Two last-mile parcel carriers open large US sortation centers

Gofo invests in east and west coast super hubs as part of rapid expansion

Gofo has leased a large parcel distribution center in Newark, New Jersey, with a high-capacity automated conveyor sorting system. (Photo: Gofo)
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Key Takeaways:

  • Parcel delivery startup Gofo has opened its first U.S. super hub in Newark, New Jersey, and plans a second in Los Angeles, marking its transition to a national courier through a $150 million investment in advanced logistics infrastructure.
  • These large, technologically sophisticated facilities enable Gofo to process hundreds of thousands of parcels daily, supporting its rapid expansion to serve 70% of the U.S. population across 8,000 zip codes with competitive middle-mile and last-mile delivery.
  • Founded in 2023, Gofo offers technology-powered e-commerce delivery services aimed at providing lower costs than competitors, and is also expanding its international operations in Europe.
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Parcel delivery startup Gofo on Friday opened its first U.S. super hub in Newark, New Jersey. A second large sortation center is scheduled to begin operating later this quarter in Los Angeles marking the company’s transition from a regional to a national courier. 

Spanning more than 400,000 square feet, Newark is Gofo’s largest and most advanced U.S. facility. Equipped with cross-belt and narrow-belt sorters, robotic automation, and an intelligent logistics system, the hub processes more than 40,000 parcels per hour and can handle more than 700,000 parcels daily, the company said in a news release on Monday. 

Fast-growing Gofo last month announced plans to invest $150 million in the two e-commerce distribution centers, giving it the infrastructure for middle-mile shipping and last-mile delivery of retailers’ e-commerce orders — and ensuring ample capacity for peak season surges. Funding covers long-term leases and facility upgrades, installation of advanced sorting technology and robotics systems, IT and data infrastructure enhancements, workforce recruitment, partner development and other launch activities, a spokesman said in an email exchange. 

Gofo, headquartered in Los Angeles, is among a slew of independent last-mile logistics providers that cropped up after the pandemic e-commerce boom offering lower prices than FedEx and UPS, and powered by technology platforms for easily integrating with customers, dispatching drivers and optimizing route selection.

Gofo was founded in 2023 by Chuan Zheng, a U.S. citizen of Chinese heritage with extensive experience in logistics and cross-border e-commerce, who previously formed a company called Ebisu. 

A significant share of historical volume has come from e-commerce merchants linked to China, but the U.S. business is rapidly expanding its presence among North American retailers and smaller online sellers. International parcels are customs cleared by partner companies, but the majority of shipments originate from U.S. domestic warehouses. The courier’s operations, leadership and decision-making are centered in the United States, the spokesman said.

Gofo has rapidly expanded its logistics foundation across the United States with nearly 100 hubs and stations supported by more than 30 linehaul routes. It currently has more than 1,000 full-time employees and uses delivery service partners to provide physical last-mile delivery. The company has yet to provide details about its driver pool.

The network now enables Gofo to serve 8,000 zip codes, equivalent to 70% of the U.S. population, including Hawaii and Puerto Rico. By the end of 2025, the company expects to reach 10,000 zip codes, enabling 75% of client parcels to be delivered through its own network. 

In August 2025, Gofo further accelerated its international expansion with the acquisition of Cirro Parcel, in France. The company also operates in the Netherlands and Italy.  

Gofo will begin operations at its Los Angeles super hub (pictured) by the end of the year. (Photo: Gofo)

Gofo delivers to 49 of the Top 50 U.S. metropolitan areas, offering next-day delivery around major hubs and three-to-five day delivery across states and regions.

“With Newark now online, Gofo can move goods faster, smarter, and more predictably than ever. From coast to coast, our clients can count on Gofo for faster transit times, lower costs, and greater reliability,” said Marshall Yuan, head of global strategy, in the news release. 

There are still many unanswered questions about Gofo, including who are its investors and major brand users, and how it achieved a national footprint in two years that is nearly equivalent to super regional carrier OnTrac, which has been operating for more than three decades.

Veho upscales sorting capacity 

Meanwhile, Veho, another last-mile delivery company expanding its U.S. footprint, announced last week the opening of a 150,000 square-foot regional distribution center outside Atlanta that is able to process five times as many e-commerce parcels as its previous regional hub. 

The new automated facility, located in Lawrenceville, Georgia, is three times larger and has 32 dock doors, up from just eight in the previous facility, enabling Veho to handle spikes in shipments during the peak holiday season. The sortation center previously was used by Pandion, the delivery startup that went out of business in January, according to a LinkedIn post from Veho co-founder Fred Cook. 

Veho signed a lease to occupy the facility for more than three years, spokesman Evan Wagner said.

It will serve as a hub for the courier, which relies on 85,000 crowdsourced drivers and a tech platform to match them to packages for delivery, in the Southeast and enable e-commerce brands to inject parcels for delivery to customers across the United States.

Parcel volumes moved through its network have doubled so far this year, thanks in part to a significant increase in new clients, compared to peak season last year, according to the company. 

Last month, Veho expanded its delivery footprint to Southern California. Veho’s network now covers 38% of the U.S. population in 56 markets. 

(Correction: The spelling of Gofo owner Chuan Zheng was misspelled in an earlier version of this story.)

Click here for more FreightWaves/American Shipper stories by Eric Kulisch.

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Eric Kulisch

Eric is the Parcel and Air Cargo Editor at FreightWaves. An award-winning business journalist with extensive experience covering the logistics sector, Eric spent nearly two years as the Washington, D.C., correspondent for Automotive News, where he focused on regulatory and policy issues surrounding autonomous vehicles, mobility, fuel economy and safety. He has won two regional Gold Medals and a Silver Medal from the American Society of Business Publication Editors for government and trade coverage, and news analysis. He was voted best for feature writing and commentary in the Trade/Newsletter category by the D.C. Chapter of the Society of Professional Journalists. He was runner up for News Journalist and Supply Chain Journalist of the Year in the Seahorse Freight Association's 2024 journalism award competition. In December 2022, Eric was voted runner up for Air Cargo Journalist. He won the group's Environmental Journalist of the Year award in 2014 and was the 2013 Supply Chain Journalist of the Year. As associate editor at American Shipper Magazine for more than a decade, he wrote about trade, freight transportation and supply chains. He has appeared on Marketplace, ABC News and National Public Radio to talk about logistics issues in the news. Eric is based in Vancouver, Washington. He can be reached for comments and tips at ekulisch@freightwaves.com Eric is the Parcel and Air Cargo Editor at FreightWaves. An award-winning business journalist with extensive experience covering the logistics sector, Eric spent nearly two years as the Washington, D.C., correspondent for Automotive News, where he focused on regulatory and policy issues surrounding autonomous vehicles, mobility, fuel economy and safety. He has won two regional Gold Medals and a Silver Medal from the American Society of Business Publication Editors for government and trade coverage, and news analysis. He was voted best for feature writing and commentary in the Trade/Newsletter category by the D.C. Chapter of the Society of Professional Journalists. He was runner up for News Journalist and Supply Chain Journalist of the Year in the Seahorse Freight Association's 2024 journalism award competition. In December 2022, Eric was voted runner up for Air Cargo Journalist. He won the group's Environmental Journalist of the Year award in 2014 and was the 2013 Supply Chain Journalist of the Year. As associate editor at American Shipper Magazine for more than a decade, he wrote about trade, freight transportation and supply chains. He has appeared on Marketplace, ABC News and National Public Radio to talk about logistics issues in the news. Eric is based in Vancouver, Washington. He can be reached for comments and tips at ekulisch@freightwaves.com Eric is based in Vancouver, Washington. He can be reached for comments and tips at ekulisch@freightwaves.com