Keeping Cool with Cross-Border Freight Solutions

January 29, 2019

Every cross-border scenario is different. By listening to the customer’s pain points, we were able to collaborate and bring a customized solution that allowed our team to do what we do best, cross-border freight, and our customer to focus on what they do best, manufacturing coolers and drinkware.”
 – Kyle Toombs, Director of Mexico

Quick Shipper Facts:

  • $190 million+ premium cooler and drinkware brand
  • Selling products in four countries
  • Coyote customer for 2+ years

Challenge:

A premium cooler and drinkware brand made supply chain changes to reduce its production costs by fabricating part of its product in Mexico. The company had no experience shipping cross-border and needed a 3PL partner experienced in Mexico and cross-border freight.

The Result:

By working with Coyote’s Mexico team, the cooler brand was able to establish a cross-border solution that enabled the company to deliver over 500 Mexico loads.

The Full Story:

Shifting one’s production from the US to Mexico has proven to be an attractive cost-saving solution for several US brands. Despite the cost savings, the process of moving product over the border can be intimidating. One must take into account the potential adjusted lead times, paperwork, cross-border fees, and security of the product.

For one premium cooler and drinkware brand, they decided to make a shift in their fabrication to produce a portion of their products in Mexico. Despite confidence in their production decision, moving freight to and from Mexico wasn’t something they were familiar with, so they needed a global 3PL partner who knew the intricacies of cross-border shipping.

When they reached out to Coyote, their designated US Sales Rep immediately collaborated with the Coyote Mexico team – who has people on the ground in Guadalajara –to develop a cross-border solution for them. After asking several questions, it became apparent the customer first needed a customs broker to help them comply with the importing and exporting laws of Mexico and the United States.

We have relationships with several trusted customs brokers who evaluate imported and exported goods to meet the requirements mandated by the law, along with associated fees and taxes. By connecting the customer with a customs broker, we were able to help minimize costly paperwork mistakes that can result in fines from $500 - $25,000.

In addition to a customs broker solution, the customer also noted the high value of their product. To increase the security of the product to and from the border, Coyote coordinated security escorts to follow the shipments.

These specialized services, in combination with our core competency of utilizing our centralized network to match over 10,000 shipments a day, allowed this customer to seamlessly move over 500 cross-border shipments in the last 18 months.

Summary:

By working with Coyote’s Mexico team, this specific customer was able to develop a customized cross-border solution that met their unique needs. Our Mexico team evaluated  every customer concern and developed solutions to help them mitigate risk and financial burdens while moving their product north and south of the border. The success stories don’t stop with this customer, and we look forward to creating more specialized solutions for our global customers moving cross-border freight.

 

Talk to a cross-border specialist

 

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