UPS Dumps 2 Million Daily Packages to Focus on Profit

UPS has ended its relationship with Amazon, eliminating about 2 million pieces of lower-quality Amazon volume per day. This reduction in volume will result in approximately $4.5 billion of related expenses for UPS.

According to UPS's CEO Carol Tomé, the company successfully completed its 'Amazon glide down and related network reconfiguration initiatives as designed.'

The move is expected to boost UPS's profitability, with its U.S. domestic revenue rising 6% year over year in the second quarter, driven by a 9.3% increase in revenue per piece.

Meanwhile, Amazon has taken on the responsibility of delivering these packages itself, with its delivery arm handling an estimated 6.7 billion U.S. parcels in 2025, surpassing the U.S. Postal Service as the country's largest parcel carrier by volume.