JB Hunt BNSF GMXT Launch Usmexico Intermodal Service

J.B. Hunt, BNSF, and Grupo México Transportes have launched a US-Mexico intermodal service, connecting three major Mexican markets to the US rail network via the Eagle Pass border crossing. This initiative aims to improve the speed and efficiency of cross-border logistics. The move intensifies competition in the US-Mexico intermodal market, offering shippers more options and facilitating business expansion in the North American market. This collaboration promises streamlined transportation solutions and enhanced connectivity for goods moving between the two countries.
JB Hunt BNSF GMXT Launch Usmexico Intermodal Service

FORT WORTH, Texas — October 26, 2023 — Logistics giants J.B. Hunt Transport Services, Inc. (NASDAQ: JBHT), BNSF Railway, and Grupo México Transportes (GMXT) announced a strategic partnership to launch a groundbreaking U.S.-Mexico intermodal service on January 1, 2024. This initiative aims to transform cross-border logistics by offering shippers unprecedented speed, reliability, and efficiency, fueling the booming North American trade corridor.

Breaking Barriers, Accelerating Trade: The Core Advantages

The new intermodal service leverages the three companies’ robust infrastructure and expertise, optimizing rail networks across both countries. GMXT will operate dedicated trains six days a week between Mexico’s key markets—Monterrey, Silao-Bajío, and Pantaco-Mexico City—connecting seamlessly with BNSF’s extensive U.S. rail network at the strategically located Eagle Pass border crossing. This integration promises faster, more efficient freight movement between the two nations.

Compared to existing services, the partnership claims significant time savings. For instance, shipments from Monterrey to Chicago are expected to arrive a full day sooner, enabling shippers to accelerate market delivery and enhance supply chain responsiveness. An alternative route via El Paso, Texas, offers additional flexibility, allowing businesses to tailor logistics strategies to their specific needs.

"By combining the capacity and expertise of the largest intermodal railroad in the U.S., the largest railroad in Mexico, and the largest domestic intermodal provider in the U.S., this service will seamlessly connect the North American intermodal network," said BNSF President and CEO Katie Farmer.

Eagle Pass: A Strategic Cross-Border Hub

The Eagle Pass crossing serves as the linchpin of this collaboration, facilitating rapid freight movement between the U.S. and Mexico. Its operational efficiency and geographic positioning minimize delays, reinforcing the partners’ commitment to optimizing cross-border supply chains.

A Competitive and Evolving Intermodal Landscape

The U.S.-Mexico intermodal market has grown increasingly competitive amid rising trade volumes. The merger of Canadian Pacific Railway and Kansas City Southern to form CPKC—the first single-line railroad spanning Canada, the U.S., and Mexico—intensified this rivalry, prompting competitors to innovate. CPKC’s Mexico Midwest Express and Union Pacific’s Falcon Premium service exemplify industry efforts to capture market share. CSX and Norfolk Southern have also expanded connectivity to the U.S. Southeast.

J.B. Hunt, BNSF, and GMXT aim to differentiate their offering through speed, reliability, and dedicated support. The collaboration builds on recent joint ventures, including the Fort Worth-based "Intermodal Innovation Center," where teams collaborate to enhance premium services like Quantum.

Key Benefits for Shippers

  • Faster transit times: Monterrey-to-Chicago shipments reduced by one day.
  • Expanded coverage: Connects three major Mexican markets to the U.S. rail network.
  • Dual-border options: Eagle Pass or El Paso routing for greater flexibility.
  • Dedicated support: BNSF personnel assigned to streamline operations.
  • Simplified customs: Expedited cross-border clearance processes.

Looking Ahead: Opportunities and Challenges

This partnership heralds a new era for U.S.-Mexico logistics, though shippers must navigate a complex, competitive landscape. Businesses are advised to evaluate supply chain needs carefully and stay abreast of evolving trade policies to maximize the service’s potential.

About the Companies

J.B. Hunt , a Fortune 500 firm headquartered in Lowell, Arkansas, is a leading transportation and logistics provider with over 30,000 employees. BNSF operates 32,500 miles of rail across the U.S. Midwest and West. GMXT , Mexico’s largest railroad, manages 6,700 miles of track.