by Ryan Markiewicz | Jan 15, 2025 | News
Logistics Plus Mexico Project Cargo Supervisor Thanya Ramirez was featured in a recent Breakbulk article titled, ‘Mexican Rail Corridor Could Connect Oceans, Bypass Drought-Hit Canal.’ This article examines how the proposed Interoceanic Corridor of the Isthmus of Tehuantepec (CIIT) offers breakbulk movers a promising new trade route and a crucial alternative to the drought-stricken Panama Canal.
Thanya commented on the proposed corridor. “I don’t think this project will be able to compete with the Panama Canal as the volume of cargo expected to be moved will not reach the volumes of the cargo moved through Panama, at least in the first stage,” Thanya added, “But – it will indeed be a good complementary and cheaper option. And most importantly, it is finally giving these southern states a big real opportunity of development and economic growth.”
Read the full article here: https://breakbulk.com/articles/a-new-route-for-global-trade
by Scott Frederick | Jan 14, 2025 | News
Logistics Plus Awarded Prime Contract Holder Status for WEXMAC 2.0
The scope of the award covers Logistics & Transportation Services across 26 regions encompassing close to 100 countries.
ERIE, PA (January 14, 2025) – Logistics Plus, Inc., a global leader in transportation, logistics, and unique supply chain solutions, has received notice from the U.S. Navy, Navy Supply Systems Command (NAVSUP) that it has been awarded prime status for the Worldwide Expeditionary Multiple Award Contract (WEXMAC) 2.0. The scope of the award covers Logistics & Transportation Services across 26 regions encompassing nearly 100 countries.
WEXMAC 2.0 is a strategic contracting vehicle designed to streamline and improve procurement processes for expeditionary contracting. This web-based, customer-integrated platform is an innovative approach that enables the quick and effective procurement of essential goods and services in challenging locations, ensuring smooth operations and rapid delivery. WEXMAC significantly increases military operational readiness and flexibility by reducing procurement time from months to weeks with a network of pre-approved vendors open to all U.S. government agencies.
“This contract covers a large variety of service requirements that will be offered as task orders,” said Blaine Kurtz, Director of Military & Public Sector for Logistics Plus. “Logistics Plus will have the option to provide a response and offer to all task orders that fall within our award area and region. This award is a great addition to the already stellar Logistics Plus resume.”
The Logistics Plus Contract Award Number is N0002325D0050. Interested subcontractors can submit inquiries to logisticsplus.com/contact.
About Logistics Plus, Inc.
Logistics Plus, Inc. (LP) is a 21st-century logistics company and a leading worldwide provider of transportation, warehousing, fulfillment, global logistics, business intelligence, technology, and supply chain solutions. LP works in the background to help businesses manage their supply chains in an ever-changing world. Founded in 1996, today LP has annual global sales of over $600M with more than 1,200 employees located in 50+ countries worldwide. LP is recognized as one of the fastest-growing privately-owned logistics companies, a top 3PL provider, a top 100 logistics company, a top freight brokerage and warehousing provider, and a great place to work. With a Passion For Excellence™, its employees put the PLUS in LOGISTICS by doing the big things properly, plus the countless little things that together ensure complete customer satisfaction and success.
by Ryan Markiewicz | Jan 10, 2025 | News
Warehousing in Mexico can provide strategic advantages for businesses looking to reduce costs, improve supply chain efficiency, and expand market access. By leveraging these advantages, businesses can enhance their competitiveness in the ever-growing North American market. This article examines these advantages and how businesses can effectively utilize Mexico as a strategic hub for their North American operations.
Cost Savings
- Lower Labor Costs: Mexico generally has lower labor costs than its neighboring countries, resulting in lower operational expenses.
- Reduced Transportation Costs: Strategic warehouse locations in Mexico can significantly reduce transportation distances and costs, especially for businesses targeting the North American market. Proximity to the U.S. border allows for faster and more efficient deliveries.
- Lower Real Estate Costs: Compared to many U.S. locations, real estate costs for warehouses in Mexico tend to be more affordable.
Market Access
- Proximity to the US Market: Mexico’s proximity to the United States provides easy access to a vast consumer market, making it an ideal location for companies looking to expand their North American presence.
- Growing Domestic Market: The Mexican domestic market is also experiencing significant growth, offering businesses opportunities to reach a large and expanding consumer base.
Government Incentives
- Trade Agreements: Mexico’s participation in trade agreements like NAFTA (now USMCA) and other free trade agreements can reduce or eliminate tariffs on goods moving between Mexico and other participating countries, further enhancing cost competitiveness.
- Government Programs: The Mexican government offers various incentives and programs to support foreign investment and manufacturing, which can benefit businesses operating warehouses in the country.
Improved Supply Chain Efficiency
- Faster Delivery Times: Reduced transportation distances and improved logistics infrastructure can speed up delivery times to customers in Mexico and the U.S.
- Increased Inventory Control: Warehousing in Mexico allows for better inventory management and control, reducing the risk of stockouts and improving overall supply chain efficiency.
- Enhanced Customer Service: Faster delivery times and improved inventory management can increase customer satisfaction and improve customer service.
- Assembly Services: Many warehouses in Mexico offer assembly services, allowing businesses to add value to their products before distribution.
Logistics Plus Mexico Warehouses
Logistics Plus offers dedicated warehousing, distribution, fulfillment, and inventory management services across Mexico. Our warehouses are located in Colombia, Monterrey, Cuautitlan, Tepotzotlan, and Lazaro Cardenas. Whether you need basic storage, inventory management, or end-to-end fulfillment services, the Logistics Plus Mexico warehouses have you covered.
by Ryan Markiewicz | Jan 8, 2025 | News
The North American trade corridor, encompassing the United States, Canada, and Mexico, is a cornerstone of global commerce. With billions of dollars of goods traversing this network daily, businesses must delve into the intricacies and opportunities that define this dynamic landscape. Understanding the critical factors, emerging trends, and challenges is essential to unlocking the full potential of this trading ecosystem.
The U.S.-Canada Trade Partnership: A Cornerstone of Global Commerce
The U.S.-Canada border, the world’s longest undefended border, symbolizes a robust partnership rooted in shared values and economic cooperation. This trade relationship has become a model for efficient cross-border commerce, driving mutual prosperity and global competitiveness. The cultural and linguistic similarities between the U.S. and Canada foster trust and understanding, paving the way for seamless business operations. These shared values create an environment of collaboration that benefits industries ranging from agriculture to technology.
Logistics Plus helps streamline this cross-border trade through its customs brokerage services. The company provides expert support to navigate the regulatory complexities of importing and exporting goods between the U.S. and Canada, minimizing delays and ensuring compliance. This expertise ensures smooth, uninterrupted supply chains, enabling businesses to fully utilize the robust infrastructure in major trade hubs like Detroit-Windsor and Buffalo-Niagara.
The Logistics Plus Canada division provides businesses with a trusted resource for intra-Canada and international transportation management, warehousing, and more.
The evolution from NAFTA to the United States-Mexico-Canada Agreement (USMCA) further underscores the commitment to reducing trade barriers. Logistics Plus global trade compliance services help businesses stay informed about shifting regulations across borders, ensuring they remain compliant with the latest standards and laws.
Mexico’s Role in Regional Trade and Manufacturing
Mexico has emerged as a strategic location for nearshoring, drawing foreign investment and becoming a manufacturing powerhouse. Its geographical advantages and competitive labor costs make it a vital player in the North American trade corridor. Border cities like Tijuana, Ciudad, Juárez and Nuevo Laredo are integral links in supply chains, facilitating faster time-to-market for goods.
Logistics Plus offers nearshoring solutions, optimizing logistics from Mexico to the U.S. and Canada. Logistics Plus transportation management services, which include route optimization and cost reduction strategies, are designed to ensure goods move swiftly and economically between these nations.
Mexico’s participation in free trade agreements, including USMCA, provides duty-free access to large consumer markets. Logistics Plus warehousing and fulfillment solutions ensure inventory is stored and managed efficiently, enhancing cross-border trade operations. This is especially beneficial for businesses in sectors like automotive and electronics, where rapid distribution is essential.
With three offices and multiple warehouses, the Logistics Plus Mexico division is well-suited to assist businesses with intra-Mexico, cross-border, and international transportation needs and Mexico-based warehousing.
Strategies for Success in North American Trade
While the North American trade corridor offers immense potential, businesses face challenges like aging infrastructure at ports and border crossings, leading to delays and increased costs. To succeed in the North American trade corridor, businesses must adopt proactive strategies, many of which are supported by the comprehensive solutions offered by Logistics Plus:
- Collaborating with logistics providers: Logistics Plus, with expertise in cross-border operations, helps businesses navigate complex supply chains, optimize routes, and reduce costs. Logistics Plus global trade compliance services provide importers and exporters with guidance on regulatory requirements, minimizing delays.
- Leveraging technology: Logistics Plus uses transportation management systems (TMS) and other technology solutions to streamline processes and improve efficiency. By adopting these technologies, businesses can better plan, predict, and track shipments across North America.
- Building strong relationships with customs brokers: With the help of Logistics Plus customs brokerage services, businesses can ensure compliance, reduce the risk of fines, and avoid delays in cross-border shipments.
- Sustainability: Logistics Plus is committed to green practices and a sustainable future, including optimizing routes, plastic waste reduction, and low carbon emissions. These practices reduce environmental impact while helping businesses meet consumer demand for eco-conscious companies.
Remaining informed about regulatory changes, such as updates to free trade agreements and new and existing import duties, is key to staying competitive. Logistics Plus ensures businesses are prepared for these changes with its comprehensive supply chain management approach, positioning companies to adapt swiftly to new trade dynamics.
The Future of North American Trade
The future of North American trade holds tremendous potential for growth and innovation. By addressing challenges like infrastructure gaps and regulatory disparities while embracing sustainability, the region can further solidify its position as a global economic leader. Logistics Plus is crucial to this transformation, using its services to assist businesses in seizing new opportunities. By tackling present challenges and utilizing the expertise and services of partners like Logistics Plus, companies can fully tap into the potential of the North American trade corridor and strengthen their position in the evolving global marketplace. Whatever changes the North American supply chain may undergo in the coming months, Logistics Plus will be there to help find solutions.
by Scott Frederick | Jan 3, 2025 | News
As we approach 2025, the global container shipping industry is undergoing significant changes with the restructuring of major shipping alliances. Here are the key updates:
1. Ocean Alliance: This alliance, consisting of CMA-CGM, COSCO Group, OOCL, and Evergreen, will continue with its current members and services. This alliance represents about 29% of the market.
2. GEMINI: The 2M Alliance today between Maersk and MSC will dissolve. Maersk will form a new alliance called Gemini with Hapag-Lloyd, while MSC will operate independently. This alliance represents about 22% of the market.
3. The Premier Alliance: This rebrands the current THE Alliance after Hapag-Lloyd’s departure. The remaining members will be HMM, ONE, and Yang Ming. This alliance represents about 12% of the market.
4. Independents: MCS, ZIM, and other niche carriers will continue operating independently, representing 37% of the marketplace.
The restructuring of global container shipping alliances in 2025 is expected to have several implications for shipping costs:
- Increased Efficiency: The new alliances aim to optimize capacity and reduce operating costs by pooling resources and sharing fleets. This could lead to more efficient operations and potentially lower shipping costs.
- Service Frequency and Reliability: Enhanced service frequency and reliability on significant trade routes, such as Asia-Europe and Trans-Pacific, may reduce delays and improve supply chain predictability. This could help stabilize shipping costs.
- Competitive Pricing: With the dissolution of the 2M Alliance and the formation of new alliances like Gemini and Premier, there may be increased competition among carriers. This competition could drive down shipping rates as carriers vie for market share.
- Fuel and Environmental Costs: Many new alliances focus on decarbonization and sustainable shipping practices. While this benefits the environment, the initial investment in greener technologies might lead to higher costs in the short term, which could be passed on to customers.
While the restructuring aims to create a more efficient and competitive market, the exact impact on shipping costs will depend on how these changes are implemented and how market dynamics evolve.
Have questions or need help with your import or export container shipping needs? Have questions about customs clearance, global trade compliance, or other ocean freight details? Contact the experts at Logistics Plus today!
by Ryan Markiewicz | Dec 26, 2024 | News
The Logistics Plus (LP) Poland team continues to support and manage projects across Poland and nearby countries. Here are the most recent projects handled by LP Poland in November and December 2024.
1) Hydraulic Press Brakes
Logistics Plus Poland handled two hydraulic press brakes. The first was sent from Slovakia to Hamburg, and the second was sent from Slovakia to Bremerhaven. Each unit weighed over 39 tons.
2) Carbon Black
The LP Poland team successfully imported Carbon Black from Shanghai, China, to an undisclosed site in Ukraine.
3) Baltic Power Thimble
A custom Baltic Power Thimble and Grommet was transported from Holand to Poland. The shipment utilized fifteen trucks to transport the thimble equipment, slings, and fenders.
4) Forklifts
Like in previous months, the LP Poland team transported four more forklifts from Holland to Poland.
5) Oil Rig
The Logistics Plus Poland team completed a lengthy relocation project for an oil rig from Latvia to Poland.
Below are photos from these projects (and more). To learn more about Logistics Plus Poland, please visit pl.logisticsplus.com.
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