One of the top five global 3PLs, Nippon Express, and its wholly owned subsidiary Associated Global Systems (AGS), a leading provider of transportation and logistics services to Fortune 500 companies, have announced plans to expand their U.S. facilities. The AGS/Nippon Express USA (NEU) joint program is designed to support both companies’ growth strategies.
Founded in 1958, AGS was acquired in 2012 by NEU, the U.S. subsidiary of Japan’s Nippon Express Co. The AGS geographic network and service offerings cover every U.S. zip code, and the company provides full logistics services; expedited international and domestic services, brokerage, part stock inventory and same day delivery, as well as domestic niche services like white glove, room of choice and threshold to both commercial and residential customers.
“The co-location of NEU and AGS facilities has proven overwhelmingly positive results,” said Fred Ruffolo, Vice President of IT and Facilities for AGS. “We have seen many synergies taking place by working together. The ability to collaborate on sales, technology, logistics, warehousing, and operations has given everyone more knowledge and expertise to help move us to the next level in the industry.”
After NEU purchased AGS in 2012, two companies’ U.S. facilities began merging in 2017. Between 2017 and 2019, 10 facilities relocated throughout the U.S. In January of 2020, two more large moves were completed in Los Angeles and New York. The remaining moves for 2020 will be in Washington D.C., Indianapolis, San Francisco, Atlanta, and Philadelphia.
“By combining our most valuable assets (people) under one roof, we are able to collaborate on joint services more efficiently for the benefit of our clients,” states Fred Ruffolo.
AGS is a leading provider of transportation services, logistics services, technology, and supply chain management solutions with locations throughout the U.S. and around the world. Nippon Express Co. has also been expanding its base of operations throughout Southeast Asia, Europe, and Central America, mostly through acquisitions of smaller logistics firms.