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Norfolk Southern, FEC forge stronger links in logistics network

Norfolk Southern, FEC forge stronger links in logistics network
Norfolk Southern, FEC forge stronger links in logistics network

Norfolk Southern Corporation and Florida East Coast Railway (FEC) have unveiled plans for an enhanced international and domestic interline services expansion to improve logistics, the American Journal of Transportation reports.   

The already operational Florida Express service, utilized by key player Crowley, now provides a comprehensive two-way transportation solution for businesses shipping goods between South Florida and Charlotte, North Carolina.

Norfolk Southern’s chief marketing officer, Ed Elkins, says: “This new, two-way transportation solution between Western North Carolina and South Florida accomplishes both goals, and we look forward to helping our domestic and international customers unlock the value of this service.”

Advancement in logistics 

This latest service offering represents a significant advancement in the partnership between the two railroads, facilitating the discovery of fresh supply chain routes for customers. Anchored on a robust steel wheel interchange in Jacksonville, operations now span both directions, broadening service avenues for customers tapping into global markets via South Florida. 

Luis Hernandez, vice president for intermodal at FEC, says: “We are committed to providing a fast, reliable, and top-of-class service into the ports, and partnering with Norfolk Southern provides a consistent and most efficient solution.”

US logistics, marine, and energy solutions provider Crowley is set to utilize the Florida Express to facilitate its customers across the US, Central America, and the Caribbean Basin. This will broaden their avenues for transporting textile goods to and from Charlotte for garment and apparel manufacturing purposes. 

Also Read: Exclusive: Dronamics redefining middle-mile logistics

Enhanced supply chain efficiency 

The American Transportation Journal states North Carolina, currently at the forefront, commands nearly 20% of all US textile exports, boasting the largest textile mill industry and housing over 395 textile manufacturers.

Crowley’s vice president, North American Transportation Bob Weist, says: “Through Florida Express, textile industry customers can receive enhanced supply chain efficiency, connecting our growing Central America market with US manufacturing centers such as North Carolina. Coupled with our regular ocean transportation service in South Florida, the industry will benefit with even more options to ensure fast, reliable solutions.”

This latest interline development also follows a recent move of the Port of Virginia to provide services that will directly link to the Latin American market. 

There previously was no connection to the South Americas. As a result, most poultry exports had to be transported via transshipment. This new development will allow the Port of Virginia to become more competitive in this business area in both directions, north- and southbound.

US rail logistics market 

Mordor Intelligence reports the US rail freight transport market is expected to grow at an annual compound growth rate of over 9% in the next five years. 

“Companies that use rail for freight transportation continually invest to reduce customer costs. For instance, a strong increase in tonnage per train during the previous ten years has allowed them to deliver more freight. Since the lower interest rates for the money that is being held up partly balance the higher transportation costs, rail freight is a relatively affordable shipping alternative,” reads the report. 

Now Read: Outsourcing logistics will grow by over 6%, using fifth-party logistics

About the author

Sharl is a qualified journalist. He has over 10 years’ experience in the media industry, including positions as an editor of a magazine and Business Editor of a daily newspaper. Sharl also has experience in logistics specifically operations, where he worked with global food aid organisations distributing food into Africa. Sharl enjoys writing business stories and human interest pieces.

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