Cross-border freight flows have been increasing for years but interest around shipping from Mexico and Canada into and out of the United States has amplified since the pandemic. Many companies are rethinking their supply chains given issues sourcing product abroad, with some looking to bring manufacturing closer to end markets in North America. As this occurs, supply chain managers will continue to search for ways to effectively ship goods into the country, including less-than-truckload delivery.
Mexico’s Maquiladora structure allows foreign companies the ability to import goods and materials into Mexico for assembly or manufacturing while avoiding duties and valued-added taxes.
“As U.S. and Canadian companies turn more Mexican facilities online due to an abundance of cheaper labor, there will be much more cross-directional traffic moving across both the north and south U.S. borders,” Curtis Garrett, senior vice president at FreightPlus and founder and chief creative at Understand LTL, told FreightWaves.
FreightWaves: What does the LTL cross-border shipping process look like? What are some of the differences?
Garrett: Shipment pricing particulars like class, base rates, discounts and minimums follow normal U.S. guidelines and pricing, which are much different that domestic shipments in Canada and Mexico.
To continue reading this article...
Already have an account? Sign In
Create a Free Account
No payment required
