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DB Cargo UK has agreed a seven-year contract with automotive logistics company CAT UK Services to transport finished vehicles from JLR's Halewood manufacturing plant in Liverpool to the Port of Southampton.
The deal builds on DB Cargo UK's long-standing relationship with CAT UK which goes back more than 20 years. Currently, DB Cargo UK operates three services per week between JLR's Halewood production site and the Port of Southampton moving finished vehicles.
DB Cargo UK has teams based in Cheshire, the West Midlands and Hampshire which support these services.
The signing of this long-term contract is indicative of an expected increase in transport volumes from the Halewood site in the coming years as JLR's investment in the production of next-generation electric vehicles comes to fruition.
DB Cargo UK has said the new contract highlights the importance of rail freight transport for automotive logistics, describing rail as an "efficient alternative to road transport, particularly for large volumes", with freight trains producing up to 80% fewer CO₂ emissions compared to road transport.
Roger Neary, chief commercial officer at DB Cargo UK described the company's continuing role in transporting JLR vehicles as "a real honour" in a statement on LinkedIn. "This new contract reinforces DB Cargo UK’s reputation for providing safe and reliable rail freight services which remains the most environmentally sustainable method of moving large volumes of heavy goods," he added.
Speaking at ALSC Europe, JLR's freight operations director Levent Yuksel discussed how the company is progressing in its use of multimodal transport in its network and how it has attempted to create green corridors using rail networks.
He acknowledged some of the infrastructural challenges that prevent rail from being used to its full potential and emphasised the need for cross‑industry collaboration and shared commitment to develop more rail corridors in the UK and Europe.
"The scale of transformation required cannot be delivered through the conventional relations," he said. "It is not a one-party game. We have to work as an ecosystem to lift this, otherwise it won't work."