b'4American Journal ofTransportationajot.comSAN LUIS POTOSIMONTERREYLAREDOKANSAS CITYCHICAGORailways gearing up for stiff Mexico intermodal competition Temperature-controlled cargoes will likely play a big role in the lane.By Peter Buxbaum, AJOTTheCanadianPacificSan Luis Potosi. Transit time Railways$31billionpur- fromChicagotoSanLuis chaseoftheKansasCityPotosi totals 98 hours. TRAIN 180Southern, a deal approved bySoonaftertheCPKC- CHICAGO TOU.S. rail regulators in March,Schneider alliance came about,SAN LUIS POTOSIresultinginthenewCPKC,theUPannouncedthecre-created a rail carrier that con- ationofanewintermodal nects all three nations of theservice spanning the nations United States Mexico CanadaoftheUSMCA.Together Agreement(USMCA).ThewithCNandGMXT,it Kansas City Southern (KCS)announcedtheFalconPre-had strength carrying freightmium service to connect CNTRAIN 181inandoutofMexico,butpoints in Canada and DetroitSAN LUIS POTOSI otherNorth AmericanClasswithGMXTsterminalsinTO CHICAGOI railroads arent sitting backMonterrey, Nuevo Leon, and andlettingCPKCdominateSilao in Mexico. Falcon Pre-the trade on that lane. mium will transit UPs Texas-On the contrary, the Unionto-ChicagorouteandCN Pacific (UP) and the Canadian(STIFFcontinued on National(CN)haveteamedpage 8)up,alongwiththeMexi-canoperatorGrupoMexico Transportes (GMXT), to offerMexico Midwest Express (MMX) intermodalservicesbetween the U.S. and Mexico. The first and only single-line service connecting Mexico to the U.S. Midwest.i ntermodalC ompetition Dedicated daily intermodal trains with the fastest transit times in the rail industry.Intermodal will likely beTruck competitive option with seamless, expanded reach to more markets. where the competition amongLearn more or reserve space now. therailwayswillbemost heated for U.S.-Mexico busi- In the U.S.: In Mexico:ness, for a number of reasons.Rob Nichols Rodrigo FloresOne is that intermodal [email protected] [email protected] the U.S. and Mexico647-217-5191 816-983-1232represents a very small frac-tion of total trade, indicatingcpkcr.comthatthereisroomtogrow. Anotheristhatusinginter-modalrailavoidshighway congestion at the border and promotescompaniessus-tainabilitygoals.Therising nearshoring trend has sparked movesbymanufacturerstoBuildingset up production facilities in Mexico to serve the USMCA market,whichalsostandswhat your toboostintermodalcargo flows in and out of Mexico. The Federal Reserve Bank of Dallasrecentlyreportedthatcustomers needMexico was the U.S.s biggest trade partner so far this year.One week after the CPKC combinationwasapprovedby regulatory authorities, the carrierPort Houston is investing in infrastructure now to increase capacity and improve efciency. announcedapartnershipwithOur largest-ever STS cranes at Bayport Container Terminal, double the number of truck gate Schneider National, which hasentrances at Barbours Cut Container Terminal and expanding the Houston Ship Channelbeen operating in Mexico forto accommodate larger vessels are just the beginning. Get your cargo to your over three decades, to providecustomers faster by choosing Port Houston.intermodalservicesbetween ChicagoandMexico.CPKC laterannouncedanotherinter-modal pact with Knight-Swift Transportation,amulti-year agreement, also for a Mexico-to-Chicago train. Knight-Swift has an established Mexico cus-tomer base through its Trans-Mexsubsidiarythatemploys 1,500 unionized drivers south of the border. CPKCsMMXservice, whichdebutedMay11, linksChicago,KansasCity, Texas,Monterrey,andSan Luis Potosi. The trains offer third-day service to and from Laredo,fourthdaytoand fromMonterrey,andfourwww.porthouston.comandhalfdaystoandfrom'