Trucking news and briefs for Thursday, Dec. 7, 2023:
TuSimple begins winding down U.S. operations
Autonomous truck developer TuSimple Holdings has taken another step toward exiting the U.S. market.
TuSimple announced in June that it was exploring the possible sale of its U.S. business and a restructuring of the company.
On Nov. 30, the company’s Board of Directors authorized an additional restructuring plan, which includes a reduction in the company’s U.S. workforce by approximately 150 employees, or 75% and 19% of its U.S. and global workforces, respectively, according to a filing with the U.S. Securities and Exchange Commission.
[Related: Autonomous firm TuSimple exploring possible U.S. exit]
Following the workforce reduction, TuSimple is expected to have approximately 700 global full-time employees. The company anticipates that the remaining U.S. workforce will focus on winding down the company’s U.S. operations, including through sales of U.S. assets, and assisting with the company’s strategic shift to the Asia-Pacific region.
TuSimple added that it estimates that it will incur one-tiem charges of approximately $7-8 million in connection with the restructuring plan, consisting primarily of cash expenditures for employee transition, notice period and severance payments, employee benefits, and related costs.
The majority of the restructuring charges per the plan will be recorded in the fourth quarter of 2023, and the full execution of the restructuring plan will be substantially completed by the end of the fiscal year 2024.
[Related: Waymo putting the brakes on its autonomous truck program]
Union Pacific announces plans for new Phoenix intermodal terminal
Union Pacific Railroad has announced plans to open a new international intermodal terminal in Phoenix.
The new facility will open with drayage support provided by Duncan & Son Lines, a 354-truck, family-owned trucking company based in Buckeye, Arizona, that primarily focuses on international container drayage from the ports of Long Beach and Los Angeles.
“Duncan and Son Lines is proud to be working with Union Pacific on this innovative rail solution, which will give our customers another service option to reduce truck emissions,” said David Duncan, Vice President of Operations at Duncan & Son Lines.
The new terminal, owned and operated by Union Pacific, is expected to open in the first quarter of 2024. It will be established in Union Pacific’s downtown rail yard, with capacity to grow to meet customer demand.
“We are excited to offer regional shippers and receivers in Arizona a fast, sustainable rail option to move product into and out of Southern California that is cost competitive and removes trucks from our nation's congested highways, with an ability to expand offerings and grow in the future" said Kenny Rocker, Executive Vice President – Marketing and Sales for Union Pacific.
MHC opens new South Carolina dealership
Murphy-Hoffman Company (MHC) has opened its newest location in Fort Mill, S.C.
The new location will support a growing customer base and serve the greater Charlotte area, the company said. MHC has invested more than $26 million into the new dealership, which expands its footprint to 19 states.
MHC Kenworth – Charlotte is now located at 3361 Highway 21, near the intersection of Interstate 77 and Highway 21. The dealership is open seven days a week, 24 hours a day, offering Kenworth and Isuzu new truck sales, all-makes premium truck service and parts. MHC said the state-of-the-art, 90,000 sq.-ft., facility features the only temperature-controlled service facility in the region and an expanded parts warehouse. Additionally, it offers 33 service bays, compressed natural gas (CNG) service capabilities, DPF cleaning, alignment, mobile truck maintenance and certified support for Paccar, Cummins and Cat engines, Eaton drivetrain and Allison transmission.
MHC added the facility features a driver’s lounge with an 86-inch flatscreen TV, free Wi-Fi, a washer/dryer and dedicated restrooms and showers.
This expansion is one of four newly constructed locations by MHC in 2023. Other newly constructed locations include dealerships in Englewood, Colorado, and El Paso, Texas, as well as an MHC Truck Leasing facility in Tulsa, Oklahoma. In addition to new construction of advanced facilities, MHC also opened MHC Kenworth – Cortez, MHC Kenworth – Dallas Medium Duty and MHC Truck Leasing – Grand Prairie.
The new Fort Mill dealership joins 10 other MHC dealership locations and six MHC Truck Leasing locations serving the Carolinas. MHC Kenworth – Charlotte will host an open house in the first quarter of 2024 for customers to explore the new dealership and learn more about MHC’s all-makes capabilities.
