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APL AND CN NORTH AMERICA INTRODUCE FIRST U.S.-CANADA-MEXICO CONTAINER SERVICE

APL AND CN NORTH AMERICA INTRODUCE FIRST U.S.-CANADA-MEXICO CONTAINER
 SERVICE
 MONTREAL, Oct. 1, /CNW/ - The first intermodal container service linking the United States, Canada and Mexico will start up Oct. 5, to meet the expected rapid growth of transborder trade within North America. The service, which includes both a California-Eastern Canada corridor and a northbound corridor from Mexico and Texas to Canada, will be offered by APL Land Transport Services in partnership with CN North America.
 "For the first time, manufacturers and retailers will have access to an integrated service that can provide seamless, reliable movement of containerized freight across both the Mexican and Canadian borders," said Tim Rhein, president of APL Land Transport Services. "This capability will be especially important as companies seek to improve the efficiency of their sourcing, production and distribution patterns in this era of growing regional cooperation."
 In the past, Mexico-Canada or U.S.-Canada container shipments had to be handled by multiple carriers or service providers, and involved hand-offs of responsibility and complex documentation. With the new service, customers can now deal with a single transportation provider rather than with multiple carriers and/or modes in each country, and have all their shipments move under a through rate and a single, streamlined shipping document.
 Al Gillies, vice-president, Intermodal for CN North America, said the new service from Mexico utilizes CN's container service from Chicago to Toronto, Montreal and Canada's Maritime provinces, coupled with APL's established stacktrain service from Mexico City and Laredo, Texas, to Chicago. The California segment integrates an existing APL stacktrain service between California and Chicago into the CN service to the Canadian points.
 "Both companies have long experience in pioneering and operating transborder services, and in working together to meet customer requirements," he said.
 With departures from Mexico City six days per week, and transit times of seven days to Toronto and eight to Montreal, schedules and transit times are competitive with over-the-road service.
 U.S. freight destined for Canada can be initially tendered at either Laredo or any of seven California service points. Other origin points will be added as the service grows. "APL and CN are building a transborder infrastructure that will expand and grow in the years ahead," Rhein and Gillies emphasized.
 Another advantage of the service is that it virtually eliminates freight damage because of the technologically advanced rail cars that will be used along both corridors. High capacity 48-foot, and other containers especially designed for the long-haul movement of dry cargo, are available on both corridors.
 Reflects trade growth
 APL's Rhein and CN's Gillies said the launching of the U.S.-Canada- Mexico container service represents an important step in the use of partnerships to develop seamless transborder services as well as single-point-of-contact and shipment management for the customer. They said it has involved careful integration of Information Systems, Operations, Accounting, Marketing and other processes not only between APL and CN, but between APL and its other rail carriers.
 The trade growth within North America, they said, reflects both the recently implemented U.S.-Canadian Free Trade Agreement and the prospective inclusion of Mexico as a result of the pending North American Free Trade Agreement (NAFTA). Two-way trade between the U.S. and Canada, valued at US$179 billion in 1991, is the largest between any two countries, APL and CN said, noting that it grew by 6.2 per cent from 1989. U.S.-Mexico trade reached $65.2 billion, up 24 per cent from 1989, and Mexico-Canada trade, while still at nascent stages, grew 29 per cent to $2.5 billion in 1991.
 It has been projected that Northbound trade flows between Mexico and Canada will reach an equivalent of 30,000 containerload shipments by 1995, an 80.5 per cent increase from 1990 levels, and will exceed 43,000 containerload shipments by the year 2000, up 155 per cent from 1990.
 CN North America is the rail division of Canadian National Railway. It currently operates 11 intermodal terminals in Canada and the U.S. and is, by far, the largest stacktrain operator in Canada. CN North America is celebrating 40 years of intermodal service in 1992.
 APL established the first stacktrain service in 1984. Today, in conjunction with its partner rail carriers, APL operates a network that spans 20,000 miles of rail track, and services 60 terminal locations in U.S., Canada and Mexico. The company is part of the American President Companies group which provides container transportation services in North America, Asia and the Middle East through an intermodal system combining ocean, rail and truck transportation.
 For further information: CN North America, Cliff Carson, General Manager, Overseas/International Marketing, (416) 566-2987, Ed Pawlusiak Senior Information Officer, Intermodal Communications, (514) 399-5069; APL Land Transport Services, Alan Courtney, (510) 272-7456, Steve Potash, (510) 261-1570
 -0- 10/01/92


CO: CN NORTH AMERICA; APL LAND TRANSPORT SERVICES IN: TRN SU: JVN ST: -- -- X016 10/01/92
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Date:Oct 1, 1992
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