KCS to serve new auto distribution center in Mexico

Kansas City Southern today announced a collaboration with Suministro Industriales Potosinos SA de CV (SIPSA) and TransDevelopment Group (TDG) to develop the Central Bajio Vehicle Distribution Center in Mexico, an origin and destination terminal for the shipment of finished vehicles.

Strategically located on a KCS mainline and developed, owned and operated by SIPSA and TDG, the VDC will serve the rapidly-growing Bajio region and strong Mexico City area demand, KCS officials said in a press release.

The Central Bajio VDC will have a capacity for up to 10,000 vehicles, unit train service and direct truck access to Mexico City, Guadalajara and the Bajio region. The terminal is located about 25 miles west of Queretaro, Mexico’s fastest growing city, along the KCS mainline between Monterrey and Lazaro Cardenas.

It will be constructed adjacent to SIPSA’s Transload and Cross Dock Terminal — the highest-capacity terminal of its kind on the KCS network. The surrounding area is the largest center of automobile manufacturing in Mexico.

"Development of the Central Bajio VDC adds velocity, capacity and markets,” said Rodrigo Flores, KCS vice president of automotive and intermodal. “One goal is to speed the turnaround for multilevel rail cars making a round-trip between the U.S. and Mexico improving the availability of rail cars in the region. Unloading rail cars in the Bajio, near many of the assembly plants where empty rail cars are needed, adds capacity and reduces congestion."