Inbound Logistics | September 2024

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For the first half of 2024, the Census Bureau reported a record-breaking $415.4 billion in goods flowing between the United States and Mexico, but many American companies still allow transportation challenges to stop them from crossing over. Cross-Border Logistics for Mexico Is Complex—We Can Make It Simple R eports from multi-nationals like Amazon, Walmart, and Volkswagen suggest a different reality though—nearshoring in Mexico is

more doable and desirable than ever. Freight security, customs compliance, and trailer capacity represent some of the major roadblocks cited in the U.S. Department of Transportation’s Framework for Improving Cross- Border Mobility and Trade. All of these challenges can be navigated easily with the right freight transportation provider. Freight Visibility and Security Door-to-door visibility of shipments in Mexico is crucial. A quality carrier should be able to provide shippers with the status of their shipment throughout the transportation process, including notifications about tracking, delays, and delivery estimates, apart from time when freight is under the control of governmental authorities. For high-value shipments, it is also possible to attach tracking to the freight independent from the tractor or the trailer in order to maintain tracking of the cargo even if it becomes separated from the truck. One of the most important steps in maintaining the security of freight is ensuring that the hauling carrier is CTPAT-certified. CTPAT certification is a strong hedge against supply chain risk in Mexico because it means drivers and service providers have been trained to identify security risks, follow best practices for security, and create action plans for addressing potential threats.

Securing Capacity Securing reliable capacity within Mexico is a common concern of American shippers. One way that Landstar addresses this concern is to utilize one of our many independent agents who are cross-border experts. These agents have the knowledge, connections, and experience to arrange dependable capacity on both sides of the border. Another option for Landstar customers is to utilize Mexico-based Landstar Metro. Landstar Metro provides intra- Mexico logistics services that include sourcing capacity for truckload, less-than- truckload, and expedited shipments. This creates a closed loop where freight transportation is managed by one entity that operates according to CTPAT standards. Customs & Regulations Compliance Controlling the many links of the cross-border supply chain requires a sophisticated coordination of resources

and communication. Landstar’s in-house customs brokerage can manage the documentation preparation, so shipments are cleared without unnecessary delay when the freight arrives at the border. In the dynamic border environment, connections, reputation, and experience provide invaluable advantages in overcoming daily complexities and challenges that arise. This is true with regards to paperwork and legal requirements as well as with the actual work of getting freight moved. Landstar’s three decades of experience as a key participant within the U.S./Mexico cross-border supply chain led to a model in which the experience of Landstar’s independent agents, paired with a suite of cross-border services such as in-house customs brokerage, and leading safety and security standards have streamlined the process of moving cross-border freight. Learn more about how Landstar’s agent model breaks boundaries and crosses borders at www.Landstar.com.

Landstar stands for safe, secure, and reliable transportation services delivered by a network of independent freight agents, leased owner-operators, and other third-party capacity providers. We empower these entrepreneurs to offer customized shipping solutions. www.Landstar.com

22 Inbound Logistics • September 2024

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