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Opinion: The Changing Landscape of Mexico-US Shipping

Opinion: The Changing Landscape of Mexico-US Shipping

Government Business Safety Opinion

Mike Cervin | Vice President of Sales, CFI

As negotiations continue over the future shape and structure of the North American Free Trade Agreement, one thing remains true: change is coming. Cervin News reports provide snippets of where and how this landmark agreement may change, and how those changes may impact industries, supply chains, jobs and how goods are made and consumed on both sides of the border. While it’s still too early to tell what a final agreement will look like, industry watchers expect changes to tariffs, trade policies and procedures, amended customs regulations and other changes that will impact businesses — and consumers’ wallets.

Regardless of the economic and political implications, there are key trends that importers, exporters, motor carriers and brokers should be concerned with — and actively managing — when it comes to cross-border shipping among Mexico, the United States and Canada: Trade Flows

The nature of trade flows among Mexico, the United States and Canada are a continuous challenge for shippers and their transportation partners.

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At Laredo, Texas, the busiest cross-border gateway, the vast majority of freight is coming from destinations deep inside of Mexico, and the trade breakdown is four-to-one; out of every five trailers crossing the border, four are loaded with exports from Mexico going north into the United States, with only one loaded trailer going south into Mexico.

On average, shipments transiting Laredo will have a length of haul within Mexico of somewhere between 400 to 500 miles. This reflects the […]