As nearshoring continues to impact global supply chains, Uber Freight is expanding its cross-border operations to leverage on the boom.
The logistics platform is strengthening its services by adding new leadership, opening more office locations, and expanding its infrastructure to offer shippers efficient cross-border operations.
“We’re in the midst of one of the biggest cross-border logistics booms in history, and demand is only set to increase,” said Jesus Ojeda, EVP of Mexico at Uber Freight.
The company currently has $20 billion in global freight under management, with $750 million FUM in Mexico. This includes a 77% year-over-year increase in cross-border new business production.
“As cross-border trade proliferates and nearshoring reshapes supply chains as we know them, we’re proud to be the trusted partner shippers and carriers rely on to navigate complex challenges and capitalize on this burgeoning area of business,” said Lior Ron, founder and CEO of Uber Freight.
“By deepening our presence in Mexico and strengthening our team with industry-leading talent, we’re committed to making cross-border logistics simpler and more efficient for our customers, helping them unlock new growth opportunities and navigate challenges with ease," Ron said.
Ojeda said that the customs process continues to pose as one of the biggest challenges in cross-border operations. Approximately 70% of the company’s current customers in Mexico are expanding operations.
“Navigating a new region comes with very specific obstacles and regulations. It’s a lot to manage, but it’s something Uber Freight has been guiding shippers on for the last 25 years,” Ojeda said.
As an example, Ojeda pointed out their work with global power management company Eaton. Uber Freight worked closely with them to consolidate their customs process across eight of the company’s plants though the Laredo border crossing, allowing their goods to move over the border more efficiently.
According to Ojeda, the company has operations in 75% of Mexican customs ports, and processes over 25,000 customs entries monthly to help customers understand intricate regulations and be fully compliant with custom regulations and requirements.
To expand its presence across Mexico, in July, the company opened a new office in Nuevo Laredo, Mexico, a major crossing point for cargo traveling between the U.S. and Mexico. The new office will focus on Mexican customs clearance for cross-border freight.
This results to a total of 10 cross-border locations for the company, including Mexico City, Monterrey, Queretaro, Manzanillo, Saltillo, Tijuana, and Laredo, Texas.
The company also manages a 1.5 million square feet of warehouse space for cross-border logistics, which will prove beneficial as Ojeda noted there is high demand for warehouse space along the entire border, with Laredo seeing particularly strong demand.
It also launched an Innovation Center in Mexico City, aimed to boost technology advancements and optimize logistics solutions in the region.
