Yusen Logistics takes steps to increase U.S.-Mexico cross-border offerings

Global third-party logistics (3PL) services provider Yusen Logistics recently announced it has expanded its U.S.-Mexico cross-border services in an effort to address what it described as a growing need for reliable logistics services to and from Mexico.

And due to this growing need, the company has established a Mexico Border Cargo Management (BCM) offering, which it said provides shippers with myriad cross-border services that can be configured top specific customer requirements, including over-the-road and intertwined rail and truck services. Company officials said that by leveraging its solid relationships with U.S- and Mexico-based rail, truck, and drayage carriers, Yusen is able to secure cross-border capacity.

Yusen Logistics Mexico Vice President Jordan Dewart told LM that this service offering stems back to roughly four years ago, when the NYK Group, parent company of ocean carrier NYK Line, decided to merge its two global logistics entities, NYK Logistics and Yusen Air & Sea, forming the global conglomerate Yusen Logistics. 

“In Mexico, this gave the company several new complementary offerings such as air, ocean and U.S./Mexico cross-border services, as well as a large presence in Laredo, Texas,” Dewart said. “While fully capable, these services were not completely integrated or leveraged across our organization under one leadership until recently. One of Yusen Logistics’ global core competencies is Automotive Logistics, and with many large auto makers such as Mazda, Honda and Audi entering the Mexico market, we decided to elevate our BCM product.

Dewart anticipates that Yusen’s BCM offering will be beneficial for large global companies entering the Mexican market with large supply chains but often lack the local expertise needed to take advantage of the cost efficiencies Mexico has to offer.

“Our BCM product allows these companies a one-stop shopping experience and peace of mind while navigating through a difficult process,” Dewart explained. “We are able to provide the same visibility and data accuracy and execute at the same highly competent level that they have come to expect from us in Asian, European and North American countries.”

When queried about Yusen’s next steps regarding cross-border offerings, Dewart said that global sourcing patterns continue to change, adding that Yusen currently sees the pendulum swinging from Asia back to Mexico. Subsequently he said that offering a complete array of surface transportation and forwarding services will become the norm for large global 3PLs, and to that extent Yusen is staying on the cutting edge of technology and systems. 

“As lead times continue to shorten, expedited shipping options are in greater demand all the time,” he said. “We are currently certifying our Laredo, TX campus as a fully-compliant TSA facility to take advantage of future Air Freight Forwarding opportunities to connect northern Mexico to the North American market, and to be able to tie in to Asia and Europe as well.”

Yusen’s BCM offering includes various service offerings, including:
-Over-the-Road: Shipment is trucked from origin in the U.S./Canada to final destination in Mexico;
-Border Direct: Shipment goes by rail intermodal to Laredo and then is trucked to the final destination in Mexico;
-Mexico Direct: Shipment is moved by rail intermodal from the U.S. to the destination ramp in Mexico, and then is trucked to the final destination; and
-Yusen Logistics has operations in both the U.S. and Mexico, including a 100,000-square-foot warehouse in Laredo, TX, which is close to the Mexico border, and offices in Mexico City, Monterrey and Celaya. The Laredo facility is C-TPAT certified and FTZ and customs bonded, noted company officials