Ann Arbor, Mich.—Feb. 19, 2013—Con-way Truckload and Con-way Multimodal, two subsidiaries of U.S. freight and global logistics company Con-way Inc., launched a new North American intermodal product that integrates the strengths and capabilities of both organizations to deliver a high-value, high-reliability offering for intermodal shipping. While the new service will work with all major Class 1 railroads and offer full nationwide service for intermodal moves, it emphasizes a unique capacity and differentiated capability for U.S.-Mexico trade.
“With changing global trade patterns and the rise in near-sourcing, Mexico is increasingly a location of choice for manufacturing and distribution,” said Saul Gonzalez, President, Con-way Truckload. “This new collaborative service with Con-way Multimodal allows us to immediately expand our portfolio for customers, adding an intermodal option to complement our well-established long-haul and regional over-the-road services. We are able to create additional value from our extensive network of Mexico sales and drayage operations, providing customers with dedicated capacity and new service capability.”
The integrated service leverages Con-way Truckload’s recognized leadership and expertise in Mexico through its CFI Logistica subsidiary, where it has 10 offices; an extensive drayage network and 40 years of in-country experience; and Con-way Multimodal’s resources, systems and freight procurement expertise.
Tommy Barnes, President of Con-way Multimodal, noted similar advantages for customers of Con-way’s fast-growing transportation brokerage division.
“This formalizes a true intermodal service product and dramatically expands our capability to arrange and manage transportation for U.S.-Mexico traffic,” said Barnes. “And by combining our systems, expertise and resources with Con-way Truckload’s network of 2,700 drivers in the U.S. and its long-established infrastructure in Mexico through CFI Logistica, we bring to market a unique collection of assets and value not available from any other organization.”
Joplin, Mo.-based Con-way Truckload today derives 35 percent of its revenue from shipments destined for/or originating in Mexico. The company has a fleet of 2,700 tractors and 8,800 trailers, with more than 2,300 trailers operating in Mexico.
“We believe this also helps both the U.S. and Mexico further realize the promise and benefits from the North American Free Trade Agreement (NAFTA), facilitating job creation and economic growth for both countries,” added Gonzalez.
The joint service provides a new solution for customers of both companies for U.S.-Mexico shipping, which is particularly timely as more companies locate manufacturing and distribution operations in Mexico and the need for capacity and reliable cross-border shipping services accelerates.
“Con-way Truckload has long been a trusted and reliable transportation partner,” said Tim Nelson, Director of Domestic Transportation, Michael’s Stores Inc. “When our sales representative offered us the new intermodal option for non-time sensitive shipments, we were pleased to learn of yet another way Con-way is providing seamless door-to-door service to its customers. We look forward to taking advantage of this new offering.”
Gonzalez noted that the new service also will present opportunities for Con-way Truckload’s drivers to pick up more loads and secure more miles.
“We will be able to match our drivers up with drayage opportunities such that they can earn additional income when they have availability between regional and long-haul over-the-road moves,” said Gonzalez. He added that since the new intermodal service supplements the company’s existing offerings, it will allow the company to grow its business without adding more trucks. “We recognize that our professional drivers are the most important part of our service offering and we will continue to focus our efforts on getting good freight for them.”
“We believe that this new service combines the best attributes of two strong organizations and will offer shippers a trusted, reliable service that brings peace of mind and helps our customers gain efficiencies in critical transportation services that support customer satisfaction and effective supply chain and distribution operations,” concluded Barnes.