How China skirts tariffs into the US

In Maersk’s press release last week about a new warehousing facility in Tijuana, Mexico, one line stood out. It was sandwiched between a list of value-added services offered and a paragraph about the facility’s sustainable energy practices and certifications.

“Alternatively, it could operate [fulfillment or e-fulfillment] operations into the United States, leveraging the Section 321 Shipment Type** for e-commerce shipments.”

Under U.S. Customs and Border Protection rules, a Section 321 shipment...

https://www.freightwaves.com/news/how-china-skirts-tariffs-into-the-us

Goodyear Tire plant ordered to pay $4M in back pay to Mexican workers

More than 1,300 workers and former employees at a Goodyear Tire & Rubber factory in Mexico will receive $4.2 million in back pay as part of a labor rights mediation plan, U.S. authorities said.

The mediation announced by the Department of Labor on Monday was the result of an investigation under the U.S.-Mexico-Canada-Agreement’s (USMCA) rapid response labor mechanism of the Goodyear Tire facility in the central Mexican city of San Luis Potosi. The USMCA is a trade pact signed by the three...

https://www.freightwaves.com/news/goodyear-tire-plant-ordered-to-pay-4m-in-back-pay-to-mexican-workers

Mexican cargo airline accused of labor violations under USMCA

A U.S. panel tasked with enforcing labor provisions of the United States-Mexico-Canada free trade agreement has asked the government of Mexico to investigate whether cargo airline Mas has denied the right of pilots to organize for bargaining purposes.

The Department of Labor said Wednesday an interagency committee received a complaint last month from Mexico’s Associated Union of Aviation Pilots (ASPA) that Mas, which rebranded last year from MasAir, engaged in intimidation, interference and...

https://www.freightwaves.com/news/mexican-cargo-airline-accused-of-labor-violations-under-usmca

Mexico breaks record for cargo vehicle production, exports

Exports of heavy-duty cargo trucks to the U.S. helped propel truck makers in Mexico to their best year ever, as production increased 20.6% year over year (y/y), according to Miguel Elizalde, president of Mexico’s National Association of Bus, Truck and Tractor Producers (Anpact).

During 2022, the 16 truck makers that are members of Anpact manufactured 195,789 heavy vehicles, beating the previous record of 195,499 vehicles manufactured in 2019.

Exports of trucks in 2022 totaled 166,878 units, an...

https://www.freightwaves.com/news/mexico-breaks-record-for-cargo-vehicle-production-exports

Borderlands: Xometry CEO predicts expanded manufacturing in US 

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Borderlands is a weekly rundown of developments in the world of U.S.-Mexico cross-border trucking...

CP CEO: KCS merger opens up Lazaro port as Pacific alternative

NEW YORK — With the merger of Canadian Pacific and Kansas City Southern awaiting final U.S. government approval in 2023, the CEOs of both companies presented their case about the benefits of the deal Tuesday to an audience of rail executives. 

The presentations at Progressive Railroading’s RailTrends conference by Keith Creel, CEO of Canadian Pacific (NYSE: CP), and Patrick Ottensmeyer, CEO of KCS, both highlighted on a screen the map that drove the $31 billion merger that was completed about a...

https://www.freightwaves.com/news/cp-ceo-kcs-merger-opens-up-lazaro-port-as-pacific-alternative

Nowports aims to be supply chain ally for Latam trade

Nowports aims to be supply chain ally for Latam trade 

When Alfonso De los Ríos co-founded digital freight forwarder Nowports, the goal was to impact Latin America’s trade industry using cutting-edge technology.

De los Ríos, 23, said he had become interested in how trade affected the development and economies of countries in the region.

“When we decided to start Nowports, it wasn’t too much about logistics or trade, it was more about the impact that trade had in Latin America,” De los Ríos, also...

https://www.freightwaves.com/news/nowports-aims-to-be-supply-chain-ally-for-latam-trade

How US trade policy is making the baby formula shortage worse

Partially empty shelves of infant formula with a sign alerting consumers.

Policy analysts say a series of U.S. trade restrictions, including ones engineered under the Trump administration, and lean manufacturing practices help explain why stores can’t easily replenish stocks of baby formula. The taxes and extra regulatory hoops make it expensive and difficult to import the specialized baby food.

The U.S. produces 98% of the infant formula it consumes, but that self-sufficiency is being tested by limited availability of ingredients because of supply chain disruptions,...

https://www.freightwaves.com/news/protectionism-red-tape-hinder-baby-formula-resupply-analysts-say

Mexico increasingly attractive for US shippers, manufacturers

Economic growth in Mexico has caught the attention of many U.S. manufacturers and shippers looking to nearshore or take advantage of Mexico’s improving transportation networks and young, educated workforce. It seems that Mexico and the U.S. share more than just a border.

“A lot of companies that went to China, Thailand or Vietnam are considering bringing their investments back to North America,” said Kenneth Smith Ramos, a partner at Agon, a full-service antitrust and regulatory advisory firm in...

https://www.freightwaves.com/news/mexico-increasingly-attractive-for-us-shippers-manufacturers

Borderlands: Mexican fishing vessels will be barred from US Gulf ports

Borderlands is a weekly rundown of developments in the world of United States-Mexico cross-border trucking and trade. This week: Mexican fishing vessels will be barred from US Gulf ports; Mexico drops to third place among U.S. trade partners; Canada joins Mexico in a USMCA automotive dispute; and FedEx will open a distribution center in central Texas. 

US to close Gulf of Mexico ports to Mexican fishing vessels

Mexican fishing vessels will not be able to enter U.S. ports in the Gulf of Mexico...

https://www.freightwaves.com/news/mexican-fishing-vessels-will-be-barred-from-us-gulf-ports

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