USPS to Open Last-Mile Delivery Network for Shippers

The U.S. Postal Service (USPS) has announced an ambitious plan to open its last-mile delivery network, offering shippers innovative avenues to expedite delivery while generating a new revenue stream for the agency.

Access to Delivery Destination Units

Under the new initiative, USPS will offer shippers the opportunity to bid for access to over 18,000 Delivery Destination Units (DDUs) nationwide. The bidding process is expected to commence in late January or early February 2026, with operational services launching later that same year.

Enhanced Delivery Efficiency

Winning bidders will gain the ability to inject packages directly into local USPS delivery units, facilitating same-day or next-day deliveries, depending on customer requirements. The bidding will take into account various factors, including volume, pricing, and tender times at each location.

“In the logistics business, the most expensive part of delivery is generally the ‘last mile’ portion of a route,”

Aiming to Serve a Diverse Range of Shippers

The program is designed to attract various shippers—from large retailers and logistics companies to smaller regional businesses—who seek faster delivery options without the need to build their own last-mile networks.

“We see this initiative as a compelling value proposition for many shippers who we know are wrestling with the need to deliver to their customer as quickly and reliably as possible,”

Gathering Feedback and Finalizing Plans

Before implementing a formal bidding platform, USPS intends to engage with potential participants to gather insights and refine the process. More comprehensive details are anticipated to be released in the coming months.

Negotiated Service Agreements and Timeline

Successful bids will be formalized through negotiated service agreements associated with USPS’s Parcel Select product. The Postal Service aims to notify winning bidders by the second quarter of 2026, with delivery services scheduled to kick off in the third quarter.

“The Postal Service’s valuable last-mile network can now be our customer’s advantage,”

Conclusion

As USPS strategizes to leverage its extensive last-mile delivery capabilities, the upcoming program could redefine how shippers connect with customers, making the Postal Service a pivotal player in the last-mile delivery landscape.