New FedEx Hub in Detroit Moves 12,000 Packages an Hour
[Stay on top of transportation news: .]
ROMULUS, Mich. — One recent afternoon at FedEx’s new massive distribution hub, packages moved swiftly along an automated conveyor system as they were scanned, sorted and prepped to be flown to their next destination.
The sounds of automated machinery filled the 300,000-square-foot facility — nearly twice the size of the previous ramp facility at Detroit Metro Airport.
“It’s incredible,” said David Blake, the facility’s senior manager. “It gives us tons of room to grow.”
FedEx recently opened the new facility on a sprawling piece of land at the airport, loading it with new technology that helps move packages — about 12,000 per hour — faster and more efficiently. Wayne County officials hope the development, second only in the United States to the company’s Memphis hub in automation, will attract more investment to the region.
Senior manager David Blake watches as packages make their way through the new FedEx facility.(Daniel Mears/The Detroit News/TNS)
“We’re definitely excited about that as an airport community,” said Michael Jackson, the Wayne County Airport Authority’s senior vice president of economic development. “But even the local community, Wayne County and city of Romulus, everyone seems excited that FedEx is going to stay here and grow operations here. We also believe this is a symbol to the market, for local companies. Any type of cargo or distribution can be done here at DTW. You don’t have to have it go to Chicago and truck it over. You can do it right here.”
The $420 million facility has been years in the making, with construction beginning in November 2022. The facility officially opened in early May.
FedEx ranks No. 2on the Transport TopicsTop 100 list of the largest for-hire carriers in North America, No. 2 on the TTTop 50 list of the largest global freight carriersԻNo. 43on the TTTop 100 list of the largest logistics companies in North America.
FedEx decided to consolidate its former ramp facility and a nearby sort facility as the Federal Aviation Administration mandated a taxiway realignment at the previous airport site, said Ken Wilson, senior vice president of network operations for FedEx. The move would have significantly reduced aircraft parking space.
“The Detroit ramp processes one of the highest daily outbound freight volumes in the U.S., and a larger sorting capacity was needed,” Wilson said. “Preserving and expanding aircraft parking was also necessary. To maintain service integrity and future scalability, moving and consolidating operations were the next logical steps.”
Wilson said the new location was chosen for its proximity to air-side infrastructure, road access and the need to preserve and expand aircraft parking. Detroit’s location in the Midwest also makes it a key area for logistics and transportation, he said.
“The seamless access to surface infrastructure is key to a large, fully integrated express carrier like FedEx with a network serving more than 220 countries and territories and moving nearly $2 trillion in goods annually,” he said.
A Logistics Industry Signal
FedEx’s old sort and ramp facilities were outdated and required much more manpower, Blake said. They also lacked convenience as workers had to transport packages from the sort facility on Goddard Road to the aging ramp facility on the airport grounds, which was at least 30 years old.
Workers sort packages at the new FedEx facility at Detroit Metro Airport.(Daniel Mears/The Detroit News/TNS)
The new operation on Superior Road is only the second FedEx location built with this level of automation, Blake said. Last fall, FedEx opened a 1.3 million-square-foot automated sorting facility, Memphis World Hub, in Tennessee. That facility can sort 56,000 packages per hour.
The facility at DTW has seven aircraft gates, including six wide-body gates and one 777 gate. It’s designed to handle all types of cargo, including automotive parts, manufactured goods and perishable goods, including food products, pharmaceuticals and other temperature-sensitive items. The operation handles about 40,000 packages a day with eight flights most days, Blake said.
FedEx’s investment at Detroit Metro could be a signal of where the logistics industry is heading, said Stanley Lim, assistant professor of supply chain management at Michigan State University.
TT's Seth Clevenger and Mike Senatore unpack the trends, surprises and shake-ups that define this year's Top 100 for-hire carriers.Tune in above or by going to .
“Although major players like UPS, DHL and Amazon are also investing in automation, multimodal integration and cold-chain capabilities, the scale and scope of FedEx’s facility at DTW, with fully automated sorting, aircraft gate flexibility and specialty cargo support, reflects a level of strategic integration that goes beyond incremental upgrades,” he said.
During a recent tour of the facility, Blake pointed out the flooring with caster decking, which allows workers to move large, heavy containers without machinery.
The facility has 58 sorting chutes, and the sorting system is fully automated, eliminating the need for workers to manually push packages onto slides.
Blake said the sorting technology uses cameras and sensors that capture detailed information about each package, including dimensions and labels.
“So no matter if the label’s up, down, sideways, backwards, no matter what it is, this camera will take a picture of it,” Blake said.
In addition to its automation, the building has a cold storage area that can maintain temperatures from negative 40 degrees to nearly 80 degrees, Blake said. This allows the facility to handle sensitive shipments like vaccines and even live frogs.
FedEx planes waiting to be filled at the new FedEx facility at Detroit Metro Airport. (Daniel Mears/The Detroit News/TNS)
Another major improvement is the on-site de-icing building, which enables FedEx to de-ice planes without waiting for a contractor to bring the necessary equipment.
“At the old facility, we’d bring the contractor in,” he said. “We’d still de-ice the plane, but they’d fill it all up. We could do all of it here.”
Lim said the facility exceeds current industry standards.
“It’s an example of anticipatory infrastructure, designed to absorb future volume growth, handle diverse shipment types and flexibly support global trade lanes,” he said. “Cold-chain readiness, in particular, shows foresight into the rising demand from health care, biologics and e-commerce sectors.”
Economic Boost Expected
The expanded operation has resulted in job creation. The previous two facilities had a total of 370 employees, while the new facility employs 450 people. Blake said the goal is to grow its workforce to 570 people.
The larger, advanced facility is also expected to provide an economic boost to the county and the region.
“It sends a clear message that Wayne County is open for major logistics business,” said Wayne County Executive Warren Evans. “If FedEx is confident enough to commit $420 million here, it shows we can deliver on infrastructure readiness and partnership support. It tells the rest of the world we can handle such needs.”
The facility was developed through a partnership among Wayne County, the Wayne County Airport Authority and economic development channels, Evans said.
An additional $9 million county contribution to Detroit Metro Airport for infrastructure improvements is expected to draw more companies to the airport and spur additional development, he said. That funding, approved by the Wayne County Commission earlier this year, addresses the airport’s stormwater drainage infrastructure.
Jackson, with the airport authority, said the increased capacity at Detroit Metro’s stormwater pond 6 and pond 3 west, will allow for other companies to move into the area or expand.
Want more news? Listen to today's daily briefing above or go here for more info
“We could probably the run the gamut of any type of aeronautical activity on that side of the airfield,” he said.
FedEx’s project aligns with the county’s vision for the Detroit Region Aerotropolis, which leverages DTW, major highways and rail links to establish the county as a logistics hub, Evans said.
“This project, specifically, brings new supply chain abilities to manufacturers in the automotive and aerospace industry,” he said. “Additionally, DTW’s strategic location in the Midwest makes it a key spot for logistics and transportation. It’s reasonable to expect this facility to generate additional investment and jobs regionally.”
