By Ahsan Ali
The biggest bosses of the trucking business in Mexico, the United States and Canada recently had a big meeting. They were eager to challenge the big issues that were creating havoc for trucks transporting goods across North America.
Leaders from all three countries said they need to be a team. They are concerned about pending changes to a major trade deal, new confusing taxes on goods and companies that cheat the system. They called for enforcing the rules more forcefully, investing in better technology and developing a fair system to protect cross-border trade.
‘We Have to Work Together,’ Leaders Say
Manuel Sotelo, a vice president with Mexico’s trucking association CANACAR, was concise. Trucks are so essential to trade, he said, that the three nations must pull together. “Initiatives… shouldn’t be limiting the flow of cargo or disrupting the critical services upon which importers and exporters rely,” Sotelo said.
He cited “nearshoring” — companies shifting factories nearer to the United States — as a bright growth spot. But he cautioned new regulations are driving up costs for Mexican trucking companies. These rules involve, among other things, being forced to purchase new trucks and offer English-language training for drivers.
Trade Deal “Rules of the Road” Eroding
The old trade deal used to be a source of stability, said Greg Arndt, a leader from the Canadian Trucking Alliance. Now, surprise tariffs are wreaking havoc. He’s looking for the updated agreement to revert to serving as clear “rules of the road” for everyone.
Arndt is calling for a tech overhaul. He wants a single digital system for all the paperwork that is needed at the border. This would reduce administrative headaches, and it would mean companies wouldn’t be fined for minor mistakes. He also sounded the alarm about “nuclear verdicts” at U.S. courts, where companies are hit with massive liabilities from lawsuits.
“Businesses are using words like ‘untenable,’ ‘wrecking’ and ‘nightmare for planning’ to describe the situation that’s been created,” said Ed Gilroy of the American Trucking Associations. Carriers are under pressure to hurry up with shipments before tariff deadlines expire, and then those deadlines keep getting postponed. We have operational uncertainty and you can’t plan,” Gilroy said.
A crackdown on cheaters and driver abuse
One major point of anger was the illegal reliance on foreign drivers. The companies are putting these drivers to work on local jobs for which they’re not licensed, a process known as illegal cabotage. This takes business from local trucking companies.
Sotelo cautioned this is because drivers aren’t operating under Mexican carriers.This creates a heavy cost for companies, who must then pour more money into finding and training new drivers.
Arndt called for stiffer penalties on “bad carriers” who exploit immigrant drivers with low pay and poor working conditions. “This is not only unfair competition, but it means the roads are much more unsafe for everyone,” he said.
“I have told the prime minister and our government has been very, very clear — we are working with American agencies on beefing up their enforcement so they shut down these illegal operations,” Gilroy said his group is dealing with U.S. government agencies to aggressively enforce and stop them.
Remaining a path forward on which CANACAR, CTA and ATA express unanimity. They say the future of North American trucking depends on tougher enforcement, updated regulations and safeguarding the trade deal that binds their countries.
As Manuel Sotelo put it, we must put an end to the exploitation of drivers. “Fixing this situation is a win, win, win,” he said, “for carriers, for drivers and for the integrity of North American trade.
Author Profile
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Ahsan Ali is a technology and business journalist who covers the latest developments in autonomous vehicles and innovative startups.
With a sharp eye for industry trends, he breaks down complex tech stories into clear, engaging insights for general readers.
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