What's New?
UPS has invested $48 million in 27 temperature-controlled freight cross-dock facilities across Europe, Asia and the Americas to strengthen its global cold-chain network.

Why It Matters:
The expansion gives healthcare customers a single, integrated network that reduces handoffs, protects product integrity and keeps temperature-sensitive medicines moving reliably from manufacturing to patient.

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UPS has announced a $48 million investment in 27 temperature-controlled freight cross-dock facilities around the globe. Located in key international markets across Europe, Asia and the Americas, the facilities support speed and short-term storage between air and ground movements while holding products within specific temperature ranges of 15˚C to 25˚C, 2˚C to 8˚C, and frozen. All sites carry IATA CEIV Pharma certification, an industry-recognized standard for pharmaceutical handling and quality.

The investment responds to consistent growth in temperature-sensitive medicines. According to Growth Market Reports, demand for temperature-sensitive biologics is projected to expand at an 8.3% compound annual growth rate through 2033, reaching an estimated $39.1 billion. As therapies such as cell and gene treatments, mRNA platforms and GLP-1 injectables come to market, supply chains face added complexity and risk. Temperature excursions remain a leading concern, with cold-chain failures estimated to cost up to $35 billion annually and, according to the World Health Organization, contributing to up to 50% of global vaccine waste. PharmaSource reports that roughly one in three newly approved drugs is a biologic, with more than 85% of those requiring temperature-controlled handling.

A single integrated network helps address that risk. By eliminating handoffs between providers, UPS gives customers more accountability and real-time oversight across each shipment. A 24/7/365 control tower monitors shipments, flags risks and supports rapid intervention to keep critical products moving. The result is a more predictable, secure flow of high-value medicines across air, ocean, ground and final mile.

"We're outpacing the competition as we invest in our global cross-dock facilities to strengthen our end-to-end cold-chain capabilities to ensure critical treatments are delivered safely and reliably to patients around the world," said Kate Gutmann, EVP and President of International, Healthcare and Supply Chain Solutions at UPS. "This effort, and all of our work in healthcare logistics, extends from a deep understanding that we're doing more than moving packages. We are helping patients access the medications and treatments they need."

The cross-dock expansion builds on a long-term investment in complex healthcare logistics, strengthened through acquisitions including Bomi Group, Frigo Trans and BPL in Europe and Andlauer Healthcare Group in North America. UPS also expanded its Incheon, Korea air hub to support growing pharmaceutical trade flows, as South Korea imported nearly $9.7 billion in pharmaceutical products in 2025, according to Observatory of Economic Complexity data.

"Biologics and personalized treatments are driving better, more targeted care for patients," said John Bolla, President of UPS Healthcare. "These investments reflect our commitment to strengthening our end-to-end supply chain that helps protect innovative treatments and diagnostics, supporting better patient outcomes."

Contact us to learn how our integrated cold-chain network can support your temperature-sensitive logistics needs.

About UPS Healthcare

UPS Healthcare delivers unparalleled healthcare logistics expertise to its customers around the world. UPS Healthcare has 19.2+ million square feet of cGMP and GDP-compliant healthcare distribution space globally. Services include inventory management, cold chain packaging and shipping, storage and fulfillment of medical devices, and lab and clinical trial logistics. UPS Healthcare's global infrastructure, its UPS^® Premier visibility service, its track and trace technology, and its global quality system are well-suited to meet today's complex logistics demands for the pharmaceutical, medical device, and laboratory diagnostic industries.

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