The announcement accompanies CFI’s 35th anniversary of intra-Mexico and cross-border truckload freight services. The allowable exception is travel related to cross-border supply chain and logistics moves, which, of course, were deemed an economic necessity. All Rights Reserved. Eric Meyer, executive vice president of operations for Landstar, the nation’s 4th-largest collection of truckload carriers, supervised the opening of a facility in Laredo in 2017. “Industry would love to see the U.S. agree to reciprocal tariffs with its trading partners. Deliver to your global online retailÂ customers reliably and affordably with e-commerceÂ technology, transportation solutions and trade management services from FedEx Cross Border. Plus, they wanted to do it without building or leasing a distribution center in Mexico. Potentially that’s less freight for us moving forward. Your shipment departs from the U.S. Shipments travel via linehaul, closely managed by FedEx Cross Border. This means small parcel shippers will be able to clear more “low dollar” shipments faster—and small businesses will get a break. “In the U.S., we can track a shipment of widgets anywhere in the country, and we can do the same thing in Mexico.”. “We expect that will become much more common,” he adds. In fact, after March 20, he says that meant an immediate 15% reduction in traffic at the Laredo, Texas, crossing where most of the U.S./Mexico trade transport takes place. Navigate the complexities of international trade more easily and affordably with WorldTariff. The property will also provide 140 parking spaces, 199 trailer … CFI’s Orr says shippers can forget about those old stereotypes of Mexican trucks just being old hand-me-downs from defunct U.S. carriers. Landstar’s presence as a provider of Mexican cross-border services goes back to 1999. For example, the agreement states electronic document submissions will be treated equally with paper documents. Let’s look at the latest trends in cross-border logistics, enlarge some of the fine print of the new USMCA trade agreement that replaced the 26-year-old NAFTA Agreement, and examine how COVID-19 may be altering cross-border freight movements for the rest of 2020. As cross-border traffic returns to more normal flows, the biggest issue for shippers will be the removal of barriers to the flow of product. 2045 W Grand Ave, Ste B #38559 Chicago, Illinois 60612 +1 (855) 436-7243 MEX: +52 (555) 351-4915 And that’s the goal of efficient cross-border trucking—making it seamless and efficient. Express has the capability of doing QP Inbonds which does not have… from classification to clearance, one contact, one company through it all. This portfolio of solutions includes multi-country trade management services, data and tools. Which carriers, third-party logistics providers and U.S. ports reached the pinnacle of service... 31st Annual State of Logistics: Resilience put to the test. At press time, the U.S., Canadian and Mexican borders were still closed (as of March 23) to non-essential travel such as tourism and recreation in an effort to contain the spread of COVID-19. Located in the funky and fun town of Ogdensburg, NY, NAC Logistics is the perfect place to use as shipping address when you need your stuff up in Canada but can't get it shipped there from the original seller. So, cross-border shipping rates are plummeting as carriers have excess capacity. “Our partner carriers in Mexico have as much technological capacity as we do—sometimes more,” says Orr. To read more about our cross border services, visit our Cross Border services page. “And with that looming threat, retaliatory tariffs could come in to play,” Pride says. The USMCA also requests that the parties streamline its single window system by adding functionality to facilitate trade, improve transparency, and reduce release times and costs. For Canada, the de minimis levels increased from $15 (CAD) to $40 (CAD), no duty or taxes payable, up to $150 (CAD). That amounts to $3.8 billion daily or about 4% of the GDP of the United States. FEDEX CROSS BORDER LOGISTICS, INC. DELAWARE CORPORATION: WRITE REVIEW: Address: Corporation Trust Center 1209 Orange St Wilmington, DE 19801: Registered Agent: The Corporation Trust Company: Filing Date: April 16, 2018: File Number: 6846422: Contact Us About The Company Profile For Fedex Cross Border Logistics, Inc. But clearly, the landscape is changing. Wanting to offset capacity shortages, rising freight rates and other roadblocks, more companies are... Intermodal Roundtable: Switching to Pre-Pandemic Track. The service integrates billing, including customs, and tracking. Laredo Mayor Pete Saenz called Charger Logistics’ new facility a “North American Free Trade Agreement (NAFTA) success” and a “United … We have updated our list of supported web browsers. However, with the shutdown, Chhugani says that Mexican carriers with extra capacity are lowering prices to get their trucks moving—just as their U.S. counterparts are doing. TQL boasts of providing competitive pricing, continuous communication and “a commitment to do it right every time.” 120,000: Canada and Mexico are the top two export destinations for U.S. small and medium-sized enterprises—and more than 120,000 of these companies sell their goods and services to our North American neighbors. The new USMCA almost eliminates the need for any hardcopy documentation to be presented for customs clearance. All shipments to or from the border will cross at one of XPO Logistics' 13 border crossing locations. The facility will also offer Landstar BCOs and capacity providers a spacious lounge and media center. There were years when discussions about cross-border trade issues were rather static and staid. CFI, for example, has established about 80 “core carriers” in Mexico with longstanding relationships that it relies on to deliver more than 100 full truckloads a day inside that country. That leaves companies to evaluate how the rules of origin, as currently written, impact their operations and also leaves them wondering if they’ll need to reevaluate them every time there’s an update to the proposed regulations. Deepak Chhugani, founder and CEO of Nuvocargo, a digital freight forwarder and customs broker for U.S./Mexico trade, says that, due to the pandemic, transportation companies have yet to see any big changes at the border. Once across the border, we have both the assets and personnel in place to deliver it safely and securely. Three leading intermodal analysts take a deep dive into how the sector has turned the corner, as... 37th Annual Quest for Quality Awards: Pristine service prevails in challenging times. Key drivers of this growing trend are an expansion of manufacturing sector and a growth of domestic consumption in Vietnam, which will generate positive impacts of Thai cross-border logistics business. Greg Orr, president of CFI, a major north-south truckload carrier that has more than 25 years of experience transporting loads into Mexico, says that this stew of tiny details is by far the biggest thing any new cross-border shipper needs to grasp. The new agreement addresses many existing cross-border issues and red tape, including what USMCA introduces as the concept of a single window system—as the original NAFTA didn’t address any systematic requirements among the parties. The Landstar U.S.-Mexico Logistics Service Center is a highly secured, CTPAT certified site, featuring a 30-bay cross-dock, and transload facility with a custom 120-ton, stand-alone bridge crane dedicated to platform and heavy/specialized freight. Global-e eliminates all complexities involved in cross-border selling including fraud, currency fluctuation, distance selling regulation, country restrictions and import processing, to ensure a seamless risk-free merchant experience. “There is more paperwork than you expect, and Mexico is quickly catching up to Canada’s cross-border Customs efficiencies. $1.4 trillion: That’s the amount of trade that flowed across the borders of the U.S., Canada and Mexico in 2018, the last full year figures are available. While USMCA not only requires each party to have a single window system, it also requires that any person using the system must be able to view the status of the release of their goods and which government agency is holding up their freight. There were also minor increases to the de minimis amount exemption from customs duties and expedited release of these shipments based on minimum documentation or a single submission of information. Sign up today to receive our FREE, weekly email newsletter! NAFTA’s future may be in doubt, but US-Mexico trade keeps growing. And according to the United Nations’ International Trade Center, after China, Mexico and Canada are the two largest trading partners for U.S. manufacturers and shippers. Well, there are ever-shifting Customs compliance issues, multiple rules for setting up efficient distribution networks to reduce idle times, and a slew of other matters regarding proper procedures for quickly clearing the border efficiently. Here’s the simple fact: No one makes shipping easier or more … FedEx Cross Border: e-commerce solutions for transportation & technology. "As our cross-border operations have expanded, Landstar has outgrown its current facility in Laredo, Texas," said Landstar Transportation Logistics Executive Vice President of Operations Eric Meyer. We have extensive experience in air, sea and land cargo transit, as well as the management of logistics and customs procedures. Single point of contact through our centralized processing center in Buffalo, NY; Access to a network support team of highly skilled and seasoned compliance professionals; Import & export logistics … What is panpay and what kinds of currencies does panpay support? We offer a comprehensive range of warehousing services targeted at meeting the needs of the cross-border market, including: Skip to content. DHL subsidiary will launch a new algorithm to optimize logistics delivery routes, saving cost by nearly 20%; How to operate Amazon FBA logistics to avoid rejection? However, she says that there’s a real concern that COVID-19 will affect when these regulations will be published. Currently, there’s an existing published USMCA rules of origin, but there’s no assurance that the rules won’t change. For Mexico, there is no change in the original amount of $50 (USD), no duty or taxes payable, but they added a level up to $117 (USD). “And truck drivers tell us that there are no new procedures that they’re being asked to follow at crossings.”. US carrier makes the final delivery. worry-free mexico cross-border logistics The Power Of One! According to Meyer, electronic filing has helped—and he expects that to continue. Innovative Storage and Distribution Our head office facility in Milton, Ontario is a combination cross-dock, warehouse and distribution center just minutes from Toronto’s international airport. But now there’s the issue of a new master trade agreement—USMCA—that governs all freight movement among the three nations. Get exclusive benefits when you open a FedEx account. Cross-Border Logistics & Liquid Transloading Cru Trading Co is the first of a group of privately-owned companies created to serve several markets in the oil industry throughout Mexico and the United States. Through-Trailer: The process of moving a shipment through border crossings in its original trailer. Border drayage carrier takes the trailer across the border to a transload facility. Backed by more than 4,500 trucks, 100+ facilities, including secure border facilities in Laredo , El Paso and Harlingen , Averitt offers seamless supply chain solutions and transportation services — no matter which side of the border your freight is on . “Shipping to Mexico is facil,” according to Ocala, Florida-based R+L Global Logistics. USMCA incorporates new, updated sections on topics such as intellectual property rights, enforcement, digital trade and labor rights based on the original NAFTA. Explore international shipping services and technology that helps you maximize consumer choice, improve the shopping experience and help grow your business. Utilize our simple, secure e-commerce technologyâCheckout by FedEx, Direct Export, and Merchant Controlâto create a more localized online experience for your international customers. We would suggest that all shippers really needed were reliable U.S.-based trucking or rail partners with good networks and Customs knowledge on all sides of the border in order to safely transport goods into the three North American nations. It also encourages the parties to use World Customs Organization standards and develop systems that are like the other party’s system. “The big things we could see out of this are higher labor costs, lower margins and increased cost to consumers. “That comes down to ensuring that accurate classification, valuation and country of origin data is clearly communicated in advance of any shipment,” says BPE’s Pride. Experts say that there are subtle, but significant differences than the measures There are plenty of new bureaucratic hurdles to climb for shippers affected by the new version of the North American Free Trade Agreement (NAFTA). This way, countries would agree to a set rate of duty among countries—providing manufacturers with fixed costs versus variable costs that change without any notice.”. October 14, 2020 by Inside Logistics Online Staff Pitney Bowes and eShipper have partnered to create a Cross Border Service called PBX. $39 billion: U.S. agricultural exports to Canada and Mexico quadrupled from $8.9 billion in 1993 to $39 billion in 2017. Learn to implement digital manufacturing into your supply chain, the benefits of digital manufacturing, and how to minimize the impact of economic and political changes. Beth Pride, president of BPE Global, a market analyst with more than 25 years of experience in global trade and international logistics, says that the biggest issue in USMCA is what’s called “Section” tariffs. Although Canada and Mexico are not currently subject to the Section 232 tariffs on aluminum and steel imports, Pride says there’s an overarching threat from the Trump administration that the U.S. could impose them at any time—a move that would amount to significantly increasing the cost to manufacture and move those items (see sidebar). For the United States, there was no change to the current $800 (USD) level that was put in place in 2016. The idea behind the new USMCA is to improve supply chain efficiencies by embracing a more modern, systematic approach and use of information technology that wasn’t present in the old NAFTA. “As we’ve seen with prior initiatives by this administration, companies may not have enough time to review the regulations and ensure compliance with any changes,” she says. According to the U.S. Chamber of Commerce, at least $1.7 billion worth of goods and services flows between the U.S and Mexico borders every day. Deliver Direct To Your Global Customers Merchants no longer have to ship items to a FedEx Cross Border facility first. Trade with Canada and Mexico supports 12 million American jobs, while 49 U.S. states count Mexico or Canada as one of their top three merchandise export markets, according to the U.S. Chamber of Commerce. The United States-Mexico-Canada Agreement (USMCA) was ratified as of March 13—barely a week before their borders closed to non-essential travel. 2021 Trade Update: Uncertain global scenarios bear watching, e-Invoicing: Key Benefits for U.S. Companies, CSX announces plans to acquire Pan Am Railways’ New England operations, Manufacturing growth remains intact in November, reports ISM, National diesel average sees a 4-cent gain, for the week of November 30, NS executive highlights the need for freight rails to take a more customer-focused service approach, J.B. 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It is designed to help Canadian users to minimize delays, undeliverable shipments, and shipping costs for all of their shipping to the U.S., and lift restrictions on shipping FDA registered products across the border. Get more information by going to fedex.com/us/securityupgrade/. Deliver to your global online retail customers reliably and affordably with e-commerce technology, transportation solutions and trade management services from FedEx Cross Border. According to Orr, his organization can call on an additional group of 50 carriers for occasional deliveries south of the border. Language barriers, currency barriers, border barriers…all kinds of barriers we had to sort out in a hurry.” Cross-border trade between Thailand and Vietnam tends to grow by approximately 30%CAGR over the next 3 years. We have over 20 years of experience in Terminal Development, Rail Transportation, Product Logistics and Residual Commercialization. And in a concession to organized labor, the agreement stipulates at least 40% of workers in the North American auto supply chain must be paid at least $16 an hour. The move comes as SEKO’s revenues are set to … “There was an even bigger reduction in traffic at the Tijuana crossing, which typically had a larger proportion of consumer travel,” says Chhugani. That’s because U.S.-based carriers can’t carry loads into Mexico beyond a 12-mile to 16-mile “free trade zone” at the border. Laredo’s World Trade and Colombia Solidarity bridges carry around 12,000 trucks across the border every day. E-Commerce Enablement Services: Email email@example.com, Merchant Support:Â Email firstname.lastname@example.orgÂ or call 1.877.3622, E-Commerce Transportation Solutions: For more information,Â Â complete this form, WorldTariff Customer Service: EmailÂ email@example.com or call 1.866.268.7602. our boutique entry service are supported by our logistics and compliance staff, as well as five licensed us customhouse brokers on staff. At the FedEx Cross Border processing center, we sort and prepare parcels to leave the U.S. SEKO Logistics has completed its largest-ever acquisition with the purchase of New York-based freight forwarder and cross-border ecommerce experts, Air-City, Inc. If done correctly, cross-border traffic can be as simple as moving freight across town. As we roll through 2020, logistics managers are fending off COVID-19 worries and adapting to the new... © Copyright 2020 Peerless Media LLC. “Paperwork can cause the most disruptions and delays,” he says. And, according to experts who have given the agreement a closer look, it’s complicated. In this session, Convoy CEO, Dan Lewis will discuss some of the challenges their customers faced and how they worked together to solve them in innovative ways - from intelligent drop & hook programs to dynamically priced, guaranteed backup capacity to insights that improve facility efficiency. On top of the pandemic, another major challenge is a layer of fine print found in the new United States-Mexico-Canada Agreement (USMCA) that will directly affect North American auto manufacturers and their shippers—and perhaps other industries as well. According to Pride, it’s going to be hard for shippers and manufacturers to prepare for these changes due to the fact that the U.S. must implement uniform regulations. e-commerce solutions. There are more layers as this unfolds…it’s like an onion.”. contained in NAFTA. 3 reviews of NAC Logistics "Superb service, easy-to-use, and just a great example of great cross-border business. Averitt opened its service center in Laredo in 1999 to primarily handle the flow of less-than-truckload and full load freight across the border. So what can Mexican manufacturers and their U.S. customers expect in cross-border trends and new efficiencies post-USMCA? He says it can transload about 250 shipments a day to provide end-to-end solutions for transporting freight across the U.S.-Mexico border. The package operations center will also support UPS’s Trade Direct Cross Border service, which bypasses distribution centers for direct delivery of shipments to stores or consumers in the US, Canada and Mexico. One industry directly affected by USMCA is the auto sector. We recommend using one of the following browsers for an optimal website experience. What are the most important challenges facing carriers in cross-border freight? “Creating and building those south-of-the-border relationships is beyond important,” he says. Then there’s the standard cross-border hang-ups regarding microscopic details of Customs paperwork—now done through e-mail, texts and other electronic forms—as well as standard language and cultural issues that must be respected if American manufacturers are to make inroads for sourcing, manufacturing and new potential markets. However, it’s safe to say that these ongoing headaches are worth it in order to take advantage of what the U.S. Chamber of Commerce believes is burgeoning trade among the three North American entities. The recipient address is printed on the label in the destination country or territory's language (s). Logistics in the News Explore international shipping services and technology that helps you maximize consumer choice, improve the shopping experience and help grow your business. It’s scheduled to become effective July 1 barring delays due to COVID-19. Despite these uncertain times, there are North American cross-border traders that continue to thrive. That’s because buried in the fine print is a provision that by 2023 at least 75% of parts in an automobile must be North American, up from 62% required under NAFTA. The staggering numbers speak for themselves. Since then, the needs of cross-border shippers have evolved with the advent of e-commerce and the nearshoring of manufacturing back to North America in recent years. Today’s Mexican fleets are outfitted with the latest telematics, communications and safety gear as the most modern U.S.-based fleets. cross border us import solutions for all your ecommerce needs. Staff & Operations. “We already did cross-border business with this retailer in Canada,” notes Paterson. All door-to-door LTL shipments cross at Laredo, TX. The allowable exception is travel related to cross-border supply chain and logistics moves, which, of course, were deemed an economic necessity. Read Comarch’s latest white paper and learn about software that streamlines the AP/AR process and makes exchanging invoices…, From the November 2020 Logistics Management Magazine Issue, 2020 Cross-border Update: Even more confusion ahead. “In Mexico, that’s still an issue,” says CFI’s Orr. The exact location will be dependent on the destination/origin city in Mexico, the broker selected to cross the freight, and/or the carrier selected to transport the freight in Mexico. CFI, a truckload unit of Montreal-based TFI International, is expanding its capabilities and resources supporting shipments between the United States and Mexico into a single entity called CFI Mexico. Mexico has made huge strides over the years to automate the process,” he added. What services does goopay have? “The hope is that the new rules of origin are simpler, and that the standard for qualifying for an origin is easier so companies could stand to see more items qualify for USMCA than they did under NAFTA,” Pride adds. With Merchant Control, FedEx Cross Border prepares the necessary international documentation and provides it to the merchant so they can ship directly to their international customer from their own distribution centers. According to Meyer, first-time Mexico shippers should make plans to fill out all paperwork—which is done mostly electronically now—as precisely as possible. It is strategically located near all major highways with ready access to the various border crossings at Buffalo, Fort Erie, Sarnia and Detroit. The Tailwind II Logistics Center will feature a cross-dock industrial facility with 5,775 square feet of ground floor office space, 112 dock-high doors and two ramped doors for trucks. Jacksonvillle, Fla-based Landstar System, a global, asset-light transportation services provider, recently announced it has opened up its new Landstar U.S./Mexico Logistics Service Center in Laredo, Texas. Transload facility transfers the product to a US carrier. Our decades of cross-border freight experience means your cargo moves without question or delay. At press time, the U.S., Canadian and Mexican borders were still closed (as of March 23) to non-essential travel such as tourism and recreation in an effort to contain the spread of COVID-19. “So, pre-file as much Customs paperwork as possible, and this shouldn’t be costly or time consuming.”. For over six decades, MOL Logistics USA has provided the safest, most efficient and reliable logistic services in the industry. Cross Border Logistics CrossBorder Logistics Services (CLS) is a young dynamic freight delivery company based in Dar es Salaam, backed by professionals having over 20 years of experience in the freight and logistics industry with key focus on Fish, Meat, Fruit and Vegetable Supplies from Tanzania. SEKO Logistics is demonstrating its confidence in the continued cross-border growth potential of British brands globally by investing in a new flagship airfreight and omni-parcel services facility close to London Heathrow. Express Cross Border Logistics can prepare and transmit electronic Inbonds for IT, T&E’S and IE for Ocean and Rail AMS shipments. The new USMCA is scheduled to take effect July 1, barring delays due to COVID-19. Reach consumers across the globe with cost-effective, reliable cross border transportation and international shipping solutions ideal for lightweight, low-value shipments. Ryder System opened a new logistics facility in Laredo, TX, to support cross-border shipments between the U.S. and Mexico.The new facility adds to Ryder’s growing network of cross-border operations. “But Mexico was a bit of an unknown for our folks. Pride’s biggest concern will be changes to rules of origin. straight answers for a complex industry.