MANILA, Philippines — Logistics leader DHL Express is increasing its delivery prices in the Philippines by 5.9 percent in 2025 to cover additional costs in an uncertain landscape here and globally.
DHL Express said that its delivery rates would go up by 6.9 percent starting January 1, 2025 as part of the annual adjustment in the prices of its logistics services.
This means that Filipinos will have to pay more to send their shipments within and outside of the Philippines through one of the biggest logistics players in the world.
DHL Express Philippines country manager Nigel Lockett said the price increase ensures that the company could sustain the quality of delivery services.
Similarly, the adjustment covers the impact of supply interruptions and the worsening of geopolitics that is haunting all industries.
Logistics, in particular, is taking a hit from the sudden boom in transport demand, as companies try to achieve post-pandemic recovery by scaling up capacity. Moreover, the escalating conflicts in the Middle East are causing stress to shippers who rely on predictability.
“We are committed to deliver stable and dependable services globally despite the ongoing impact of geopolitical dynamics and supply chain disruptions on the logistics landscape,” Lockett said.
“With annual price adjustment, we can continue to invest in our network to enhance its resilience and adaptability, ensuring consistent support for our customers’ businesses regardless of external circumstances,” he added.
Yearly, DHL Express changes its delivery rates to account for currency fluctuations and inflation movements in a country.
Likewise, the courier has to adjust its logistics prices to consider regulatory and security policies. DHL Express noted that authorities regularly update the regulatory environment for logistics in the more than 220 countries and territories it serves.
In a study conducted by the Department of Trade and Industry, the Philippines was found to have the highest logistics cost in Southeast Asia.
In the country, manufacturers have to allocate 27.16 percent of their sales for logistics, compared to Indonesia’s 21.4 percent, Vietnam’s 16.3 percent and Thailand’s 11.11 percent.
As for DHL Express, the Philippines serves as one of its most crucial markets in the region, and the courier is matching the growing demand here with more capacity.
In 2023, DHL Express stationed an Airbus A330-300 in the Philippines, assigning it as the cargo aircraft delivering shipments to Manila, Cebu and Hong Kong.