Road Blockades Hit Mexico, Canada Braces for Rail Strike

This week’s roundup, Mexico’s frequent road blockades are costing the country millions daily. Meanwhile, the surge in online perishable goods and pharmaceuticals is fueling a booming cold chain logistics market in Mexico.

In other news, Canada’s rail network is bracing for a potential strike that could disrupt essential freight services and impact supply chains across North America, prompting Canadian Pacific Kansas City (CPKC)  and Canadian National Railway (CN) to prepare contingency plans. On the other hand, Mexican startup Veikul has secured seed funding to advance its technology and expand operations throughout Mexico.  

Ready for more? Here is your Week in Logistics!

Road Blockades, Strikes Are Costing Transporters Millions

Frequent blockades and strikes on Mexico’s main highways are costing the country millions daily and impacting economic stability. These disruptions affect essential services, raise operational costs, and stress the population. Business groups urge immediate government action to prevent further economic damage and instability.

Cold Chain Logistics Booms in Mexico

The growing preference for buying perishable goods and pharmaceuticals online is transforming Mexico's logistics market, driving demand for cold chain solutions. The market is expected to grow from US$4.06 billion in 2024 to US$6.06 billion by 2029. Key investments and innovations are emerging to address the need for automated warehouses and advanced temperature control.

Canada Faces Economic Hit from Imminent Rail Labor Strike

Canada's rail network faces disruption from a potential strike by CPKC and the Teamsters Canada Rail Conference (TCRC) starting on Aug. 22, 2024. This strike could halt essential freight transport, impacting supply chains across North America. CPKC and CN are preparing for the strike with embargoes, while Maersk is evaluating contingency plans.

Pharr LPOE Expansion Begins With US$44 Million Investment

The US General Services Administration (GSA), US Customs and Border Protection (CBP), and the City of Pharr have launched a US$44 million expansion project at the Kika de la Garza Land Port of Entry in Pharr, Texas. This project will enhance infrastructure with a new commercial dock, improved cold inspection areas, and a regional agricultural laboratory. 

Veikul Raises US$3 Million Seed Round to Expand Across Mexico

Mexican startup Veikul raised US$3 million in seed funding to boost its technology and expand across the country. The investment will support growth in key cities like Mexico City, Guadalajara, and Monterrey. Veikul connects independent drivers with delivery platforms and aims to enhance delivery logistics through technology.

ConaLog, Latina Chief Partner to Boost Women in Logistics

The National Council of Logistics and Supply Chain Executives (ConaLog) has partnered with Latina Chief to boost female leadership in Mexico's logistics sector. This alliance aims to address the low representation of women in leadership roles, which stands at under 10%. The collaboration will enhance recruitment efforts for female talent and promote greater diversity and inclusion in the industry, setting a new standard for leadership and inspiring broader change across Mexico's corporate landscape.

CBP Launches 2024 Plan to Advance Global Trade Interoperability

US Customs and Border Protection (CBP) will advance global interoperability standards in its 2024-2025 strategy to improve data exchange and supply chain security. Starting in fall 2024, CBP will test new trade technologies and standards, with international trials in 2025, aiming to enhance transparency and efficiency in global trade.