Kuehne+Nagel expanding in Texas to fulfill rising manufacturing demand
Global supply chain provider Kuehne+Nagel is launching a 363,000-square-foot logistics facility within the West Texas border market of El Paso, Texas, targeting cross-border trade.
The move will represent the consolidation of 4 warehouses into one and is concentrated on global corporations which might be making investments across Mexico due nearshoring, company officials said.
“This latest, larger facility in El Paso increases our warehouse footprint, improves constructing efficiencies, and complements our freight forwarding services with final import and export services into or out of Mexico,” John Levin, Kuehne+Nagel regional vp for the U.S., said in a news release.
Consolidating 4 warehouses under one roof will help drive efficiencies for purchasers by allowing the control of all trailer traffic in a single site, while reducing the period of time a truck is received and offloaded, in accordance with Kuehne+Nagel.
The brand new logistics warehouse is scheduled to open Aug. 5 and goals to support the increasing variety of freight shipments between El Paso and Juarez, Mexico, its sister city across the border.
Juarez, just across the border from El Paso, has around 300 maquiladoras — export factories in Mexico run by foreign corporations — employing around 340,000 employees.
The factories make every little thing from automotive parts and electronics to food and beverage products, that are mostly shipped to the U.S. using industrial trucks.
Kuehne+Nagel’s warehouse will feature 54 dock doors, front and rear cross-dock capability, 125 truck yard spaces, in addition to added vertical racked storage locations.
Kuehne+Nagel already has a major footprint on the border, including facilities in Laredo, Texas, and in San Diego and Tijuana, Mexico. The corporate plans to expand in Laredo by the tip of the 12 months.
Kuehne+Nagel isn’t the one logistics company making moves in El Paso. In April, Ryder System Inc. opened a logistics warehouse in the town, aiming to tap into growing cross-border trade between the U.S. and Mexico, company officials said.
Ryder’s newly built 50,000-square-foot logistics facility is situated near the Ysleta-Zaragoza International Bridge, which connects El Paso to Juarez.
“If you happen to have a look at the newest numbers, U.S. trade with Mexico is at nearly $800 billion annually, and the Ysleta port processes about nine to 10% of that,” Frank Bateman, vp of supply chain operations for Ryder, said in a news release. “The positioning in El Paso also has the advantage of being strategically situated along a preferred stopping point for trucks, not only heading north and south across the border but for domestic loads heading east and west along Interstate 10.”
As of May 31, FreightWaves SONAR Outbound Tender Volume Index for El Paso (OTVI.ELP) was up about 7.7% 12 months over 12 months, but down about 3.5% week over week.
Related: Port of Eagle Pass, Texas, fastest-growing border crossing within the US
Canadian government opens cross-border trade office in Arizona
The Canadian government has opened a trade office in Phoenix geared toward increasing trade and foreign direct investment (FDI) between Arizona and Canada, in accordance with a news release.
“The brand new trade office represents a major step forward within the Arizona-Canada partnership,” Arizona Gov. Katie Hobbs said in a press release. “As one in all Arizona’s strongest trading partners, this latest trade office will foster economic growth and create latest opportunities for cross-border collaboration.”
From 2018-2023, there have been no less than 20 FDI projects from Canada in Arizona, probably the most from any country. These projects accounted for $1.59 billion in capital investment and a couple of,677 projected latest jobs.
Canadian corporations with a presence in Arizona include XNRGY, which recently broke ground on its $300 million manufacturing facility and U.S. headquarters in Mesa, creating over 900 latest jobs, and Li-Cycle, which opened its lithium-ion battery recycling facility in Gilbert in 2022.
In 2023, total trade between Arizona and Canada surpassed $5.3 billion. Arizona corporations exported $2.7 billion price of products to Canada, which is Arizona’s second-largest export market. Arizona imported $2.6 billion price of products from Canada.
Related: Volkswagen autoworkers in Mexico fired for union activities, say US officials
China-based automotive supplier opens factory in Aguascalientes, Mexico
Ningbo FengMei Recent Energy Automotive Technology Co. is investing of $15.6 million to construct a plant within the Mexican city of Aguascalientes.
The project will begin construction this 12 months and is scheduled to start operations by the tip of 2025, generating greater than 1,000 direct jobs.
The corporate’s customers include Volkswagen, BMW Group, Stellantis, Volvo Group, Tesla and Rivian.
It would be Ningbo Feng Mei’s first within the Americas. The corporate was established in 2007 and has about 1,000 employees worldwide.
Recent 500,000-square-foot logistics hub being constructed near Dallas
Crow Holdings Development has broken ground on Core30 Logistics Center, a 511,000-square-foot, two-building industrial campus in Dallas.
Completion of the power is scheduled for 2025.
The logistics hub will include a 300,347-square-foot, cross-dock facility and a 210,653-square-foot front-load constructing. The 2 warehouses aim to supply quick access to Interstate 30. The event can be inside 5 miles of downtown Dallas, while the Dallas-Fort Value International Airport is about 24 miles away.
Dallas-based Crow Holdings is a national real estate investment and development firm with $27 billion of assets under management.
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