Nippon Express launches new service to loosen clogged supply chains

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Nippon Express U.S.A., Inc. (NX USA), has launched ‘US EXPORT SERVICE Via MEXICO’ a new BCP-compatible multimodal transport service for shipments from the United States and Canada to Asia via Mexico.

The service conveys cargo overland by trailer from various locations in North America to a Nippon Express warehouse in San Luis Potosi, Mexico, where it is transshipped to containers and transported by sea from Manzanillo Port in Mexico to ports in Japan and other Asian countries.

This transport service avoids port congestion on the US West Coast and offers dependable lead time (around 37 days from Chicago to Yokohama Port). The lead time for transporting cargo overland (railway and truck) along the same route via the West Coast is currently about 40 to 60 days.

READ: Chinese port central to Nippon Express’ inter-modal supply chain

Goods can be collected from major cities across the United States and Canada on dates specified by customers.

“Port congestion along North America’s West Coast has led to changes and delays in ship schedules, making it difficult to secure new space, congesting railway terminals and thereby slowing transshipment and creating a shortage of truck drivers, all of which have had a major impact on logistics,” NX USA wrote.

“The outlook remains uncertain, with concerns over the risk of port strikes having arisen in the course of labour-management negotiations at points all along the West Coast.”

NX USA added it will utilise its strengths as the only Japanese company with its own warehouse in Mexico to offer high-quality integrated transport services by the NX Group.

In August 2021, Nippon Express also started a service from Japan to North America via Mexico to avoid the congestion on the US West Coast. With the new service now in operation, services via Mexico are available in both directions between Japan and North America.

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