FedEx sells supply chain unit to CMA CGM for $1.4B

France-based instrumentality shipping and logistic elephantine CMA CGM Group has agreed to get FedEx Supply Chain, the declaration logistics limb of FedEx Corp., for $1.4 cardinal successful endeavor value, the companies announced connected Wednesday. The acquisition, expected to adjacent aboriginal this year, would astir triple the size of the North American declaration logistics operations of Ceva Logistics, a subsidiary of CMA CGM.

With roots successful water shipping, privately held CMA CGM has spent the past decennary gathering a one-stop-shop for logistics services, including its ain all-cargo airline. 

The combined entity would run astir 150 warehouses, expanding CEVA's wide beingness successful North America to a combined workforce of 20,000 radical located astatine much than 240 locations, according to the announcement.

CMA CGM and FedEx (NYSE: FDX) said they volition participate into multi-year commercialized agreements related to aerial and water freight, erstwhile the transaction is finalized. CMA CGM volition go a preferred water bearer for FedEx, offering water transport and bearer services nether a non-exclusive agreement. The companies volition besides enactment unneurotic connected prime aerial cargo capableness solutions to heighten their respective planetary networks, summation craft utilization and supply much flexible shipping options. 

FedEx precocious signed a memorandum of knowing with China Southern Airlines to besides collaborate connected aerial cargo transportation.

The aerial cargo and water freight agreements are expected to commence successful antithetic phases betwixt present and 2028.  

FedEx Supply Chain is simply a comparatively tiny portion of FedEx, which volition present absorption connected its freight proscription and parcel transportation services. The quality follows FedEx's spin-off of FedEx Freight, its less-than-truckload business, connected June 1. 

"Today's announcement enables FedEx to further summation our absorption connected providing our unsocial expertise for high-value verticals, including healthcare, automotive, aerospace and information centers. By streamlining our portfolio, FedEx is amended positioned to execute our semipermanent imaginativeness and proceed to service arsenic the heartbeat of the concern economy, delivering unmatched connectivity, reliability, and worth to our customers globally," said CEO Raj Subramaniam successful a quality release.

FedEx Supply Chain had astir 11,500 employees astatine astir 150 facilities arsenic of May 31, 2025, according to the company's latest yearly report. The part provides a broad scope of integrated logistics services for retailers and manufacturers, including inbound logistics, warehousing and distribution, fulfillment, declaration packaging and merchandise configuration, systems integration, returns process and disposition, test, repair, refurbishment, and merchandise liquidation.