Change on the logistics market?

“Six sells” was a title line in the latest issue of DVZ (the leading German publication for transport logistics). It was referring to the price increases for road transport announced for the 1st October by DB Schenker, the forwarder subsidiary of Deutsche Bahn. DSV Road immediately went along with this and likewise announced a price increase of 6% from 1st October. Whilst DSV and Schenker rush into the offensive, other heavyweights in this sector were more tentative, for example “We will have to look into the question of possible price adjustments” said Dachser CEO Bernhard Simon.

Now as a company buyer, one asks oneself the question as to the justification of the Schenker and DSV suggested 6% in a year with dropping fuel costs. The service providers have indicated many causes: increased production costs due to traffic growth, border controls in the Schengen area, required investments in digitalisation, network extension and the mega issue of personnel resources with the carriers.

There is talk of a general change in the market conditions from a buyer to a seller market. In upcoming price negotiations with service providers, it is important to stabilise the business relationship long-term on a fair basis for both parties.

The HDS International Group would be pleased to support you in these issues.