DP World has developed an industry-first solution that uses 53-foot intermodal containers with racking systems to transport completed autos by rail from Mexico to the US and Canada.
According to the company, the service involves putting finished automobiles onto containers directly at Mexican manufacturers or approved stuffing yards near industrial centres.
The containers are then trucked to intermodal rail ramps and sent by train to cities such as Los Angeles, Chicago, Detroit, and Toronto.
At the destination, the containers are trucked from the train ramp to designated yards, where the vehicles are unloaded and transported to the dealerships.
Door-to-door travel times vary from eight to 14 days, depending on the route. DP World noted that the new service will allow an extra 30,000 completed automobiles to be moved between trading partners by 2024.
DP World’s innovative ‘cars in containers’ invention comes as the North American automotive logistics sector continues to confront issues due to ro-ro and multilevel train capacity restrictions, fuelling the demand for alternate outbound options.
It is predicted that DP World’s new service will allow for an additional 30,000 vehicles to be moved between trading partners by 2024.
Since the beginning of 2024, the firm has moved over 5,000 vehicles across the Mexico-US border for American and Japanese OEMs that manufacture in Mexico.
Christoph Seitz, Global Vice President, Finished Vehicles, DP World, said: “Our initial volume shipments this year have proven concept that the 53-foot intermodal solution is a viable alternative during times when traditional capacity is tight, so we decided to officially offer the program to the wider market.”
Recently, DP World invested €130 million ($165 million) in three new locations in Romania to support the country’s expanding prominence as a vital European trade centre.