Cross-border trucking makes the cut in proposed DOT budget

By Jeff Berman, Group News Editor
February 18, 2011 - LM Editorial

With a high level of acrimony surrounding the U.S.-Mexico cross-border trucking program in recent years, there are some recent signs that the effort may be regaining its footing.

The most recent example of this a $50.4 million request included in the Department of Transportation’s proposed fiscal year 2012 budget “to support cross-border inspections and the Mexican long-haul program.”

While the details of how the funding would be allocated were short on specifics, it did note that $5 million of the existing funds are dedicated to initiate a multi-year strategy for improving facilities along the U.S.-Mexico border.

In 2009, the pilot program for cross-border trucking was eliminated as part of the White House’s $410 billion Omnibus Appropriations Act, H.R. 4105. Even through this program-killing measure was approved, that Obama administration said it would work to create a new cross-border, long distance trucking program between the U.S. and Mexico. Soon after the program was eliminated, the Mexican government said it would place tariffs on roughly 90 American agricultural and manufactured exports as payback for the U.S. decision to shutter the program.

These tariffs amount to $2.4 billion of American goods, ranging from fruit juices to pet food to deodorant, among others, ranging from 10 percent to 45 percent, with affected products coming from 40 states

In January, LaHood shared “an initial concept document” with members of Congress for a long-haul cross-border Mexican trucking program. This document prioritizes safety while satisfying the United States’ international obligations.

“This [program] is the law, and it is part of NAFTA,” said LaHood at an industry conference earlier this year. “We have to do it, and when it was suspended by Congress, I met with more than 30 members of Congress to tell them we need to get this going again. Every member talked about safety, as did trucking groups and unions. Our proposal addresses a lot of the safety issues, and now a team of DOT safety officials are meeting with Mexican officials to flesh out a final proposal, because we have to under NAFTA.”

LaHood said it is likely there will be a final agreement by mid-year for the cross-border trucking program, adding that there is pent-up demand from both Mexico and the U.S. to get a final plan in place. He added that this new plan was done without input from the Mexican government and was based largely on feedback from Congress and industry stakeholders.

For more articles on U.S.-Mexico cross-border trucking, please click here.



About the Author

Jeff Berman headshot
Jeff Berman
Group News Editor

Jeff Berman is Group News Editor for Logistics Management, Modern Materials Handling, and Supply Chain Management Review. Jeff works and lives in Cape Elizabeth, Maine, where he covers all aspects of the supply chain, logistics, freight transportation, and materials handling sectors on a daily basis. .(JavaScript must be enabled to view this email address).


Subscribe to Logistics Management magazine

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your
entire logistics operation.
Start your FREE subscription today!

Recent Entries

Owners of corporate fleets and fuel buyers face two dilemmas: a limited supply of cost-effective, low greenhouse-gas fuels, and little information on fuel sustainability impacts across the full production and use value chain.

U.S. Carloads were up 5 percent annually at 294,738, and intermodal at 253,317 containers and trailers was up 3 percent.

When it comes to Congress actually getting its act together on a new long-term federal transportation bill, things remain as status quo as it gets, with the big takeaway being nothing really ever gets done, when it comes to passing a badly overdue and needed bill, rather than these band-aid extensions Congress keeps signing off on.

Truckload and intermodal pricing was up on an annual basis, according to the December edition of the Truckload and Intermodal Cost Indexes from Cass Information Systems and Avondale Partners.

While the official numbers won’t be issued until early February in its quarterly Market Trends & Statistics report, preliminary data for the fourth quarter and full-year 2014 intermodal output from the Intermodal Association of North America (IANA) indicates that annual growth was intact.

About the Author

Jeff Berman, News Editor
Jeff Berman is Group News Editor for Logistics Management, Modern Materials Handling, and Supply Chain Management Review. Jeff works and lives in Cape Elizabeth, Maine, where he covers all aspects of the supply chain, logistics, freight transportation, and materials handling sectors on a daily basis. Contact Jeff Berman.

Comments

Post a comment
Commenting is not available in this channel entry.


© Copyright 2013 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA