Nippon Express Co., Japan’s largest international freight forwarder, said that its U.S. subsidiary has formed a capital alliance with Colombia’s Map Cargo S.A.S.
Nippon Express U.S.A., Inc., specifically acquired a 49% stake in the Bogota-based air and ocean freight forwarder, its long-time agent in Colombia, to bolster its logistics operations in the steadily growing South American market, Nippon Express said.
“The second most populous South American country after Brazil, Colombia has been garnering attention as one of the emerging economies following close on the heels of the BRIC (Brazil, Russia, India and China) countries,” Nippon Express said in a statement.
“Public safety has been substantially improved in recent years and political and economic stability secured, sparking anticipation of economic growth underpinned by sound fiscal and monetary policies as well as investments in resource development,” the company said.
Nippon Express said that Nippon Express U.S.A. invested in Map Cargo to “enhance its ability to handle logistics to and from Colombia and further improve its services.”
Last October, U.S. President Barack Obama signed legislation approving free trade agreements with Colombia, Panama and South Korea.
Nippon Express boasts the world’s largest global logistics network. The latest capital tie-up between Nippon Express U.S.A. and Map Cargo has boosted Nippon Express’ overseas network to 398 business locations in 217 cities in 38 countries, the firm said.
“Nippon Express is determined to continue expanding its overseas network to meet the increasingly diverse and sophisticated logistics needs of its customers,” the firm said.
The Tokyo-based company expects its group revenue to total $21.32 billion in the current fiscal year ending on March 31, up 0.2 percent from the previous fiscal year.
Contact Hisane Masaki at firstname.lastname@example.org.