FedEx Corp.has announced the official launch of its new long-haul less-than-truckload (LTL) service, FedEx National LTL. At the same time the company formally launched direct LTL services in Canada through the newly-formed FedEx Freight Canada. FedEx Freight Canada will handle LTL shipments moving into and out of Canada and intra-Canada shipments. Management stated that the addition of these services, combined with the regional service provided by FedEx Freight, will offer a more comprehensive solution for LTL customers.

FedEx National LTL and FedEx Freight Canada were created through the acquisition of the business assets of the former Watkins Motor Lines and Watkins Canada Express, in 2006. According to the company it has hired almost 9,000 employees and re-branded equipment in order to integrate its regional and long-haul services.

FedEx National LTL has also re-engineered its operations to focus on the long-haul market with a scheduled network, similar to its operations in the regional market. FedEx believes that there is a presently a gap in the in the long-haul market for services which offer a higher level of consistency and on-time performance.

The new services come at a time when LTL volumes have been hit by a slowdown in the US economy. All asset owning trucking companies have been affected although many analysts now believe that the downturn will be temporary. Both UPS and FedEx have invested heavily in LTL networks over the past few years, and so management will be hoping that the recovery is as swift as is expected.