FedEx Freight is beginning construction on a new $20-million freight hub in North Surrey that will handle shipments throughout western Canada.
The company cited confidence in B.C.'s growth outlook and the region's strategic position to its business for the decision to locate the 46,000-square-foot complex in Surrey.
"It's a very significant investment for us," said Grant Crawford, FedEx Freight's vice-president for international operations.
The new building – with 70 cargo doors – will be open by the end of the year on a 16-acre parcel of land on Grace Road, near 104 Avenue and Scott Road.
Until now, FedEx Freight was outsourcing its B.C. operations through a Burnaby-based partner but has opted to now run its own hub here.
"B.C. continues to be a dynamic area for growth, not only for our supply chain but for the world," he said.
Crawford said the port infrastructure in Metro Vancouver gives the new hub ocean access to its global network as well as the ability to ship south to the U.S. and Mexico and east across Canada.
"At the end of the day Surrey from a logistical standpoint made a lot of sense," he said.
"Instead of being closer to one axis or entry point than the two others it really put us in a sweet spot where we have access to all three elements of our business."
It will be the 13th such hub in Canada and the largest yet, joining existing freight hubs in Calgary and Edmonton.
There will be about 50 employees based at the new site initially, but Crawford expects that number to climb.