Canadian Tire is acquiring a 25% stake in Ashcroft Terminal, the largest inland port in British Columbia, in a deal that will allow the Canadian retailer to move containers more efficiently from the Port of Vancouver and improve access to CN and Canadian Pacific rail capacity.
Ashcroft Terminal announced the CA$40 million ($32 million) deal on Thursday. Operator PSA International will retain a 60% stake in the transloading and intermodal facility.
Canadian Tire (TSX:CTC), Canada’s largest container importer, said the deal will allow the company to improve supply chain performance and reduce carbon emissions as it moves cargo via the rails instead of by truck from the port.
“Having strategic access to high-demand capacity will enable greater control over our end-to-end supply chain, which has become increasingly critical in a time where global supply chains have been completely disrupted and new resiliency is required,” Paul Draffin, Canadian TIre’s chief supply officer, said in a statement.
Ashcroft Terminal is about 185 miles east of Vancouver, intersecting with CP (NYSE:CP) and CN (NYSE:CNI) rail lines. It handles about 7,000 railcars and 6,000 trucks each year.
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F3: Future of Freight Festival
NOVEMBER 7-9, 2023 • CHATTANOOGA, TN • IN-PERSON EVENT
The second annual F3: Future of Freight Festival will be held in Chattanooga, “The Scenic City,” this November. F3 combines innovation and entertainment — featuring live demos, industry experts discussing freight market trends for 2024, afternoon networking events, and Grammy Award-winning musicians performing in the evenings amidst the cool Appalachian fall weather.
