CPKC targets safe Mexican alternative

Shortly after confirming itself as a newly merged entity, Canadian Pacific Kansas City Railroad (CPKC), outlined a “safe alternative route that is considerably faster” from Asia to key locations in the US via Mexico.

According to Cory Heinz, MD Asia Pacific, CPKC, the company already offers highly competitive access from Vancouver (BC) to the US Midwest, with a four- day transit to Chicago and direct access to Kansas City and Minneapolis. From the east coast, Montreal is now joined by a revitalised Port of Saint John (operated by DP World), which will shortly be handling ships up to 14,000TEU in size.

The option of access to US markets via Mexico and avoiding US West Coast terminals and the Panama Canal is regarded by CKPC as a potential “game-changer.”

Lázaro Cárdenas is Mexico’s second-largest port and has two container terminals with a combined capacity of 3.2 million TEU per annum, with on-dock rail access and expansion space, with terminal utilisation only 50 per cent.

CPKC adds that moving container traffic from Asia to Dallas over this Mexican Pacific gateway takes 16 days on the water and four on the rail, equivalent to 7-10 days faster than using the Panama Canal and calling at Houston (based on rail to Kansas City and Chicago being seven and eight days, respectively).