Cross Border Trucking

Over the past several months, the office here has been working day and night to try and understand the Cross Border Trucking Issue with Mexico. Generally the trucking industry is against the cross border plan to reopen as stated in NAFTA. While hundreds of American manufacturing companies are in full support of reopening the border to mexican trucks. So with that being said lets take a closer look at how this will affect us all.

Lets take a look at statements made by U.S.Senator Patty Murray [D-WA]. Senator Murray strongly urged Department of Transportation Secretary Ray LaHood to solve the trade dispute with Mexico when the United States and Mexico meet for an official state visit later this month. Senator Murray uses the closing of ConAgra potato processing plant in Prosser, Washington shutting down—eliminating hundreds of good paying jobs as an example. {Hold on just a minute, Hundreds of good paying jobs ?}, the actual number of jobs lost was put at 250, and as with the closing of any Conagra plants, many of those employee’s were offered jobs at other Conagra plants thru out the country.

Side note; For Conagra to close a plant or consolidate is nothing new, back in the early 80’s Conagra closed it’s plant here in Carrollton, Missouri. and moved everything to a nearby plant in Marshall,Missouri. Reason given for the closure, “Carrollton,Missouri. would not give Conagra a tax break”.

Now don’t get me wrong, I don’t want to see anyone lose their job, but if we are going to plead to the Federal Goverment lets present all the facts.

This issue has been ongoing for quite some time now. In August of 2009 In WASHINGTON – The Alliance to Keep U.S. Jobs endorsed a letter sent to President Obama by a bipartisan group of former U.S. Cabinet members and U.S. Ambassadors to Mexico that urged him to resolve the cross-border trucking dispute.

Alliance Executive Director Steve Mulder said: “Every day this issue goes unresolved, more and more good paying American jobs are put in jeopardy.”

To address Mr Mulders statement, In my opinion, it appears Mr Mulder and the ALLIANCE to keep U.S. Jobs are overlooking one U.S. industry completely, The American Trucking Industry which currently has over 9 million direct and indirect employees.

U.S. companies, farmers and workers will continue to be hit by Mexico’s $2.4 billion of retaliatory tariffs on manufactured and agriculture goods – the last thing the United States needs as our unemployment rate approaches 10%.” – Steve Mulder

Lets take a closer look at that statement, $2.4 billion in tariffs and 10% unemployment. The last time I looked the trucking industry was a $385 billion dollar a year industry in the U.S., and if you reduce the industry by the same amount of mexican trucks that will be entering the U.S., I think you will find the unemployment rate will jump to the 18% range.{this figure was based on lost shipping contracts with U.S. based carriers due to an influx of cheaper mexican carriers} And we have not even talked about the bankruptcy cases that will be filed. On a quick search of the western district in Missouri bankruptcy filings today I found over 10,000 active chapter 13 cases alone. That does not count the chapter 7 cases.

The tarriffs have imposed some hardship on compamies in the U.S. but to open our borders to allow mexican trucking carriers free rein is not the answer.

NAFTA was wrong then and is still wrong today. I urge President Obama, to not open the borders for cross border trucking.

If your still not convinced that cross border trucking is wrong for the U.S. then please show me where I’m wrong. Mexico has stated that with cross border trucking, “U.S. trucking companies will be allowed to enter into and operate in Mexico.” My reply to that is “have you ever been to Mexico ?” most highways are dangerous at best and what about the Mexican drug wars going on. Is this program worth the loss of American lives ?

I urge everyone to contact your U.S. Senator or Congressman and tell them you do not want Mexican trucks running our highways.

Thank You
Dan Little
President Owner Operators United Inc.