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ground breakers: who's building a new DC?

  • Third-party logistics service provider Exel has leased a newly completed 402,500-square-foot spec building to use as the North American distribution center for toy manufacturer Lego Systems. Exel says a key factor in its selection of the facility, which is located at AllianceTexas, a mixed-use development near Fort Worth's Alliance Airport, was its inclusion within the Foreign Trade Zone there. With the addition of the new building, Exel now operates nearly two million square feet of distribution space in the Alliance complex.
  • Lowe's, the home improvement retailer, has unveiled plans to retrofit two existing distribution buildings in Stockton, Calif., for retail distribution. The complex, totaling 240,000 square feet, is located at the Port of Stockton, which is the Golden State's largest inland port. Lowe's will receive flatbed building materials from railcars and trucks and then ship these items on flatbeds to about 40 retail stores in Northern California.
  • Saddle Creek, a Florida-based company that provides integrated warehousing, transportation, and value-added services, is constructing a new 98,600-square-foot facility on its campus in Lakeland, Fla. The building, which is expected to be completed in August, is being designed as a cross dock facility.
  • Kraton Polymers, a global supplier of performance polymer products, has opened a new distribution center in the Waiganoqiao Free Trade Zone in Shanghai, China. The facility will store and distribute styrenic block copolymers and polyisoprene products for customers in the Asia-Pacific region.
  • Burton Snowboards is opening a new distribution center in Selkirk, N.Y. World Warehouse and Distribution Inc. will manage the facility for Burton. The building, which was formerly used by Daisytek, measures 350,000 square feet, of which 100,000 square feet are currently being used by another company. Burton will begin by using 75,000 square feet of the facility's remaining space and will then expand operations as warranted.
  • Advance Auto Parts is adding distribution capability in the Midwest by opening a new facility in Remington, Ind. The 525,000square-foot building is expected to be open in the summer of 2008 and will create 600 new jobs.
  • Newell Rubbermaid, maker of the well-known Rubbermaid plastic products, has signed a 10-year lease with the Southern California Logistics Airport. Rubbermaid will lease a built-to-suit, 407,612-square-foot building at the site to use as a bulk distribution facility for its line of Graco infant products. Rubbermaid, which plans to occupy the building in September, says it may expand the facility up to 600,000 square feet within five years. The Logistics Airport is an 8,500-acre site that has been developed at the former George Air Force Base in Victorville, Calif.

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Trucking industry experiences record-high congestion costs

Trucking industry experiences record-high congestion costs

Congestion on U.S. highways is costing the trucking industry big, according to research from the American Transportation Research Institute (ATRI), released today.

The group found that traffic congestion on U.S. highways added $108.8 billion in costs to the trucking industry in 2022, a record high. The information comes from ATRI’s Cost of Congestion study, which is part of the organization’s ongoing highway performance measurement research.

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From pingpong diplomacy to supply chain diplomacy?

There’s a photo from 1971 that John Kent, professor of supply chain management at the University of Arkansas, likes to show. It’s of a shaggy-haired 18-year-old named Glenn Cowan grinning at three-time world table tennis champion Zhuang Zedong, while holding a silk tapestry Zhuang had just given him. Cowan was a member of the U.S. table tennis team who participated in the 1971 World Table Tennis Championships in Nagoya, Japan. Story has it that one morning, he overslept and missed his bus to the tournament and had to hitch a ride with the Chinese national team and met and connected with Zhuang.

Cowan and Zhuang’s interaction led to an invitation for the U.S. team to visit China. At the time, the two countries were just beginning to emerge from a 20-year period of decidedly frosty relations, strict travel bans, and trade restrictions. The highly publicized trip signaled a willingness on both sides to renew relations and launched the term “pingpong diplomacy.”

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Hyster-Yale to expand domestic manufacturing

Hyster-Yale Materials Handling today announced its plans to fulfill the domestic manufacturing requirements of the Build America, Buy America (BABA) Act for certain portions of its lineup of forklift trucks and container handling equipment.

That means the Greenville, North Carolina-based company now plans to expand its existing American manufacturing with a targeted set of high-capacity models, including electric options, that align with the needs of infrastructure projects subject to BABA requirements. The company’s plans include determining the optimal production location in the United States, strategically expanding sourcing agreements to meet local material requirements, and further developing electric power options for high-capacity equipment.

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California moves a step closer to requiring EV sales only by 2035

Federal regulators today gave California a green light to tackle the remaining steps to finalize its plan to gradually shift new car sales in the state by 2035 to only zero-emissions models — meaning battery-electric, hydrogen fuel cell, and plug-in hybrid cars — known as the Advanced Clean Cars II Rule.

In a separate move, the U.S. Environmental Protection Agency (EPA) also gave its approval for the state to advance its Heavy-Duty Omnibus Rule, which is crafted to significantly reduce smog-forming nitrogen oxide (NOx) emissions from new heavy-duty, diesel-powered trucks.

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Canadian startup gains $5.5 million for AI-based global trade platform

A Canadian startup that provides AI-powered logistics solutions has gained $5.5 million in seed funding to support its concept of creating a digital platform for global trade, according to Toronto-based Starboard.

The round was led by Eclipse, with participation from previous backers Garuda Ventures and Everywhere Ventures. The firm says it will use its new backing to expand its engineering team in Toronto and accelerate its AI-driven product development to simplify supply chain complexities.

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