For decades, supply chain performance was measured by one overriding objective: efficiency. Businesses invested heavily in reducing inventory, shortening lead times, consolidating warehouse networks and removing unnecessary costs from their operations. Leaner supply chains were widely seen as stronger supply chains.

Today, that assumption is being challenged.

Disruptions are no longer isolated events that happen once every few years. Port congestion, supplier shortages, transport delays, infrastructure constraints and shifting customer demand have become familiar parts of the logistics landscape. The question is no longer whether disruption will occur, but how well a business can respond when it does.

An efficient supply chain is designed for normal operating conditions. A resilient supply chain is designed for the exceptions.

When Efficiency Creates Risk

Lean operations have transformed supply chains around the world. Lower inventory levels reduce carrying costs, fewer suppliers simplify procurement and centralised distribution networks often improve operational efficiency.

Those same decisions, however, can also reduce flexibility. A manufacturer relying on a single supplier may benefit from lower purchasing costs, but a disruption at that supplier can quickly affect production. Likewise, a centralised distribution centre may reduce operating expenses, yet any disruption at that facility can impact customers across an entire region.

Efficiency remains essential, but many businesses are recognising that removing every buffer from the supply chain can introduce new risks that are far more expensive when something goes wrong.

The Return of Strategic Buffers

For years, holding additional inventory was often viewed as inefficient. Today, that conversation is becoming more balanced.

Safety stock, once seen primarily as an added cost, is increasingly being recognised as a practical way to manage uncertainty. The same applies to supplier diversification. While working with multiple suppliers can increase procurement complexity, it also reduces dependence on a single source for critical materials or components.

These decisions don’t represent a move away from efficiency. They reflect a growing recognition that resilience sometimes requires carefully planned redundancy rather than eliminating every spare capacity within the network.

Looking Beyond a Single Distribution Centre

For many businesses, operating from one large distribution centre has always made financial sense. It can simplify operations, reduce overheads and make inventory easier to manage. The challenge comes when that one facility experiences delays or has to support customers spread across a large geographic area.

That’s why some organisations are taking another look at how their networks are set up. Regional distribution centres may cost more to operate, but they can shorten delivery times, reduce transport distances and make it easier to keep goods moving when one part of the network comes under pressure.

Technology is helping businesses make those decisions with greater confidence. Instead of relying on assumptions, supply chain teams can see how inventory is moving, where transport delays are occurring and which parts of the network are carrying the most risk.

Looking Beyond the Lowest Cost

For a long time, supply chain performance was judged largely on cost. Lower transport spend, leaner inventory and better warehouse utilisation were all signs of an efficient operation.

Those measures still matter, but they’re no longer telling the whole story. Businesses are also asking different questions. How quickly can we recover if a supplier can’t deliver? How much disruption can our network absorb before customers feel the impact? Are we meeting service expectations consistently, even when conditions change?

Those questions don’t replace efficiency – they add another layer to it. The strongest supply chains aren’t always the cheapest to run. More often, they’re the ones that continue performing when the unexpected becomes part of the working day.

The investment will focus on expanding logistics capacity, upgrading infrastructure, and accelerating decarbonization efforts across all DHL divisions in the country.

• Reinforcing France’s role as a key European logistics hub through targeted infrastructure and sustainability investments
• Total DHL investment of nearly € 900 million in France over ten-year period up to 2027

Bonn/Paris, June 4, 2026: DHL Group, the world’s leading logistics company, today announced plans to invest around € 160 million in France between 2026 and 2027, reinforcing its long-term commitment to one of its largest European markets. With this new investment, DHL Group’s total investments in France over the 10-year period between 2018 and 2027 will reach nearly € 900 million, underlining its role in strengthening the country’s logistics infrastructure and industrial competitiveness.

The announcement was made on the sidelines of the 9^th edition of the Choose France Summit, a flagship event organized to showcase the attractiveness of the French market for international businesses.

The investment will focus on expanding logistics capacity, upgrading infrastructure, and accelerating decarbonization efforts across all DHL divisions in the country. It forms part of the Group’s strategic ambition to support resilient supply chains and sustainable economic growth in France and across Europe.

“France is a vital logistics hub at the heart of Europe and a key market for DHL Group,” said Tobias Meyer, CEO of DHL Group. “With this investment, we are strengthening our infrastructure, growing our capabilities, and accelerating our transition toward low-emissions logistics. This enables us to better support our customers’ growth while contributing to France’s competitiveness and sustainability ambitions. For customers who are serious about service and sustainability, DHL is the obvious choice. We have by far the highest share of sustainable aviation fuel and electric delivery vehicles in our industry.”

Strengthening infrastructure and supply chains

The planned investments will span all DHL business units operating in the French market:

DHL Express will invest in fleet modernization, electrification, charging infrastructure, and operational equipment, alongside continued development of its network and facilities. Since 2018, 20 real estate projects have been carried out, including the opening of the Paris Charles de Gaulle (CDG) Hub in 2021 and Lyon-Saint Exupéry Gateway in 2025.

DHL Global Forwarding will develop alternative fuel vehicles and enhancements to handling equipment and warehousing infrastructure to reduce environmental impact from operations.

DHL Freight will continue to invest in alternative fuel vehicles and facilities. Since 2018, six real estate projects have been completed, and another six projects will be delivered by 2030.

DHL Supply Chain will continue to invest in state-of-the-art warehouse facilities, expanding its footprint in key locations such as southern Paris, Orléans and Lyon to meet rising demand for 3PL services, notably in life sciences, healthcare, manufacturing, technology and e-commerce. It will also strengthen its 4PL capabilities through its Toulouse control tower, delivering end-to-end orchestration across complex, multi-partner networks.

Accelerating the transition to low-emissions logistics

A significant share of the € 160 million investment will be dedicated to sustainability initiatives, supporting DHL Group’s goal of achieving net-zero greenhouse gas emissions from logistics activities by 2050. Key initiatives include expansion of the company’s electric vehicle fleet and charging infrastructure, increased use of sustainable aviation fuel (SAF), deployment of solar energy solutions across logistics sites, transition to low-carbon fuels such as biodiesel for heavier goods vehicles and continued electrification of warehouse equipment and energy-efficient building technologies.

Driving growth in key sectors

DHL Group is actively expanding its operations in strategic sectors such as life sciences and healthcare, aerospace, and advanced manufacturing, while continuing to grow its services for small and medium-sized enterprises (SMEs) and e-commerce customers.

Recent developments include new partnerships and contracts in pharmaceuticals and industrial sectors, as well as the expansion of fulfillment and specialized logistics solutions.

Long-term commitment to France

With a longstanding presence in France since 1976, DHL Group has become a key partner in enabling trade and supporting economic growth across the country. With this new investment plan, DHL Group’s total investments in France over 10 years (2018-2027) will reach nearly € 900 million, underlining its role in strengthening the country’s logistics infrastructure and industrial competitiveness.

The company continues to expand its activities across the country, supporting regional development, creating jobs, investing ahead-of-the-curve in sustainable operations, and enabling international trade for businesses of all sizes, while reinforcing the resilience and competitiveness of the French economy.

A significant milestone was reached in the South African logistics sector with the recent launch of the Multimodal Inland Port Association (MIPA). This new association was launched during the Transport Forum, an online event on 23 May 2024 attended by over 250 delegates, with a distinguished panel from industry, Transnet and academia. The event marked what many are calling the dawn of a rail renaissance in the country.

MIPA addresses a critical need in South Africa’s logistics landscape, which is increasingly grappling with rising costs and severe congestion. The association aims to act as the unified voice for inland ports across the nation, focusing on promoting, supporting, and advocating for the increased movement of cargo from road to rail.

“Transporting more cargo by rail has become an imperative, considering the growing cost of logistics in South Africa. It is no longer just a nice-to-have,” says Warwick Lord, MIPA Chairman.

MIPA aims to reform the rail industry through private investment, foster trade activities that meet social objectives, and facilitate the crucial transfer of goods from road to rail. By optimising industrial and logistics activities through efficient multimodalism, logistics costs will be reduced, and efficiency will be improved.

Formed by leading entities in the transportation sector, including the Cato Ridge Inland Port, Tambo Springs Development Company, Portfutures, Autoforce, Mac Group, Cape Town Inland Port, the Cape Winelands Airport, the Musina Intermodal Terminal, RailRunner South Africa, and RailRunner Services, the association is committed to collaborating on best practices, particularly in through private sector participation (PSP). It will work closely with government and state-owned enterprises.

“We aim to create one voice for inland ports, driving workable multimodal solutions that deliver efficiency, cost reduction, and much-needed resilience to the South African supply chain. By doing so, we can mitigate the impact of external shocks and ensure stability in the logistics sector,” says Lord.

MIPA’s strategy to drive more cargo from road to rail includes using innovative multi-nodal technology and improving collaboration with other freight hubs and stakeholders, to optimise each supply chain link from a cost and efficiency perspective.

“Inland ports increase accessibility through long-distance transport corridors, leading to lower distribution costs and improved capacity by consolidating freight volumes,” explains Lord. “These multi-modal terminals can handle large amounts of cargo continuously, allowing sea ports to extend their cargo base, which is crucial given the increasing size of vessels.”

Furthermore, inland ports provide significant dedicated logistics developments, proximity to rail and highways, ample truck parking, and less traffic congestion.

Lord says MIPA is dedicated to facilitating free trade and promoting sustainable practices. The association will support its members in complying with sustainable development goals and the SADC Vision 2050.

Dr Juanita Maree, CEO of the South African Association of Freight Forwarders (SAAFF), highlighted the launch of MIPA: “Our logistics network is at a turning point, with more alignment across the country than ever before. By working together, we can achieve significant advancements. It is crucial to continuously foster dialogue, share insights, and raise awareness to build a sustainable supply chain for the future.”

According to Lord, MIPA will aim to expand its membership, encouraging more stakeholders to join and contribute to the conversation.

“The business community plays a vital role in developing and facilitating trade within the logistics and supply chain environment. We will lobby warehousing, transport, and consulting businesses through these channels to join MIPA. We will also seek to include State-Owned Enterprises (SOEs) – as they are significant players nationally and globally – while fostering a close-working environment with the government,” concludes Lord.