American Trucking and Opening the Mexican Border - Sep 17,2009

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U.S. Ban on Mexican Trucking Is Reconsidered

WASHINGTON — The Obama administration offered a proposal on Thursday to allow long-haul Mexican trucks to move cargo in the United States.

The proposal, which the Mexican government greeted as a positive step, was the latest sign of a new willingness by the Obama administration to support free-trade measures backed by Republicans and by businesses despite objections from labor unions and other liberal constituencies.

The United States has effectively barred Mexican trucks from operating on American roads since March 2009. Mexico said the ban violated the North American Free Trade Agreement, which took effect in 1994, and retaliated by imposing $2.4 billion in punitive tariffs on a wide range of American agricultural and other products imported to Mexico.

On Thursday, the United States transportation secretary, Ray LaHood, offered a “concept document” that could help resolve the dispute.

Under the plan, Mexican long-haul trucking operators could seek permits to operate in the United States so long as they agree to safety, insurance and other monitoring requirements. The proposal would not cover the movement of hazardous materials.

The U.S. Chamber of Commerce applauded the proposal, the latest indication of a thawing in the frosty relationship between the administration and the giant business lobby, which spent tens of millions of dollars to defeat Democrats in November.

“It’s past time that we kept our word and complied with the promise we made to allow carefully inspected trucks to move across the border,” Thomas J. Donohue, the president of the chamber, said in a statement. “We will closely study the U.S. proposal and hope we can help implement a modern cross-border transportation system that provides certainty for trucking companies and shippers throughout North America.”

Mexican officials responded positively but cautiously to Mr. LaHood’s proposal, saying they would offer a fuller response on Monday. If a final agreement is reached — a process that could be months away — the tariffs would probably be lifted in a matter of weeks, officials said.

“Mexico will carefully and constructively evaluate the U.S. proposal to solve the longstanding trucking dispute,” the Mexican ambassador to Washington, Arturo Sarukhán, wrote in a Twitter post.

However, the proposal by the Transportation Department was denounced by the Teamsters union, which represents long-haul truckers and fears that expanded Mexican trucking within the United States will threaten jobs.

“I am deeply disappointed by this proposal,” the union’s president, James P. Hoffa, said in a statement. “Why would the D.O.T. propose to threaten U.S. truck drivers’ and warehouse workers’ jobs when unemployment is so high? And why would we do it when drug cartel violence along the border is just getting worse?” Mr. Hoffa also raised safety concerns.

Democratic lawmakers reacted cautiously to the proposal.

Senator Patty Murray of Washington, who is active on agricultural issues, said in a statement: “I am glad that the administration is moving forward with a plan to finally end the devastating Mexican tariffs on Washington State agricultural products.” But she did not explicitly address the trucking dispute or the objections by unions.

The trucking ban took effect after Mr. Obama signed legislation containing a provision that ended a pilot program, begun in September 2007, to allow Mexican trucks north of the border. For months, the administration had said it was working to resolve the dispute, but offered little sign of progress.

Transportation Department officials emphasized that the proposal was only a “starting point for negotiations” and that it would solicit public comment on the final rules.

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Cabotage Laws Allow Mexican Trucks Full U.S. Travel

Cross Border Trucking

Many in the trucking industry continue to state that according to the cabotage laws, that trucks from Mexico will only be able to deliver their freight from Mexico to the assigned U.S. destination and can only pick up another load from that destination or close by, and must head back straight to Mexico.

We have been stating that this is incorrect and that Mexican trucks will be able to move freely through-out the United States, even when deadheading to pick up another shipment.

We have confirmed this through correspondence with an official at the U. S. Department of Transportation.

We posed this question through the Trucking Solutions Group:

“If a Mexico based truck delivers a load to Idaho, can the driver legally drive from Idaho to Missouri to pick up a load going back to Mexico?   It is 1,617 miles from Boise, Idaho to St. Louis, Missouri,  so can this driver travel any number of miles in the United States  once he or she  is empty, to pick up a load going back to Mexico?  Is this correct?”

Answer:

“Yes, you are correct.  The distance isn’t the answer but rather defining and understanding the movement.” (Dolores Macias, U.S. DOT)

Therefore, we now know with certainty, that due to the way the cabotage laws are written, Mexican trucks and their drivers will have full access to U. S. travel.  Here is the big problem that will most likely be coming . . .

Although the driver can deadhead for the load heading straight back to Mexico, because of the way the cabotage laws are written, it will offer opportunity for U. S. interstate freight to be moved by Mexican nationals for American companies,  (whether they be domiciled in Mexico or the U. S.) at cheaper wages;  even though the law states they may not pick up and deliver within the United States.

Keep in mind that American companies can hire Mexican nationals as long as they are moving freight to and from Mexico.  However, if these drivers can travel through-out the U. S. to pick up another shipment  in order to return to Mexico, the temptation to pick up and deliver another load “along the way” is great.  From what we understand, there have been Canadian drivers who are already doing this and have been for many years.  It only takes a few “changes” on the shipping papers to make it happen.

Because the cross border opening just happens to fall right in line with the enactment of the CSA and the renewal of NAFTA, it is all about moving the freight at the exploitation of the Mexican drivers at a lower wage.  Furthermore, American drivers will continue to remain at their stagnate pay scale due to the influx of a low-pay group of drivers . . . the main objective of the cross border action.   Both Mexican and American truck drivers will be the pawns used in the cross border trucking exploitation.

Even if the Mexican drivers and the U. S. trucking companies adhere to the cabotage laws and do not allow the transporting of goods within the United States before returning to Mexico, I contend that eventually, the companies and trucking organizations will call for this ban to be lifted, citing the excuse of a truck driver shortage.

© 2011, AskTheTrucker. All rights reserved.

: cabotage laws, cross border, CSA, mexico, NAFTA, trucking

Tagged with: cabotage laws • cross border • CSA • mexico • NAFTA • trucking

Filed under: DOT • Politics • Safety • otr trucking • trucking • trucking companies • trucking life

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American Trucking and Opening the Mexican Border - Sep 17,2009

Sorry, I could not read the content fromt this page.Sorry, I could not read the content fromt this page.

View the original article here