FedEx Freight aims to meet growing demand with an expanded terminal in Sioux Falls, South Dakota, according to a LinkedIn post.
The new facility has 76 doors, up from 49 doors at its previous location, COO Clint McCoy shared with Trucking Dive via email. The service center also had a new fleet maintenance shop.
“We are constantly optimizing our facility footprint in strategic markets,” McCoy said. “Sioux Falls is one of those markets, and our current facility did not have the capacity necessary to accommodate anticipated growth.”
In 2023, FedEx Freight acquired 43 acres in the southeast corner of Sioux Falls’ Foundation Park, off Interstate 29, according to the Sioux Falls Development Foundation. There’s also a FedEx Ground facility nearby, per a map of the 900-acre industrial park.
The service center was constructed over a 16-month period between August 2023 and December 2024, McCoy said in the email. He added FedEx Freight regularly assesses its facility footprint, and is committed to investing in strategic markets where there’s a need for additional capacity.
In addition to terminal growth, FedEx Freight is preparing to spin out of FedEx. The LTL unit — which has about 360 service centers — will continue to provide linehaul support for FedEx when needed, including during the peak holiday shipping season, the company announced in December.