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Jun 12, 2007

MEXICANS' TRUCKS DEBATE * Canada - Ponder impact of Mexican trucks on market

Hola: The Mexican truck plan has stalled. But observers say trucks from Tijuana will eventually roll north

Toronto,Ont,CAN -Today's Trucking -11 June 2007: -- For the last decade or so, the three-way marriage between the NAFTA nations has basically been a cozy affair involving the U.S., and us Maple Leafers, with the Mexican third wheel holding a candle in the background... Unlike Canadian carriers, when it comes to trucking, Mexican fleets have been blocked by protectionist rules that limit them to a 20-mile commercial zone just north of the U.S.-Mexico border... Under its NAFTA obligations, the Bush Administration has been trying to open the border to Mexican truckers for years -- much to the chagrin of safety groups, anti-trade associations, independent owner-ops, and small fleets... Pressed by big carriers, the American Trucking Associations (ATA) has lobbied for an open U.S.-Mexico border. These carriers would be able to quit interlining with Mexicans and take advantage of running unrestricted Mexican truckers back and forth between the two countries... Eventually, says Canadian Trucking Alliance (CTA) chief, David Bradley, the association would like to see the Mexicans give similar access to Canadian carriers -- giving Canuck fleets “fifth freedom rights”. That means Canadians could sidestep current cabotage rules by hauling an extra load from a U.S. point into Mexico, and then taking another load back across the border to a second U.S. location before picking up a backhaul for home... However, sectors with razor-thin margins like seaport drayage, as well as cross-border dry box and reefer lanes in central and eastern Canada would be vulnerable to Mexican competition. And with Canadian cabatoge enforcement as weak as it is, there isn’t much stopping cheaper Mexican truckers from making a couple extra drop-offs on the way back home... (Photo: Transportistas Wanted: Mexican drivers are already targeted by big fleets to cure driver shortage woes)

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