Subscribe to our free, weekly email newsletter!


Schneider Logistics to sell off U.S. and China freight forwarding customs house brokerage businesses

By Jeff Berman, Group News Editor
September 01, 2010

Third-party logistics (3PL) services provider Schneider Logistics, a subsidiary of Schneider International, said it will sell its United States- and China-based freight forwarding and customs house brokerage businesses to Norbert Denressangle, a Lyon, Paris-based provider of transportation, logistics, and freight forwarding services.

The deal is expected to close by October 1. Financial terms were not made available.

Schneider officials said that this acquisition does not impact the company’s other global supply chain offerings, including transloading, warehousing, distribution, port drayage services, inland logistics management, supply chain management, brokerage, or domestic China transportation services. They added that the 56 Schneider Logistics employees will effectively become Norbert Denressangle employees and that there will be no job losses resultant from the sale.

A Schneider spokesperson told LM there were multiple drivers for the company to sell off its United States- and China-based freight forwarding and customs house brokerage businesses, which is has operated since 2006.

“Like most divestitures, for Schneider this is about focus,” said the spokesperson. “While the freight forwarding and customs house brokerage business has great potential, it is not part of our current strategic focus on our core truckload, logistics and intermodal services. This sale puts the business in the hands of a company that plans to invest in the people, technology and resources to grow the business. Schneider was approached by Norbert Dentressangle and the deal came together fairly quickly.”

The spokesperson also said that Schneider will continue to provide freight forwarding and customs house services by working with companies like Norbert Dentressangle.

Norbert Dentressangle was established in 1979 and reported 2009 revenues of $3.5 billion (U.S.). The company has 27,000 employees in 355 locations in 17 countries.

Schneider CEO and President Chris Lofgren said in a statement that the expertise of Schneider’s freight forwarding and customs house brokerage team will enable Norbert Dentressangle to grow its existing business and leverage its European customer base to generate new business in the United States for themselves as well as Schneider’s current customers.

Armstrong & Associates President Evan Armstrong told LM that this deal signals a retrenchment of sorts by Schneider.

“Earlier this year Schneider outsourced a lot of its European functions and operations to Exel, and this is a continuation of them retrenching,” said Armstong. “It is pretty surprising they are getting out of the Chinese market, considering that is one of the major growth markets globally. But it definitely looks like they are retrenching and regrouping around its core U.S. operations. It is a definite sign of weakness for its logistics operations.”

About the Author

Jeff Berman headshot
Jeff Berman
Group News Editor

Jeff Berman is Group News Editor for Logistics Management, Modern Materials Handling, and Supply Chain Management Review. Jeff works and lives in Cape Elizabeth, Maine, where he covers all aspects of the supply chain, logistics, freight transportation, and materials handling sectors on a daily basis. .(JavaScript must be enabled to view this email address).


Subscribe to Logistics Management magazine

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your
entire logistics operation.
Start your FREE subscription today!

Recent Entries

Manufacturing activity in April remained on the right side of growth for the second straight month, following six months of contraction, according to the April edition of the Manufacturing Report on Business from the Institute for Supply Management (ISM).

Some 22 centuries after the original Silk Road smoothed the path of Chinese silk merchants to Europe, a new effort is beginning to build a new 21st century highway between Europe and the burgeoning economy of China, now the world’s fastest-growing market.

A new study released recently from global management consulting firm A.T. Kearney promises to provide supply chain managers valuable advice on risk mitigation

The most recent edition of the Shippers Conditions Index (SCI) from FTR showed solid gains for the fourth straight month, with market trends remaining favorable for shippers.

Shippers and other ocean cargo carrier stakeholders should be cheering the announcement made today by The U.S. Coast Guard, as it formally notified the International Maritime Organization through a Declaration of Equivalency that the United States position on SOLAS is that there are multiple methods to submit the combined cargo and container weight (Verified Gross Mass or VGM).

Comments

Post a comment
Commenting is not available in this channel entry.


© Copyright 2016 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA