National less-than-truckload (LTL) carrier Yellow Roadway Corp. and Shanghai Jin Jiang International Industrial Investment Co. Ltd. (JHJ) has formed a Chinabased transportation joint venture. Reports are that Yellow Roadway beat out Europe's second largest express delivery service, TNT, in winning its bid of as much as $50 million. Most recently Yellow Roadway purchased U.S.-based LTL carrier USF.
JHJ is owned by the Government of Shanghai through its Jinjiang International Industrial Investment Co. It is thought that Yellow Roadway will have a 70% stake in joint venture. All in all, it's said that Yellow Roadway intends to spend some $300 million in China. JHJ International offers logistical services in China for the movement of cargo by air and sea.
Yellow Roadway also announced it is shutting down Wichita-based USF Dugan as part of a geographic realignment. USF Holland, USF Bestway and USF Reddaway are slated to expand their services to cover the area formerly served by USF Dugan, primarily in Missouri and Kansas. New Penn Motor Express and USF Glen Moore, the carrier's other units, will not be affected by the realignment.