Prime Highlights
- UPS is investing $48 million in 27 temperature-controlled facilities across the Americas, Europe, and Asia to strengthen its cold-chain healthcare logistics network.
- The company posted its first $3 billion healthcare revenue quarter this year, with its global healthcare portfolio gaining market share every year since 2021.
Key Facts
- UPS is a global logistics and supply chain company that has identified healthcare as one of its biggest areas of growth.
- Demand for temperature-sensitive biologics is projected to reach a market value of around $39.1 billion by 2033, growing at an 8.3% compound annual growth rate.
Background
UPS is putting $48 million into 27 temperature-controlled facilities spread across the Americas, Europe, and Asia. The move comes as demand for cold-chain healthcare logistics rises sharply, driven largely by the surge in temperature-sensitive medicines such as GLP-1 drugs.
The facilities are built to handle shipments that need to stay within specific temperature ranges throughout transit. UPS said the investment will improve speed and end-to-end chain of custody for medicines and pharmaceuticals that require strict cold-chain management.
Kate Gutmann, UPS President of International, Healthcare and Supply Chain Solutions, said the global cross-dock facilities strengthen the company’s cold-chain capabilities to ensure critical treatments reach patients safely and reliably. She added that the work goes beyond moving packages.
The push reflects broader market trends. Demand for temperature-sensitive biologics is on track to grow at an 8.3% compound annual growth rate through 2033, reaching a market value of around $39.1 billion. The World Health Organisation estimates that up to 50% of global vaccines are wasted each year, with a significant share linked to cold-chain storage failures.
GLP-1 drugs such as Novo Nordisk’s Wegovy and Ozempic require strict refrigeration during transit. A recent poll found that one in eight Americans currently takes a GLP-1 medication.
UPS Healthcare President John Bolla said the investments reflect the company’s commitment to protecting innovative treatments and supporting better patient outcomes.
UPS CEO Carol Tomé noted that the company posted its first $3 billion healthcare revenue quarter earlier this year, with its global healthcare portfolio gaining market share every year since 2021.
