Kansas City Southern de Mexico

J.B. Hunt Adds Washington State, Texas Operations

J.B. Hunt Transport Services Inc. (J.B. Hunt) announced on Oct. 3 that it is expanding its transloading footprint with the addition of two new operations in Seattle, Wash., and Laredo, Tex., “for customers’ needs and to provide quick access to outbound rail and highway transport.”

  • News

KCS, CP, GATX, Rotary, NASCO Team for a ‘Butterfly Effect’ (Updated)

Here’s something probably not too many rail industry people know: The migration path of the Monarch Butterfly, recently declared an endangered species, closely follows the alignment of the combined north-south Canadian Pacific and Kansas City Southern networks, which (pending merger approval by the Surface Transportation Board) will in early 2023 merge to form CPKC (Canadian Pacific Kansas City), North America’s first transnational freight railroad.

KCSM Concession Exclusivity Extended Until 2037; Bypass Under Way (UPDATED)

The Mexican Ministry of Infrastructure, Communications and Transportation (SICT) has agreed to extend exclusivity rights granted to Kansas City Southern de México, S.A. de C.V. (KCSM), a Kansas City Southern (KCS) affiliate, until 2037, in exchange for new investment in the Celaya-NBA Line Railway Bypass and other infrastructure, KCS and KCSM reported on July 20.

CPKC: UP Seeks Conditions at Laredo Gateway

A Canadian Pacific-Kansas City Southern combination without conditions “would likely cause a significant loss of competition, especially for traffic moving via the Laredo Gateway,” Union Pacific (UP) told the Surface Transportation Board (STB) in comments filed Feb. 28.

KCS Improving South-of-the Border Automotive Network

Kansas City Southern has entered into a joint venture with Suministros Industriales Potosinos SA de CV (SIPSA) and TransDevelopment Group (TDG) to develop the Central Bajío Vehicle Distribution Center (VDC), described as “a state-of-the-art origin and destination terminal for the shipment of finished vehicles.”

Mexican SAT Action Rather Ambiguous

In a July 19 press release, the Government of Mexico, through the Ministries of Energy, Finance and the Tax Administration Service (SAT), made public a list of active and suspended taxpayers on its Importers’ Registry, indicating that the suspensions were made due to several taxpayers apparently not being in full compliance with requirements under its Foreign Trade Rules. Among them were Kansas City Southern de México (KCSM) and Grupo Mexico’s Ferrosur rail freight subsidiary.

Commentary

Chess Game for Railroad Real Estate (UPDATED)

A bidding war has broken out for the Kansas City Southern, but it’s actually more like a chess game. Here are some observations about what it all could mean, especially in terms of railroad “real estate,” from my economist observation post.