CMA CGM to buy FedEx’s contract logistics unit for $1.4B

CMA CGM has reached an agreement to acquire FedEx Supply Chain for $1.4 billion, a move that will significantly expand the North American footprint of its subsidiary, CEVA Logistics. The deal, expected to close in 2026, includes the establishment of multiyear ocean and air freight partnerships between the two global logistics giants. This transaction highlights a strategic shift as CMA CGM aggressively expands its logistics capabilities while FedEx streamlines its portfolio to focus on high-value industrial segments.

The acquisition of FedEx Supply Chain, which was originally acquired by FedEx as Genco in 2015, will nearly triple the size of CEVA Logistics’ contract logistics operations in North America. Upon completion of the $1.4 billion deal in 2026, the combined entity is projected to operate approximately 150 warehouses and employ a workforce of 20,000 people across more than 240 locations. As of May 2025, FedEx Supply Chain reported having approximately 11,500 employees at nearly 150 facilities, providing services ranging from inbound logistics and warehousing to fulfillment and returns for industries like healthcare, technology, retail, and industrial goods.

Beyond the asset transfer, the two companies intend to enter into strategic multiyear agreements for ocean and air freight, slated to commence in phases through 2028. Under these terms, CMA CGM will serve as FedEx’s preferred ocean carrier on a non-exclusive basis, while both firms will collaborate on air cargo capacity solutions to improve aircraft utilization and flexibility for long-haul capacity. CMA CGM Chairman and CEO Rodolphe Saadé characterized the deal as a major step in developing the group's North American logistics activities, which is further supported by a $20 billion investment plan into U.S. operations announced for a four-year period starting in 2025.

For FedEx, the sale represents a continued effort to slim down its operations following the recent spinoff of its less-than-truckload unit, FedEx Freight. FedEx President and CEO Raj Subramaniam stated that streamlining the portfolio allows the company to focus on high-value customer segments, including automotive, aerospace, and data centers, while positioning the firm to serve as the heartbeat of the industrial economy. This divestiture follows other recent acquisitions by CMA CGM, including the Fattal Group and Crystal Aero Solutions, as the shipping giant continues to aggressively expand its global logistics footprint.