Nippon Express USA Launches New Multimodal Transport Service from North America to Asia via Mexico

-BCP-compatible Service Designed to Avoid Port Congestion on North America's West Coast-

TOKYO,July 8,2022 -- Nippon Express U.S.A.,Inc. (hereinafter,"NX USA"),a group company of Nippon Express Holdings,Inc.,has launched "US EXPORT SERVICE Via MEXICO" (abbreviation: U.S.E.ME),a new BCP-compatible multimodal transport service for shipments from the United States and Canada to Asia via Mexico.

Logo: https://kyodonewsprwire.jp/img/202207053436-O1-HoYUeT48

Image: U.S.E.ME service route map

https://kyodonewsprwire.jp/prwfile/release/M103866/202207053436/_prw_PI2fl_q9myWSE3.jpg

Overview of service

A. Name of service: "US EXPORT SERVICE Via MEXICO" (abbreviation: U.S.E.ME)

This BCP-compatible integrated multimodal transport service conveys cargo overland by trailer from various locations in North America (U.S./Canada) 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.

B. Features

1. Reliable lead time: This transport service avoids port congestion on the U.S. West Coast and thus offers dependable lead time (e.g.,about 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*.

*Based on transport carried out by Nippon Express as of June 2022

2. High-quality integrated transport by the NX Group: NX Mexico provides customers with reliable service by issuing House Waybills and consistently clarifying its transport responsibilities from departure points to arrival points.

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

Primary collection areas: Toronto,Minneapolis,Chicago,Indianapolis,Detroit,Columbus,Cincinnati,Nashville,Atlanta,Houston,etc.

Background to service development

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

NX USA has developed U.S.E.ME as a new BCP-compliant multimodal transport service via Mexico,where space is more readily available,to avoid port congestion on the U.S. West Coast and maintain customers'supply chains. Together with providing reliable transport with stable lead times,NX USA will utilize 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 U.S. West Coast. So,with the U.S.E.ME service now in operation,services via Mexico are available in both directions between Japan and North America.

The NX Group remains committed to providing BCP-compatible solutions and supporting customers' business continuity by developing alternative routes and combining and using transport modes in response to customer requests.

Nippon Express website: https://www.nipponexpress.com/

NX Group's official LinkedIn account:

https://www.linkedin.com/company/nippon-express-group/