Kansas City is in the middle of the United States. It’s called ‘fly-over’ country by some folks on the coasts, but there is a huge economic advantage to being in the middle of the country. Kansas City may be known for major corporations like Cerner, Garmin and Sprint but a large part of Kansas City’s economic engine is driven by logistics.
Both domestic and international companies look for efficient ways to distribute goods; many are landing in Kansas City to set up a distribution hub.
Per the map below (provided by Logistics Park Kansas City (logisticsparkkc.com), major cities such as Dallas, Chicago, Denver and Nashville are well within a legal one day truck transport radius. Most of the East Coast, the southern and northern states are within a legal two day truck transport radius. Major Interstate Highways intersect in Kansas City as do major railway systems such as BNSF, Kansas City Southern and Norfolk Southern.
As Americans consume goods manufactured all over the world and with the advent of online shopping, logistics – the efficient movement of products – is key to profitability and the reduction of the carbon footprint.
To add to the advantage Kansas City provides domestic manufacturers, Kansas City also provides several Foreign Trade Zones (FTZ) to import foreign products into the United States. The Greater Kansas City Foreign Trade Zones (GKCFTZ) allow products to pass through ports of entry on the East Coast, West Coast, Gulf of Mexico, Mexico and Canada and come directly to Kansas City without going through US Customs or being taxed at the port of entry. According to the GKCFTZ website, once products arrive at GKCFTZ, “they are able to be stored, processed, repackaged, transformed and handled providing value-added work before leaving GKCFTZ.”
Major GKCFTZ locations in the KC Metro include:
- Logistics Park Kansas City (LPKC) is a master-planned warehouse and distribution development, anchored by BNSF Railway’s newest intermodal facility. The LPKC Intermodal Facility has an annual unit lift capacity of more than 500,000 units. It spans 443 acres with 64,000 feet of track (eight 8,000 foot strip-tracks), five wide-span all-electric cranes and 4,300 container stacking sports. LPKC is a 1,500 acre inland port. This port is able to handle 17 million square feet of buildings, nearly three million of which will be direct rail-served.
- Northland Park, HWY 210 and Kimball, a 377 acre facility with a Norfolk Southern hub servicing major names like FedEx, Grainger and Ford Claycomo plant.
- Centerpoint, Kansas City Southern Intermodal Center on the 370 acre former Richards Gebaur Air Force Base with an additional 970 acres for multiple buildings ranging from 100,000 – 1,000,000 square feet.
Each one of these GKCFTZ in the metropolitan area are rapidly building roads, railroad spurs and large distribution / manufacturing centers to meet demand. This activity adds good paying jobs to KC residents and a solid tax base for the community.
Kansas City – Distribution Center of the World. Do you agree?
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