French shipping giant CMA CGM is closing in on a $1.4bn acquisition of FedEx's logistics division, marking a significant push into North American markets. The deal would give the Marseille-based container line control of one of the world's largest express logistics networks, directly competing with DHL and UPS in the United States.

CMA CGM has been aggressively expanding its global footprint through acquisitions, spending billions on terminals, vessels, and logistics assets since 2020. The company acquired CEVA Logistics for $2.3bn in 2019 and purchased assets from Maersk's logistics unit last year. This latest move targets FedEx's supply chain solutions business, which handles freight forwarding, customs brokerage, and e-commerce fulfillment.

The transaction reflects broader consolidation across transportation and logistics sectors as companies seek scale advantages. FedEx has been divesting non-core assets to focus on its express delivery network, while CMA CGM aims to become a one-stop shop for shippers moving cargo from factory to doorstep. Regulatory approval in multiple jurisdictions will be required before closing.

Supply chain disruptions during the pandemic highlighted the value of integrated logistics services, making FedEx's logistics assets attractive to CMA CGM's expansion strategy. The deal underscores how traditional shipping companies are transforming into end-to-end logistics providers.