SEKO Logistics announces massive expansion plan into Mexico

Chicago-based third-party logistics (3PL) services provider SEKO Logistics said this week it is undergoing a “massive expansion” in Mexico, which it called the most significant stage of its global expansion strategy to date.

SEKO’s said its expansion into Mexico will be parsed out in two phases, with phase one having SEKO Logistics Mexico operating out of locations in Laredo/Nuevo Laredo, McAllen/Reynosa, Mexico City, Monterrey, Toluca, and Queretaro, with the second phase comprised of a network expansion to 20 locations through the opening of additional warehouses and offices.

SEKO Vice President of Marketing Brian Bourke told LM that this expansion is completely client driven. 

“Mexico is a huge trading partner with the United States, and SEKO has 60 locations and thousands of clients in the United States, by far the most in our global network,” he said. “We knew we needed to have a real presence in Mexico to better serve their needs, particularly in the retail, automotive and aerospace sectors.”

This expansion, said Bourke, has been in the works for more than a year, noting that simply opening one office was not going to be sufficient to truly manage and handle the needs of its clients across the country. This, in turn, served an impetus for  a massive expansion into Mexico: Phase 1 is now live with 6 facilities, and phase 2 will include an expansion to another 14 facilities for a total of 20 across Mexico. 

SEKO will provide customers with a full range of forwarding, logistics and software solutions that it offers globally, including: omni-channel logistics, white glove and final mile solutions, airfreight forwarding, ocean freight, customs brokerage, ground transportation, warehousing, e-commerce, TMS (SaaS), and demand chain management solutions. 

“Shippers with global supply chains are going to now have SEKO systems, people, processes and infrastructure in place to seamlessly serve their needs in Mexico, as well as the United States, China and other countries,” said Bourke. “For clients that are near-shoring with suppliers in China and Mexico, they are going to see the biggest benefits, but also retailers that are looking for better ways to access the growing Mexican consumer market via our Omni-Channel Logistics solution in country.  In addition, for our white glove clients we can now service their needs for medical devices, store fixtures, high tech equipment and more across Mexico.  In addition, our main facility in Toluca (Ocoyoacac) is the future of urban logistics and distribution in Mexico, and we knew we had to invest in this region to best service our clients’ needs.”

SEKO Mexico’s Ocoyoacac-based distribution center was officially opened on March 7.

Prior to this announced expansion into Mexico, SEKO previously worked with different agents over the years. Bourke said that Mexico was one of the biggest gaps in its growing global network, and with this expansion of six facilities right away and up to 20 within a year, he said it is now rounding out its global network quickly to better compete to service clients with global supply chains. 

SEKO said that this expansion into Mexico is the first project successfully completed under William J. Wascher, who took over as SEKO Logistics’ Chairman last month to focus on strategic initiatives for the company.  Former SEKO CEO Wascher is responsible for identifying new ways to grow the business with initiatives such as this ‘watershed’ expansion for SEKO in Mexico, the company said.  

“This is a true milestone in the development of SEKO Logistics and will enable us to provide to clients in Mexico and other countries the unique forwarding, logistics and technology solutions that have successfully driven SEKO’s growth in the 40 existing countries where we already operate,” Wascher said in a statement. “The potential for us in Mexico is further enhanced by our network of nearly 60 locations right next door in the United States. Together, we offer the local and international expertise customers require and we are excited by the tremendous opportunities we see ahead.”