UPS Tops Q1 Profit Forecasts, Plans to Cut 20,000 Jobs Amid Weak Volumes and Tariff-Driven Trade Slowdown

UPS beat first-quarter profit estimates and announced plans to cut 20,000 jobs to reduce costs amid economic uncertainty and expected lower volumes from Amazon, according to CNBC. The parcel delivery giant projected $3.5 billion in 2025 savings from job cuts and the closure of 73 buildings by June. President Trump’s extensive tariffs have slowed trade, prompting cost cuts and lowering demand for shipping services among parcel delivery firms. UPS declined to update its full-year outlook amid economic uncertainty, despite cutting costs. UPS faces a sharp drop in volume from Temu and Shein as new U.S. tariffs take effect May 2 on previously duty-free goods under $800 per sale.