Overdrive Magazine | Trucking Business News & Owner Operator Info
Issue link: https://read.dmtmag.com/i/455137
Voices 6 | Overdrive | February 2015 Max Heine Many readers see negative consequences to giving Mexican carriers more freedom to operate in the U.S. ReadeRs sound off on boRdeR decision A sked to weigh in on the po- tential long-term impact of opening the Southern border to long-haul international traffic from Mexican carriers, readers are less than sunny about it. The majority of Mexican freight today is handled by tractors owned by Mexican companies, delivered to the border transfer zone and taken on U.S. carriers' trucks from there. Now that the U.S. Department of Trans- portation has decided to allow Mex- ican carriers to apply for operating authority in the United States, many owner-operators worry about what the development will mean long-term for rates and opportunities for loads with destinations or origins in border towns. "As if freight coming out of Texas wasn't cheap enough," wrote Jarrod Porter, responding to the news on Overdrive's Facebook page. Ben Britton concurred, saying that U.S. haulers might well say "bye-bye" to loads with Laredo destinations. Canadian hauler Shawn Genge wondered whether all the worry might be a little overblown. He noted that Mexico-based carriers, as do Canadian carriers hauling over the Northern border, will have to comply with U.S. trucking regs and "provide the same kind of paperwork you all have to provide on your trucks, and adhere" to all U.S. highway laws. Jeremiah Wenger agreed: "The good news is the DOT will be busy inspecting their trucks," perhaps effectively creating a higher cost of operation north of the border. The large concern over freight rates stemmed from the perception that Mexican carriers can operate at a much lower cost than their U.S. counterparts. While that's possible from the perspective of driver pay, it's not on other scores; fuel is priced similarly or higher than in the United States, and most of Mexican carriers' equipment is from the same manufac- turers used by U.S. carriers. How will opening the border to long-haul Mexican carriers' traffic most affect the U.S. trucking industry? Source: OverdriveOnline.com poll U.S. trucking will gain new opportunities in Mexico Loads to either country will be hauled mostly by Mexicans Negative impact on freight rates Increased truck accident rates in the U.S. Weaker increases in U.S. driver pay No discernible impact Other / I don't know 3% 20% 43% 17% 9% 3% 5%