August 01, 2018
Mexico City, Mexico

Wednesday, August 1, 2018

 

 
7:30 AM — 3:00 PM
 

Registration

Location: Foyer Gran Salon

 
 

 
8:00 — 9:00 AM
 

 Networking Breakfast

Location: Foyer Gran Salon

 
Sponsored By

sponsor


 
9:00 — 9:15 AM
 

Welcome Remarks

Location: Gran Salon

 
Chris Brooks
Executive Editor,
JOC Events, Maritime & Trade,
IHS Markit

 

Hugh Morley
Senior Editor,
JOC, Maritime & Trade,
IHS Markit

 
9:15 — 10:00 AM
 

Keynote Address

Location: Gran Salon

As a former US ambassador to Mexico, a top energy official in the US State Department, and adviser to President Clinton in the late 1990s, Carlos Pascual, vice president of global energy for IHS Markit, possesses an impressive background and unique perspective to the challenges and opportunities Mexico faces in the global arena. From the impact electric vehicles will have on energy markets to the future of global trade in an increasingly anti-globalist environment, the insights Pascual shares will leave JOC Mexico Trade Forum attendees with a clear picture of what lies ahead for Mexico on the global stage.

 
— Speaker Introduction —
Chris Brooks
Executive Editor,
JOC Events, Maritime & Trade,
IHS Markit

 

— Keynote Speaker —
Carlos Pascual
Senior Vice President,
Global Energy,
IHS Markit

 


 
10:00 — 11:00 AM
 

The Mexican Freight Outlook:
Where Is the Market Heading?

Location: Gran Salon

Even as uncertainty swirls about the future of the North American Free Trade Agreement, the impact of a newly elected president, and relatively slow 2 percent GDP growth (according to IHS Markit forecasts), there can be no doubt that demands on Mexico’s freight handling network will face continuing pressure. Manufacturing expanded for the sixth straight month in April, and new industrial orders point to continued growth, according to IHS Markit’s monthly Purchasing Managers’ Index. Shipping in the east-west shipping trades likewise is growing, with APL adding four routes between Mexico and Asia this year, and Hamburg Sud adding one. Mexico’s growing auto industry is boosting freight volumes, importing parts and exporting new vehicles. And the rapid growth in US Gulf Coast petrochemical plants and production is expected to send train loads of resins to the Port of Lazaro Cardenas. Trucking and rail face challenges, however. Threats to cargo security, from robberies and even labor disruptions, are omnipresent, even on rail, which used to be a safer option. The trucking sector faces rising rates as capacity tightens and a driver shortage intensifies. Intermodal is growing slowly – 2.5 percent year over year in 2017 — and industry leaders say their sector gets too little government investment, while highways are improved constantly. Still, Ferromex says it recently completed a $34 million project to make the entire inter-Pacific rail line from the US border to Mexico City double-stack capable, so that almost all of its 10,000 kilometer rail network can handle such trains, and Kansas City Southern says 90 percent of its lines can handle double stacks. This kickoff session will assess the existing and future demands on Mexico’s freight system, and the challenges of meeting them.

 
Sponsored By

sponsor

— Session Introduction —
Dave Mincey
Vice President Sales,
Americas,
INTTRA

 

— Session Chair —
Mark Szakonyi
Executive Editor,
JOC.com and The Journal of Commerce,
Maritime & Trade,
IHS Markit

 

— Panelists —
Reto Malfatti
Managing Director,
Kuehne + Nagel SA de CV, Mexico

 

Craig Mygatt
CEO,
SeaLand

 

Luis Olivera
Executive Vice President, Sales
Ferromex

 

Mauricio Rojas
Vice President,
International Trade Compliance,
Grupo Prodensa

 
11:00 — 11:30 AM
 

 Networking Break

Location: Foyer Gran Salon

 
Sponsored By

sponsor


 
11:30 AM — 12:30 PM
 

The Route to Efficiency:
Analyzing Shippers' East-West Port Options to Mexico's Interior

Location: Gran Salon

Improving Mexican container ports, rising cargo volumes and higher cross-border rates on shipments going through US ports are redrawing the supply chain maps of major shippers, putting pressure on Mexican terminals to boost capacity and efficiency, and ensure that surface transportation links are strong. As Mexican container port volumes rise — up 11.9 percent in 2017 over 2016, according to Mexico’s Secretaria of Communications and Transportation — importers and exporters are increasingly demanding greater efficiency, certainty, and value for their money. But can Mexico’s rapidly evolving ports meet shippers' needs for a world-class logistics hub — and even their own deadlines? Will the massive first phase upgrade of the Port of Veracruz be completed this year, and, if so, how will its sudden leap in available capacity change the cargo allocation between the ports? What is the expected impact of the opening of a train tunnel that will allow 24-hour containerized service into the Port of Manzanillo later this year? Has the opening of APM’s automated terminal in Lazaro Cardenas set the future standard for technological development in Mexican ports? In the wake of the 2016 opening of the enlarged Panama Canal, Mexico has seen a shift in cargo from west to east, with Gulf coast port volumes rising faster than west coast port volumes. One contributor is the interest among shippers in using maritime routes from the Gulf to the US, challenging cross-border land routes. Yet there are also signs that low shipping rates from Asia to Mexico, and high US trucking rates, are luring shippers to send cargo through Mexico’s Pacific Coast ports. Containerized imports through Ensenada, for example, soared 15.7 percent in 2017, more than twice the increase through the Pacific Coast as a whole. This panel will evaluate the strengths and weaknesses of Mexico’s port system and transportation links into Mexico’s heartland, as demand grows from shippers.

 
— Session Chair —
Hugh Morley
Senior Editor,
JOC, Maritime & Trade,
IHS Markit

 

— Panelists —
Erik Bo Hansen
Vice President Sales & Marketing, Intermodal,
Kansas City Southern Railway

 

Rafael Lopez
Vice President,
Logistics,
Ford Motor Co. Mexico

 

Francisco Javier Orozco Mendoza
Commercial Director,
Hutchison Ports Mexico

 
12:30 — 1:30 PM
 

Crossing the Border:
Land or Sea?

Location: Gran Salon

Amid uncertainty on the future of the North American Free Agreement, US-Mexico cross-border shippers have their hands full with pressing problems on the ground that go beyond the longstanding pains of extended waits at ports of entry. The US electronic logging device has tightened capacity, pushing up cross-border trucking rates, while the equipment imbalance has widened as the ratio of southbound to northbound loads has expanded from 2-to-1 to 3-to-1. Pressure points, meanwhile, are increasing at the major border crossings amid increasing trade and traffic. At the top four crossing points of Laredo, Otay Mesa, El Paso and Hidalgo, Texas, for example, the number of truck transits into the US from Mexico increased 4.6 percent, from 4.3 million in 2016 to 4.5 million last year, according to the US Department of Transportation’s Bureau of Transportation Statistics. It’s all spurring more shippers to turn to transloading and other options, including ocean services operated by an increasing number of dedicated Gulf of Mexico and global operators. Among the dedicated services are Linea Peninsular linking Progreso and Altamira with Houston, Panama City, Florida, and Tampa; TransGulf Shipping between Tuxpan and Tampa; and World Direct Shipping serving Coatzacoalcos, Tampico, and Pensacola and Manatee, Florida. CMA CGM, Hapag-Lloyd, and Maersk Line offer multiple cross-Gulf services as part of larger itineraries. This session will analyze conditions at the major US-Mexico ports of entry, and provide guidance on how shippers can better ensure freight security, cargo efficiency, and rate stability via cross-Gulf shipping services and intermodal rail — in short, providing Mexican shippers with true strategic supply chain options.

 
— Session Chair —
Mark Szakonyi
Executive Editor,
JOC.com and The Journal of Commerce,
Maritime & Trade,
IHS Markit

 

— Panelists —
Raul Alfonso
Executive Vice President
and Chief Commercial Officer,
Port Tampa Bay

 

Jose Minarro
Senior Vice President,
Mexico Customs,
Transplace

 
1:30 — 2:30 PM
 

 Networking Lunch

Location: Guadalajara

 
 

 
2:30 — 3:30 PM
 

US Policy and the Future of the Mexico-US Relationship:
What Shippers Should Expect

Location: Gran Salon

Until recently, optimism was growing that the North American Free Trade Agreement would survive the prolonged renegotiation process in bigger and better form and avoid a meltdown. Then came early May, and a warning from Robert Lighthizer, the United States’ top trade negotiator, that time was running out to reach an agreement ahead of Mexico’s presidential elections in June and US midterm elections in November, both of which could dramatically change the US-Mexico dynamic."I believe if we don't get it done in the next week or two, we'll be on thin ice," Lighthizer told an audience at the China Business Council conference in Washington on May 1. The enormity of the value of trade between Mexico and the US, not to mention Canada, as well as the highly integrated supply chains that have evolved to funnel everything from manufacturing components to agriculture, only underscores the risk. In 2017, US shippers exported $243 billion in goods to Mexico, while importing $314 billion, according to the Foreign Trade Division of the US Census Bureau. That was up 5.7 percent and 6.8 percent, respectively, year over year, and total US-Mexico trade in goods has soared more than 51 percent over the last decade. With the future of the world’s largest trilateral trade agreement potentially hanging in the balance, this panel of political analysts and industry representatives will analyze the state of Mexico-US relations, inform shippers and transportation providers how to prepare for the potential outcomes for the 24-year-old pact, and discuss the future of other Mexican trade deals, including the Trans-Pacific Partnership and bilateral deals with, among others, the European Union.

 
— Session Chair —
Mark Szakonyi
Executive Editor,
JOC.com and The Journal of Commerce,
Maritime & Trade,
IHS Markit

 

— Panelists —
Moises R. Kalach B.
Senior Vice President,
Grupo Kaltex;
and Director,
International Negotiations of the
Strategic Advisory Council (CCENI) of CCE

 

Patrick Ottensmeyer
President and CEO,
Kansas City Southern Railway

 

Christopher Wilson
Deputy Director,
Mexico Institute,
Wilson Center

 
3:30 — 4:00 PM
 

 Networking Break

Location: Foyer Gran Salon

 
 

 
4:00 — 5:00 PM
 

Supply Chain Visibility:
Getting a Clearer View

Location: Gran Salon

“Visibility” is on the tip of every supply chain manager’s tongue, but how many shippers truly have visibility, and what does the term really mean? More data is streaming toward carriers and shippers from the supply chain than ever, but big data isn't always smart data, and questions remain about how much is actually getting into the right hands. London-based shipping consultant Drewry Supply Chain Advisors, for example, recently reported that approximately 40 percent of inquiries made to carrier customer service centers relate to shipment tracking. Poor data and siloed information don’t help, but it’s the high costs and limited resources, both in capital and staff, that truly informs what shippers can implement in the short and medium-term. This session will explore how shippers can use visibility to make the leap from reacting to crises to proactive risk management. The growing potential for technology to offer greater visibility into the end-to-end movement of containers is forcing shippers and logistics providers to drill down into how much they need to see and how to overcome obstructions blocking their view.

 
— Session Chair —
Hugh Morley
Senior Editor,
JOC, Maritime & Trade,
IHS Markit

 

— Panelists —
Manuel Diaz
Managing Director Partner
SEKO Logistics Mexico

 

Erik Markeset
CEO,
Tsol

 
5:00 PM
 

Closing Remarks

Location: Gran Salon

 
Hugh Morley
Senior Editor,
JOC, Maritime & Trade,
IHS Markit

 
5:00 — 6:00 PM
 

 Networking Reception

Location: Foyer Gran Salon

   

 

 

 

STATEMENT OF JOC CONFERENCE EDITORIAL POLICY:
All JOC conference programs are developed independently by the JOC editorial team based on input from a wide variety of industry experts and the editors' own industry knowledge, contacts and experience. The editorial team determines session topics and extends all speaker invitations based entirely on the goal of providing highly relevant content for conference attendees. Certain sponsors may give welcoming remarks or introduce certain sessions, but if a sponsor appears as a bona-fide speaker it will be because of an editorial invitation, not as a benefit of sponsorship. Sponsorship benefits do not include speaking on a program.