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ground breakers: who's building a new DC?

  • The Allen Group, a developer of logistics parks, has reached an agreement with BNSF Railway Co. to purchase half of the railroad's acreage in Kansas to develop what will be known as Logistics Park-Kansas City. BNSF, which currently owns 997 acres, will retain ownership of 418 acres of land for an intermodal facility it plans to open in 2009. The remaining 579 acres are being sold to Allen for the logistics park. The site is located about 25 miles southwest of Kansas City.
  • Electronics and technology distributor Ingram Micro is breaking ground on an addition to its distribution facility in Pennsylvania's Lebanon Valley. The 250,000-square-foot addition will make the facility in Lickdale, Pa., the largest of Ingram Micro's eight DCs.
  • Construction continues in other parts of Pennsylvania, as Sara Lee plans a new 182,000-square-foot distribution center to be located near Pottstown. The facility will handle the company's signature frozen desserts as well as its Ball Park, Hillshire Farms, and Jimmy Dean brand meats. It is expected to create 120 jobs.
  • Averitt Express, a freight transportation and supply chain management company, has opened a new service center in West Palm Beach, Fla. The 7,000-square-foot facility has 26 doors and is expected to improve delivery times for customers moving freight in and out of West Palm Beach.
  • Computer company Lenovo has announced plans to build a 200,000-square-foot fulfillment center in Whitsett, N.C. The facility, due to open in January, will provide services such as product configuration, distribution, returns management, and light assembly.
  • Pacer Distribution Services has opened a 52-door trans-load and distribution facility in Carson, Calif. The new operation is adjacent to the ports of Los Angeles and Long Beach and will help meet increasing demands for trans-loading services for international freight shipments moving from the West Coast ports to inland locations.
  • ProLogis, a large international developer of distribution facilities, has acquired 184 acres in Wilmington, Ill., for a new distribution park. Located some 60 miles southwest of Chicago, the center will serve Logistics Park-Chicago, BNSF Railway Co.'s large intermodal facility. The first phase of development will include 3.2 million square feet of industrial space. Future phases will add 6.8 million square feet of warehouse space.

    ProLogis is also leasing an 806,400-square-foot facility at its new park in Morris, Ill., to Kraft Foods. The facility will replace Kraft's Romeoville, Ill., distribution center and serve as the main distribution point for Nabisco-brand crackers and cookies.

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Trucking industry experiences record-high congestion costs

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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 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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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.

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