Fastfrate, CPKC Expand Mexico-US-Canada Connectivity Alliance

Fastfrate has announced the renewal and enhancement of its longstanding agreement with Canadian Pacific Kansas City (CPKC). The new five-year agreement solidifies their 58-year partnership, featuring operational enhancements, infrastructure investments, and continental service expansion.

The agreement positions Canada Drayage Inc. (CDI), a Fastfrate company, as a coast-to-coast drayage provider in Canada. CDI will now stand as the drainage provider in North America for CPKC, reinforcing the strength of their collaboration.

The agreement includes operational enhancements, infrastructure investments, and a continental service expansion into the United States and Mexico, says Ron Tepper, Executive Chairman, Fastfrate Group.

A key highlight of the agreement is the investment in gate technology to enable CDI immediate access through Fastfrate private entrances in CPKC facilities in Toronto and Montreal, Canada. Fastfrate will also allocate some acres of property and invest US$7.3 million to establish container and pre-pull yards, streamlining operations and enhancing services for domestic and international shippers.

As part of this agreement, Fastfrate will market CPKC's full load service on a direct rail line between Canada and Mexico and their industry-leading Intermodal LTL service from all points in Canada as well as the Midwest United States to Texas, Mexico, and all points in between. Fastfrate will immediately deploy 100 containers on CPKC's Mexico Midwest Express service to meet the growing demand.

"For a variety of geopolitical, economic, and environmental reasons, many of our customers are looking to Mexico as a new manufacturing, assembly, and distribution hub," says Manny Calandrino, CEO, Fastfrate. "As a result, demand for North-South transportation services will outpace the industry, and our agreement with CPKC uniquely positions us to become the market leader in this space."

Beyond CDI and the LTL business, the new agreement extends benefits to the entire Fastfrate stable of companies. Challenger Motor Freight, the group's recent acquisition, stands to gain from an enhanced suite of services for its largest customer segment, particularly in handling automotive parts efficiently and environmentally.