GLP-1 cold storage demand pushes UPS, FedEx and DHL to expand health logistics
UPS, FedEx, DHL and C.H. Robinson are adding temperature-controlled capacity as GLP-1 drugs and biologics raise shipping demands.
By Sofia Marchetti · World Affairs Correspondent
3 min read
GLP-1 cold storage demand is turning health care into a bigger target for major logistics companies as weight-loss and diabetes drugs require tighter handling in transit. CNBC reported that UPS, FedEx, DHL and C.H. Robinson are investing in temperature-controlled networks as more pharmaceuticals need refrigeration from warehouse to doorstep.
Most injectable GLP-1 medicines, including Novo Nordisk’s Ozempic and Wegovy and Eli Lilly’s Mounjaro and Zepbound, must be kept refrigerated during shipping, according to CNBC. The issue became more visible during the Covid vaccine rollout, when temperature-controlled distribution became central to public health logistics.
Why do GLP-1 drugs need cold storage?
GLP-1 drugs and other biologic medicines can lose quality or effectiveness if they are exposed to the wrong temperatures, CNBC reported. The Food and Drug Administration has warned that poor storage during shipping can affect GLP-1 drug quality and advises patients not to use products that arrive warm or without enough refrigeration.
That requirement is expanding the cold chain, the system of refrigerated warehouses, packaging, vehicles, aircraft and monitoring tools used to keep products within required temperature ranges. CNBC reported that vaccines, insulin, some antibiotics and other biologics can also require specialized shipping to remain effective.
UPS announced in June that it would spend $48 million on temperature-controlled facilities, CNBC reported. Growth Market Reports projects demand for cold-chain logistics for temperature-sensitive biologics to grow at an 8.3% compound annual rate through 2033, reaching about $39.1 billion.
Demand for GLP-1 drugs has risen quickly. A July Gallup poll found that 11% of Americans said they were taking GLP-1 medications for weight loss in 2026, compared with 3% in 2024.
UPS CEO Carol Tomé told analysts in April that the company’s global health care portfolio had gained market share each year since 2021 and posted its first $3 billion health care revenue quarter in the first quarter of 2026, CNBC reported. John Bolla, UPS president of health care, told CNBC that drugmakers are seeking partners that can manage higher volumes and more specialized therapies, including care delivered outside traditional medical settings.
FedEx is also building around the sector. CNBC reported that the company launched a dedicated life sciences organization this month to support pharmaceuticals and other health care products, while Chief Customer Officer Brie Carere told analysts in June that health care transportation revenue reached nearly $10 billion in fiscal 2026.
Nick Gennari, FedEx’s president of health care, told CNBC that GLP-1 distribution is becoming more complex as products move through injectable, oral and direct-to-consumer channels. He said FedEx uses machine learning and product-identification technology to track shipments and treat health care products according to their requirements.
C.H. Robinson told CNBC it generated more than $1 billion in health care logistics revenue over the past year, driven largely by GLP-1 growth. Ronnie Davis, the company’s vice president of North American surface transportation, said refrigerated capacity is limited and more specialized medicines are competing for the same resources.
DHL Supply Chain CEO Hendrik Venter told CNBC that artificial intelligence is being used to monitor critical life sciences shipments, track temperatures and anticipate problems. DHL said last year it plans to invest 2 billion euros, or $2.25 billion, in health logistics by 2030, with half of that planned for the Americas.
This story draws on original reporting from CNBC.