Trump Threatens to Shut Down Border
U.S.A. and Mexico Border May See Delays
President Trump has threatened to close the border between the United States and Mexico, which would significantly impact international trade between the two countries. If this does happen, as an alternative to trucking across the border, shippers will turn to air cargo options. That will then lead to an increase in air freight rates and will most likely also reflect in an increase in consumer pricing or damage to some companies’ bottom lines.
Moreover, importers on both sides of the border could expect delays caused by congestion and high demand for alternative shipping options.
According to The Washington Post, “First, you’d see prices rise incredibly fast. Then . . . we would see layoffs within a day or two,” said Lance Jungmeyer, president of the Fresh Produce Association of the Americas in Nogales, Ariz. “This is not going to help border security.”
The article goes on to state, “Mexican officials have tried to avoid inflaming the situation, offering no public comment since Friday, when President Andrés Manuel López Obrador said: “We are going to help, to collaborate. We want to have a good relationship with the government of the United States. We are not going to argue about these issues.”
Current Situation
As of April 1, 2019 – The current border situation in Laredo, where Scarbrough has offices on both sides of the border, is operating as normal. The four bridges, including both commercial bridges at the Port of Laredo, are all operating with regular delay time as usual. In a phone call with Laredo Customs and Border Protection, Scarbrough learned that Laredo is less likely to be affected like the other border ports could be, because local U.S. Customs and and Mexico Customs in Laredo are working closely together to keep commercial operations moving. Laredo ports move an average of 8,000 northbound shipments into the U.S.A. and 8,000 southbound shipments into Mexico.
Laredo Bridges Include:
World Trade Bridge – Commercial Only
Colombia-Solidaridad Bridge – Commercial and Non-Commercial
Juarez-Lincoln Bridge – Non Commercial Only
Bridge of the Americas – Non Commercial Only
Other border ports nearby include McAllen-Reynosa Ports (several bridges in the area), Brownville-Matamoros, Eagle pass-Piedras Negras and Del Rio-Acuña, which all still have normal commercial operations. However, some delays on non-commercial border crossing do exist at these ports, especially on Eagle Pass and Del Rio ports.
On the West Coast, delays are occurring on non-commercial crossings. For example, it is taking four to five hours to cross the border (more than double the normal waiting times). These delays are occurring at El Paso, Texas border and some borders near California (San Diego-Tijuana, Calexico-Mexicali, etc.).
Scarbrough will notify clients that are affected immediately.
What caused the threat?
President Trump writes in a tweet that his motivation for closing the border is backed by the amount of illegal immigrants crossing through Mexico in order to enter the United States.
Mexico must use its very strong immigration laws to stop the many thousands of people trying to get into the USA. Our detention areas are maxed out & we will take no more illegals. Next step is to close the Border! This will also help us with stopping the Drug flow from Mexico!
— Donald J. Trump (@realDonaldTrump) March 30, 2019
What can you do to stop this?
This is your time to become involved. Send in your comments on how this would negatively impact your business. If you’re unsure how to voice your opinion, you can contact NASCO, the North American Strategy for Competitiveness, an organization that promotes and improves North American trade.
Contact NASCO
Contact Scarbrough
If you have questions or concerns about your freight moving with Scarbrough, please contact your direct customer service rep or email our Southern Border Operations Manager, Samuel Camarillo at scamarillo@scarbrough-intl.com.
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