corporation Founder and Executive Chairman | FedEx

Federal Express Corporation has released a study forecasting the package volume in Europe's year-end business for 2024. The study, conducted by Effigy Consulting, anticipates that package service providers will transport around 1.1 billion shipments in Germany between October and December. Across Europe, the total volume is expected to reach 6.2 billion shipments, marking a 9% increase compared to the same period last year.

The analysis included data from over 500,000 data points and more than 300 transport service providers across 41 countries. In 2023, the number of transported shipments during the year-end business was recorded at 5.7 billion.

Germany's estimated volume of approximately 1.1 billion packages signifies a rise of 5.3% from the previous year, accounting for 17.4% of Europe's total shipment volume in this timeframe. The United Kingdom is expected to have the highest volume with 1.3 billion shipments, representing a share of 21%. France follows Germany with an estimated volume of 524 million shipments.

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The growth is driven by an increase in online trade, with nearly 70% or about 4.2 billion shipments falling under the B2C segment. The last quarter of the year is particularly significant for European retailers and manufacturers, as it includes events like Black Friday and pre-Christmas shopping periods.

In Germany's year-end business for this year, B2C shipments are projected to constitute about 64.6% of the total volume—a rise of approximately 6.9% compared to last year’s figures. B2B shipments are expected to make up about 21.4%, reflecting an increase of around 2.4%. The remaining percentage covers C2C and C2B segments.

Stefan Dries, Vice President Ground Operations Germany, Austria, Switzerland and Benelux at FedEx stated: "FedEx is well-positioned to handle the year-end business volume with capacities for both shipping and delivery services." He added that FedEx supports its customers with customs expertise ensuring convenient shipping solutions.

The study highlights that if all packages were laid end-to-end they would cover a distance of about 1.86 million kilometers—almost five times the distance from Earth to the Moon—with a combined weight nearing seven-and-a-half million tons.

About half a billion packages sent by European companies during this period are expected to be exported within and outside the EU—a rise in intra-EU exports from Germany by approximately 2.8%.

Wouter Roels, Regional President Europe at FedEx said: "This study also shows Europe's vital role as an export region," emphasizing reliable air and road networks' importance both intercontinentally and within Europe.

FedEx uses extensive data collected during shipment processes—each shipment scanned multiple times—to monitor operations effectively during peak periods such as this year's holiday season.

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