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Two last-mile parcel carriers open massive US sortation facilities

admin by admin
October 8, 2025
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Two last-mile parcel carriers open massive US sortation facilities
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Parcel supply startup Gofo on Friday opened its first U.S. tremendous hub in Newark, New Jersey. A second massive sortation middle is scheduled to start working later this quarter in Los Angeles marking the corporate’s transition from a regional to a nationwide courier.

Spanning greater than 400,000 sq. ft, Newark is Gofo’s largest and most superior U.S. facility. Outfitted with cross-belt and narrow-belt sorters, robotic automation, and an clever logistics system, the hub processes greater than 40,000 parcels per hour and may deal with greater than 700,000 parcels day by day, the corporate mentioned in a information launch on Monday.

Quick-growing Gofo final month introduced plans to speculate $150 million within the two e-commerce distribution facilities, giving it the infrastructure for middle-mile transport and last-mile supply of shops’ e-commerce orders — and guaranteeing ample capability for peak season surges. Funding covers long-term leases and facility upgrades, set up of superior sorting expertise and robotics programs, IT and information infrastructure enhancements, workforce recruitment, associate growth and different launch actions, spokesman Tyler Dong mentioned in an e-mail alternate.

Gofo, headquartered in Los Angeles, is amongst a slew of impartial last-mile logistics suppliers that cropped up after the pandemic e-commerce growth providing decrease costs than FedEx and UPS, and powered by expertise platforms for simply integrating with clients, dispatching drivers and optimizing route choice.

Gofo was based in 2023 by Chuan Zheng, a U.S. citizen of Chinese language heritage with intensive expertise in logistics and cross-border e-commerce, who beforehand shaped an organization referred to as Ebisu.

A big share of historic quantity has come from e-commerce retailers linked to China, however the U.S. enterprise is quickly increasing its presence amongst North American retailers and smaller on-line sellers. Worldwide parcels are customs cleared by associate corporations, however the majority of shipments originate from U.S. home warehouses. The courier’s operations, management and decision-making are centered in america, in line with the corporate, Dong mentioned.

Gofo has quickly expanded its logistics basis throughout america with practically 100 hubs and stations supported by greater than 30 linehaul routes. It at the moment has greater than 1,000 full-time workers and makes use of supply service companions to offer bodily last-mile supply. The corporate has but to offer particulars about its driver pool.

The community now allows Gofo to serve 8,000 zip codes, equal to 70% of the U.S. inhabitants, together with Hawaii and Puerto Rico. By the top of 2025, the corporate expects to succeed in 10,000 zip codes, enabling 75% of shopper parcels to be delivered by means of its personal community.

In August 2025, Gofo additional accelerated its worldwide enlargement with the acquisition of Cirro Parcel, in France. The corporate additionally operates within the Netherlands and Italy.

Gofo will begin operations at its Los Angeles super hub (pictured) by the end of the year. (Photo: Gofo)
Gofo will start operations at its Los Angeles tremendous hub (pictured) by the top of the yr. (Photograph: Gofo)

Gofo delivers to 49 of the Prime 50 U.S. metropolitan areas, providing next-day supply round main hubs and three-to-five day supply throughout states and areas.

“With Newark now on-line, Gofo can transfer items sooner, smarter, and extra predictably than ever. From coast to coast, our purchasers can rely on Gofo for sooner transit occasions, decrease prices, and larger reliability,” mentioned Marshall Yuan, head of worldwide technique, within the information launch.

There are nonetheless many unanswered questions on Gofo, together with who’re its traders and main model customers, and the way it achieved a nationwide footprint in two years that’s practically equal to tremendous regional provider OnTrac, which has been working for greater than three a long time.

In the meantime, Veho, one other last-mile supply firm increasing its U.S. footprint, introduced final week the opening of a 150,000 square-foot regional distribution middle outdoors Atlanta that is ready to course of 5 occasions as many e-commerce parcels as its earlier regional hub.

The brand new automated facility, positioned in Lawrenceville, Georgia, is 3 times bigger and has 32 dock doorways, up from simply eight within the earlier facility, enabling Veho to deal with spikes in shipments in the course of the peak vacation season. The sortation middle beforehand was utilized by Pandion, the supply startup that went out of enterprise in January, in line with a LinkedIn submit from Veho co-founder Fred Prepare dinner.

Veho signed a lease to occupy the power for greater than three years, spokesman Evan Wagner mentioned.

It is going to function a hub for the courier, which depends on 85,000 crowdsourced drivers and a tech platform to match them to packages for supply, within the Southeast and allow e-commerce manufacturers to inject parcels for supply to clients throughout america.

Parcel volumes moved by means of its community have doubled up to now this yr, thanks partially to a big improve in new purchasers, in comparison with peak season final yr, in line with the corporate.

Final month, Veho expanded its supply footprint to Southern California. Veho’s community now covers 38% of the U.S. inhabitants in 56 markets.

(Correction: The spelling of Gofo proprietor Chuan Zheng was misspelled in an earlier model of this story.)

Click on right here for extra FreightWaves/American Shipper tales by Eric Kulisch.

Veho brings e-commerce supply community to southern California

OnTrac challenges FedEx, UPS with cross-country supply service

The submit Two last-mile parcel carriers open massive US sortation facilities appeared first on FreightWaves.



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