- UPS is investing more than $2 billion into its business across its international, healthcare, and supply chain solutions businesses, the company told CNBC exclusively on Monday.
- The ongoing investments began in 2024 and will continue through 2028, but UPS said it had not previously disclosed the total investment.
- Some of the projects under the investment include a new hub in the Philippines this year, a new Canadian facility opening next year in Ontario, and a new air hub at Hong Kong International Airport in 2028.
- Healthcare segment hits $3 billion quarterly revenue for the first time in company history during the first quarter of 2026.
- Supply chain solutions margin improves to 10.2% in the second quarter of 2026, representing significant improvement from the 8% margin recorded in the same period one year prior.
- UPS's investment program is its largest coordinated infrastructure investment program, targeting international operations, healthcare logistics, and supply chain solutions.
- Scott Szwast, vice president of international strategy at UPS, explained that the capital allocation responds to customer demands for managing increasingly complex global distribution networks.
- Infrastructure milestones include a distribution center at Clark Airport in the Philippines launching in the fourth quarter of 2026 and a facility in Ontario, Canada, due to open in 2027.
- UPS has also opened a technology-enabled logistics center in Taiwan and an Amsterdam facility that integrates freight forwarding, customs brokerage, and cold-chain capabilities under one roof.
UPS is investing over $2 billion in its international, healthcare, and supply chain solutions sectors, marking its largest infrastructure investment program to date. The initiative, which began in 2024 and will continue through 2028, aims to enhance logistics capabilities amid increasing global supply chain complexities.
The investment will fund new facilities, including a hub in the Philippines set to launch in 2026, a Canadian facility in Ontario expected to open in 2027, and a major air hub at Hong Kong International Airport scheduled for 2028. UPS's vice president of international strategy, Scott Szwast, emphasized that these investments are aligned with the company's focus on helping customers navigate complex supply chains.7
UPS has also opened a technology-enabled logistics center in Taiwan and a facility in Amsterdam that integrates various logistics services. The Taiwan center has successfully reduced supply chain time by one day through automation and robotics.
In the first quarter of 2026, UPS's healthcare segment achieved a milestone, generating over $3 billion in revenue for the first time. CEO Carol Tomé noted that the company has consistently expanded its healthcare market share since 2021. The investments also include $48 million for climate-controlled warehouses to handle temperature-sensitive pharmaceuticals, including GLP-1 weight management medications.
As corporations diversify their sourcing and distribution networks, UPS's strategic investments aim to enhance operational efficiency and adaptability in a rapidly changing market landscape.
“The investment includes $48 million for 27 temperature-controlled warehouses to handle GLP-1 drugs, and UPS's healthcare segment hit $3 billion in quarterly revenue for the first time in Q1 2026. CEO Carol Tomé said the company has grown healthcare market share every year since 2021.”
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