Supply Chain and Logistics News June 16th – June 19th 2025

Summer is in full swing, and this was another full week of Supply Chain & Logistics news. Firstly, the US and the UK have signed a partial trade agreement which includes a reduction in tariffs on UK and US exports. DHL Express Canada has been faced with looming union conflicts, causing it to currently halt operations. General Motors announced 3 assembly plants to be located in the United States with a combined $4 billion in investment. PepsiCo reports major savings on fuel costs after onboarding EV semi trucks at its Fresno facility. Lastly, Amazon has launched a fully robotic fulfillment center in Massachusetts. Read more below for the full breakdown!

Here is your news for the week: 

US and UK Sign Parts of Trade Deal

President Donald Trump has signed an order confirming parts of a UK-US tariff deal, which aims to reduce trade barriers between the two countries. The agreement includes a reduction of tariffs on UK cars shipped to the US from 25% to 10%, and a similar system is being considered for steel and aluminum. However, the deal still imposes a 10% levy on most UK goods and does not address the removal of steel import charges. The UK government hopes this deal will protect British businesses from the impact of US tariffs, but there are still concerns about the long-term effects on industries like steel and bioethanol. The deal also includes a tariff-free quota for US ethanol and an increase in the quota for US beef imports, with assurances that food safety standards will be maintained.

DHL Express Canada to Suspend Operations Nationwide 

DHL Express Canada plans to suspend operations nationwide starting June 20 due to stalled contract negotiations and labor disruptions. Ahead of this shutdown, the carrier will cease importing international packages as of June 17. The strike, initiated by Unifor union workers on June 8, follows a lockout by DHL. The union is demanding significant wage increases and better working conditions, while DHL argues that these demands are economically unfeasible. The situation is further complicated by new legislation prohibiting the use of replacement workers during strikes, which takes effect on June 20. This labor unrest is part of a broader trend affecting Canada’s parcel delivery sector, with Canada Post employees also facing contract disputes.

GM is investing $4B in Three Plants to boost Domestic Production 

General Motors (GM) announced a $4 billion investment in its U.S. assembly plants across Michigan, Kansas, and Tennessee to boost production of both gas and electric vehicles. This move aims to mitigate the impact of tariffs on imported automobiles and parts and to support American jobs. The investment will increase GM’s capacity to build 2 million vehicles annually in the U.S. by 2027. Key projects include expanding production of popular models, such as the Chevrolet Equinox and Blazer, and enhancing facilities for next-generation electric vehicles. GM’s commitment underscores its belief in American innovation and manufacturing expertise.

PepsiCo Expects Nearly $1M in Fuel Savings for its EV Semitrucks

PepsiCo anticipates saving nearly $1 million in fuel costs for charging its fleet of 50 electric semitrucks at its Fresno, California, bottling facility, thanks to Pacific Gas and Electric Company’s Flex Connect program. This program allows daytime charging and increases the site’s charging capacity from 3 megawatts to 4.5 megawatts, enabling PepsiCo to charge its entire fleet more efficiently. The quick charging turnaround, from zero to 80% in about 40-60 minutes, helps maintain smooth operations. This initiative is part of PepsiCo’s broader sustainability goals, with additional EV fleet sites planned for the future.

Amazon Opens Robotic Fulfillment Center in Massachusetts 

Amazon’s new robotics fulfillment center in Charlton, Massachusetts, spans 2.8 million square feet and features hundreds of robots capable of lifting up to 1,500 pounds. This facility supports over 1,000 employees in fulfilling tens of thousands of orders and represents Amazon’s largest investment in Massachusetts, totaling over $300 million. The center is part of Amazon’s strategy to enhance productivity and reduce manual tasks through advanced robotics.

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