SEKO Logistics: accelerating its strategic vision
What does this mean for SEKO Logistics?
Following its acquisition of Air-City Inc...
SEKO Logistics, starts 2020 with its largest acquisition to date.
What does this mean for SEKO Logistics?
Following its acquisition of Air-City Inc. - a New York based freight forwarder and cross border e-commerce expert - SEKO logistics will immediately see value from the acquisition when it comes to resources and growth.
The investment in Air-City is the latest made by the company to accelerate its strategic vision, growing its core services including Omni-Channel Logistics, White Glove Services and Value-Added Freight Forwarding. In addition SEKO Logistics will see its global footprint expand.
In addition to accelerating its strategic vision, the acquisition of Air-City will build the companies New York Gateway capabilities, which offers support to international shippers.
In the last few months, SEKO Logistics has also acquired GoodShip International Inc. and Omni-Channel Logistics Australia.
“Air-City will give us immediate depth in the growing westbound airfreight and cross-border ecommerce trade for goods going to China,” said SEKO’s President and CEO, James T. Gagne. “Air-City also gives us strategic air freight volumes and expertise into China as the rising demand for US goods increases along with a rising middle class in China. We have also added strength to our U.S. import services with the all-important ‘Section 321’ and Type 86 entries for e-commerce capabilities that are so critical for cross-border ecommerce into the United States as well as a network of bonded warehouses in the United States. The outstanding Air-City team will not only assist our current clients with expanded and faster value-added forwarding and global ecommerce capabilities, they will also support our award-winning air product team and help our US and international network of strategic partner locations to grow their business faster.”
Who is SEKO Logistics?
SEKO Logistics is a global supply chain and logistics company, founded in 1976. SEKO Logistics provides supply chain solutions to its customers, specialising in transportation, logistics, forwarding and warehousing. The company provides leading innovative and configurable IT solutions, with a goal to provide a seamless flow of information for true supply chain visibility.
Facts and Figures:
Headquarters: Itasca, Illinois, United States
Founded: 1976, Chicago
President and Chief Executive Officer: James Gagne
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Elon Musk's Boring Co. planning wider tunnels for freight
Elon Musk’s drilling outfit The Boring Company could be shifting its focus towards subterranean freight and logistics solutions, according to reports.
A Boring Co. pitch deck seen and shared by Bloomberg depicts plans to construct wider tunnels designed to accommodate shipping containers.
Founded by Tesla CEO Musk in 2016, the company initially stated its mission was to offer safer, faster point-to-point transport for people, particularly in cities plagued by traffic congestion. It also planned longer tunnels to ferry passengers between popular destinations across the US.
The Boring Co. completed its first commercial project earlier this year in April. The 1.7m tunnel system is designed to move professionals between convention centres in Las Vegas using Tesla EVs. It says the Las Vegas Convention Centre Loop can cut travel time between venues from 45 minutes to just two.
Boring Co.'s new freight tunnels
The Boring Co.'s new tunnel designs would allow freight to be transported on purpose built platforms, labelled as “battery-powered freight carriers”. The document shows that, though the containers could technically fit within its current 12-foot tunnels, wider tunnels would be more efficient. Designs for a new tunnel, 21 feet in diameter, show that they can comfortably accommodate two containers side-by-side, with a one-foot gap between them.
The Boring Co.’s new drilling machine, dubbed Prufrock, can tunnel at a rate of one mile per week, which is six times faster than its previous machine, and is designed to ‘porpoise’ - mimicking the marine animal by ‘diving’ below ground and reemerging once the tunnel is complete.
Tesla’s supply chain woes
Tesla is facing its own supply chain and logistic issues. The EV manufacturer has raised the price of its vehicles, with CEO Musk confirming the incremental hike was a result of “major supply chain pressure”. Musk replied to a disgruntled Twitter user, confused as to why prices were rising while features were being removed from the cars, saying the “raw materials especially” were a big issue.
Car manufacturing continues to be one of the industries hit hardest by a global shortage in semiconductor chips. While China’s chip manufacturing levels hit an all-time high in May, and the US is proposing a 25% tax credit for chip manufacturers, demand still outstrips supply. Automakers including Volkswagen and Audi have again said they expect reduced vehicle output in the next quarter due to a lack of semiconductors, with more factory downtime likely.
Top Image credit: The Boring Company / @boringcompany