FedEx Uses Canada Post to Enhance Service

The company points out that FedEx SmartPost, a FedEx Ground subsidiary, uses the US Postal Service for final mile residential deliveries of lower-weight, less time sensitive business-to-consumer packages. This new arrangement with Canada Post Corp. is similar to the US service offering.

FedEx SmartPost International makes use of Canada Post’s Borderfree services. The cross-border solution incorporates broker service, paperless electronic Customs clearance, no need for recipients to pay collect on delivery or remit on delivery charges and intra-Canadian returns service with duty and tax refunds.

Ward B. Strang, president of FedEx SmartPost, claims, “The success of FedEx SmartPost in the United States has been driven by our unique, economical service offering for catalogers, e-tailers and other companies that ship low-weight packages. We are expanding service into Canada based largely on requests from existing shippers who are looking for the same value, plus the added benefit of a comprehensive customs clearance solution.”

This new service is available to all residential addresses, including P.O. boxes, in Canada and includes around-the-clock shipment tracking status updates via fedex.com. Canada Post explains it delivers more than 11 billion pieces of mail each year to 14 million destinations.

Louis O’Brien, president of Canada Post’s Parcels Division, observes, “This agreement is good for both FedEx and Canada Post It will provide additional business for Canada Post, while offering FedEx SmartPost customers the convenience of our seamless Borderfree solution and our delivery network throughout Canada.”