Kuehne + Nagel consolidates cross-dock services with doubled capacity on US-Mexico border

Kuehne + Nagel has consolidated three cross-dock operations on the US-Mexico border into one 40,000 sq.m facility that doubles previous capacity. The logistics provider said the services at the new cross-dock in Laredo, Texas will help shippers manage their cargo at a time of nearshoring complexity in North America.

The new consolidated cross-dock, which will be operational from mid-April 2025, includes a foreign trade zone (FTZ) that will provide services to manage customs duties and taxes.

Kuehne + Nagel said it wanted to better service shippers who are growing their cross-border business as the trend to nearshoring continues. At the same time, tariffs on cross-borders shipments expected in April have triggered a spike in activity. While the new cross-dock has not been set up as a direct result of the new US policy on taxing imports, Kuehne + Nagel did say there had been some increased activity as customers prepull in anticipation of any impact.

“The tariffs have not been implemented yet, but through conversations with our clients, they are exploring multiple avenues for supply chain resiliency,” said Joachim Goller, senior vice-president of road logistics in North America for Kuehne + Nagel. “Whether that be vendor changes, a closer look at their internal practices, or even where the manufacturing is taken place; these are evolving conversations.”

Goller said that companies are looking for a trusted supplier to help guide them through the changes affecting the market in North America, a supplier that can suggest alternative supply chain methodologies and work to mitigate change to the entire supply chain. Kuehne + Nagel is also offering bonded space for those customers who are wanting to wait and see how the tariff situation plays out in April.

“We expect the market to grow considerably despite political turmoil,” said Goller. “It is very important for the automotive industry to have suppliers close to their factories to optimise their supply chains.”

Supply chain uncertainty 
US tariffs on cross-border shipments are creating supply chain uncertainty and affecting a range of goods, not least for the automotive sector. According to the US Department of Commerce, in 2024 the value of automotive parts imports from Mexico amounted to $81.2 billion (+3.5%), while the value of parts moved from the US to Mexico were worth $38.8 billion (+4.9%).

The US is already applying 25% tariffs on those companies not compliant with the US-Mexico-Canada Agreement (USMCA) rules on local content who are moving vehicles, parts and materials into the US from Mexico. It remains to be seen whether those 25% tariffs will be reapplied to companies complying with the 75% local content rule in April, following the month-long suspension that Trump announced on March 6.

“Despite current challenges in global trade, we are confident nearshoring will continue, as it helps customers enhance supply chain resilience, reduces costs, and speeds up distribution,” said Nathan Thomas, regional vice-president for the central area at Kuehne + Nagel US. “Kuehne + Nagel’s strong network of strategically located assets, robust trucking network, expert services and customs expertise ensures our customers’ goods reach their destination in full compliance, interruption-free and on time.”