Carriers have pulled 1.67m teu of capacity out of China, costing $1.5bn
Ocean carriers have withdrawn more than 1.67m teu of export capacity from China since the ...
Seko Logistics has cemented its interest in cross-border e-commerce opportunities with its largest acquisition to date: Air-City Inc, in New York.
The purchase will give the forwarder “greater depth in the New York market”, following heavy expansion in Chicago last year with the acquisition of GoodShip International.
Seko is looking to expand in three main areas: omni-channel logistics; white glove services; and value-added freight forwarding.
Air-City, a forwarder and cross-border e-commerce specialist with 15 offices worldwide – including 13 in mainland China – and more than 400 staff, was among the first forwarders to be certified by the Chinese government in 1994, and holds a certificate of approval for the establishment of enterprises in the country.
“Air-City will give us immediate depth in the growing westbound airfreight and cross-border e-commerce trade for goods going to China,” said Seko president and chief executive James Gagne.
“Air-City also gives us strategic airfreight volumes and expertise into China, as the demand for US goods increases along with a rising middle class in China.
“We have also added strength to our US import services with the all-important ‘Section 321’ and Type 86 entries for e-commerce capabilities that are so critical for cross-border e-commerce into the United States, as well as a US network of bonded warehouses.”
Air-City will also boost Seko’s “key facility infrastructure” in the in-demand real estate market near JFK international airport.
Chris Zheng, executive vice president of Air-City, said: “Our cultures are so aligned with the speed of e-commerce, growth of cross-border e-commerce expertise, focus on seamless technology and growing freight management capabilities. We are excited for our next phase of growth and the additional benefits we can deliver for our clients in Asia and the US as part of the Seko organisation.”
Seko said it would announce further expansion at JFK this year.