US Rivals Move to Block Deutsche Post Expansion

Deutsche Post AG's expansion in the U.S. ground and air parcel delivery market may be slowed by its rivals United Parcel Service Inc and FedEx Corp which are seeking a regulatory review. A U.S. judge was scheduled to begin a hearing on Tuesday to determine whether Astar Air Cargo Inc, a Miami-based airline that flies for Deutsche Post's DHL unit, violates a law barring foreign control of a carrier. The judge's decision, not thought to be announced before December, may result in Deutsche Post having to change the way it does business in the United States. A win by Deutsche Post’s rivals would slow or raise costs for Deutsche Post's advance in the US, the biggest delivery market, worth an estimated $50.2 billion a year, Brian Clancy of freight-consulting firm MergeGlobal Inc. told Bloomberg.