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Transportation Equipment and Services

Transportation and Ports

Market Overview

The Mexican transportation sector is facing one of its most important challenges in its history. The huge increase in Mexican foreign trade, plus the increase in traffic of merchandise arriving at Mexican ports with final destinations to the U.S. and Canada, is requiring a quick response from the transportation sector to improve efficiency, cost savings and cargo security.

Imports of Equipment for Intermodal Transportation in Mexico

Imports of equipment for intermodal transportation have increased significantly in the last 3 years. The import market will continue growing at two-digit percentage rate, at least for the next 3-4 years.

Figures in U.S. million dollars

Best Products/Services

Products having the best prospects in this market include: frame mobile and rotary cranes, self-propelled cranes on tires, front loaders with capacity over 7 tons., mobile platforms, traffic control equipment, diesel electric locomotives, railway maintenance service vehicles, rail and tramway freight cars, automatic unloading wagons, covered and closed cars, assemblies for railway vehicles, containers, chassis, and trailers.

Market Opportunities

In 2006, the U.S. supplied 66 percent of total imports. This share could be increased if American firms take more advantage of NAFTA conditions and become more aggressive in this sector. The U.S. Commercial Service Mexico can provide information on new projects and support introduction of products into this market.

Resources

Secretaria de Comunicaciones y Transporte

Expo Transporte 2008 (International Exhibition for Passenger and Freight Transportation Vehicles)

National Association of Manufacturers of Buses, Trucks and Tractors

National Chamber of Cargo Transportation

Market Research on Infrastructure Projects in the Transportation Sector

A New Port in Punta Colonet

The Embassy's Commercial Service has been working closely with U.S. and Mexican industry to develop transactions as part of Mexico's ambitious National Infrastructure Program. In my previous messages to you, I noted our work on the February 2008 "U.S. and Mexico: Building Partnerships in Infrastructure" Conference that attracted nearly 400 representatives of government and industry from our two countries. Mexico's recent announcement of a mega-port project in Punta Colonet, Baja California, is a major step forward in Mexico's efforts to strengthen infrastructure and presents major opportunities for U.S. and Mexican firms to do business together. Click here to read our market research on the project and how our Embassy support U.S.-Mexican business development.

Railway Infrastructure Projects 

Of Ferromex’s planned investment, $183 million are directed toward railway infrastructure projects through 2008.  A further $200 million is set for further infrastructure expansion in 2009, including related telecommunications and commercial programs.  Ferromex is planning on building additional terminals.  To obtain the full text of this report please contact us.

Highway Network in Oaxaca

Action in the transportation sector includes a road to connect Oaxaca and Puerto Escondido in southern Mexico that has been approved with a project budget of an estimated $320 million dollars.  The overall highway network to be constructed will include a network of roads connecting smaller towns along the main thoroughfare.  To obtain the full text of this report please contact us.

The Port of Manzanillo

The Port of Manzanillo, located on the Pacific coast, is one of the busiest ports in Mexico, with impressive growth over the last 5 years. The expansion of the Port of Manzanillo has received priority in the National Program for Infrastructure announced by President Calderon in July 2007.  To obtain the full text of this report please contact us.

The Port of Lazaro

The Port of Lazaro Cardenas is the only port in Mexico with capacity to receive ultra large container vessels of up to 12,500 TEUs. The port is hoping to capitalize on the overcrowding of U.S. west coast ports by offering a viable alternative for shipping products into the central United States.  To do so, the port is developing infrastructure projects and making agreements with carriers and transportation companies to become an intermodal corridor to receive Asian containers going to the U.S.  To obtain the full text of this report please contact us.

Ports Projects-Gulf Coast

The Mexican port sector is in a very dynamic stage in its development.  Mexican ports must improve efficiency and expand capacity to respond to the increasing demands generated by international trade. Mexico’s Gulf Coast ports face a challenge to respond to the demand generated by NAFTA trade and to compete in price and delivery time with the truck transportation industry. All Mexican ports on the Gulf Coast have projects to expand facilities, and to increase efficiency in the next 5-10 years.  To obtain the full text of this report please contact us.

Port Projects- Pacific Coast

The Mexican port sector is in a very dynamic stage in its development.  Mexican ports must improve efficiency and expand capacity to respond to the increasing demands generated by international trade. Mexico’s Pacific Coast ports are especially interested in creating cost-effective alternatives to bypass the saturated U.S. ports of Long Beach, Los Angeles and San Francisco.  There are numerous projects designed to move containerized shipments from China and other Asian sources through Mexico and into the central United States.  To obtain the full text of this report please contact us.

Puerto Chiapas

The Port of Chiapas is located on the Pacific coast, in the Southern State of Chiapas. The port used to be mainly for fisheries and light agricultural cargo. Now,  authorities are pushing the port modernization and expansion with a goal of becoming an important cruise ship stop and minerals and containerized cargo terminal.  To obtain the full text of this report please contact us.

Port Projects- Salina Cruz

The Mexican Government is promoting a project to build an intermodal corridor between the ports of Salina Cruz, Oaxaca on the Pacific coast and Coatzacoalcos, Veracruz on the Gulf coast.  The intention is to offer an alternative for inter-oceanic traffic now using the Panama Canal.  To obtain the full text of this report please contact us.

Port of Altamira

Private operators of the Port of Altamira in the Mexican state of Tamaulipas, will invest over 140 million dollars in 2006 to build infrastructure and purchase equipment.  To obtain the full text of this report please contact us.

Success Story

SAIC is selected to install an Integrated Container Information System at the Port of Veracruz

The U.S. Commercial Service in Mexico worked closely with public and private sector partners to support the Port of Veracruz expansion project. In 2002, the Port received a US$ 408,000 grant from the U.S. Trade Development Agency for a project feasibility study to add more throughput capacity to this key maritime facility. As a result of these activities, including sustained support from U.S. Ambassador Tony Garza and his business development team, the port acquired a US$5.8 million Integrated Container Information System (ICIS), a non-intrusive imaging inspection system from Science Applications International Corporation (SAIC). SAIC is located in San Diego, CA and is a leading provider of scientific, engineering, system integration, and technical services and solutions.  Click here to read the full text.

Further Information, Comments or Questions

If you wish to write us regarding these reports, please contact Alicia Herrera, Trade Specialist of the US Commercial Service Mexico City Office.