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Rail News: Union Pacific Railroad

UP, TFM team up to offer 'MexDirect' service


North American railroads continue forging partnerships to provide what they believe is truck-competitive service to and from Mexico.

Union Pacific Railroad and TFM S.A. de C.V. July 8 unveiled MexDirect, a "one-stop" shipping system designed to expedite movement of a range of products – from steel to consumer goods – across the U.S.-Mexican border. Under MexDirect, UP-TFM offer customers "quick quote" rates between UP-served origins and destinations in the United States, and TFM-served origins and destinations in Mexico. Other MexDirect features:

• A single point of contact to service both sides of the border;

• Information on how to do business in both countries, such as how to obtain credit, place car orders, create bills of lading and trace cars (including customs clearance requirements);

• A single bill (in U.S. dollars); and

• Multiple warehouse and transload options.

"With a single phone call, customers can get rates and service, which are a highly competitive alternative to premium-price truck service," said Drew Collier, UP Vice President Mexico, in a prepared statement. "It opens up a whole new market to shippers and receivers who have never competitively shipped to or from Mexico."

Initially, MexDirect covers northbound and southbound shipments of iron and steel sheet and coils. Eventually, UP and TFM plan to expand the service to include such commodities as other steel products, lumber, plywood, particleboard, paper and paper products, minerals, and consumer products.

MexDirect’s geographic reach also might be expanded to include locations served by CSX Transportation and Canadian Pacific Railway, UP says.

Contact Progressive Railroading editorial staff.

More News from 7/10/2002