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Mexican Trucks in the US Are a Bad Idea
The United States promised in the 1994 North American Free Trade Agreement to allow trucks from Mexico to carry goods directly to any destination in the country. But opposition from labor and environmental groups kept the program on hold until just recently when the first Mexican truck crossed the border bound for North Carolina.
Both the House and Senate have passed by overwhelming margins legislation that would kill a Transportation Department trial granting access to up to 100 Mexican trucking companies. Canadian trucks have enjoyed this freedom since 1982.
"We don't have equivalent standards and most especially enforcement of these standards. … To allow long-haul Mexican trucks under these circumstances would cause safety questions on American roads," Sen. Byron Dorgan said in an interview.
Program supporters say safety is a smoke screen for protectionism. In 2006, 23.3% of American trucks flunked U.S. roadside inspections vs. 21.2% of Mexican trucks. "This reeks of protectionism," says economist Barbara Kotschwar of the Peterson Institute for International Economics. But, then there was just a large explosion between two trucks in Mexico that happened recently. It is hard to imagine a Mexican truck driver trying to navigate the many freeways in Los Angeles amongst major traffic and not being able to speak very good English. So, will companies have to have receiving personnel who can speak both English and Spanish so they can communicate with the Mexican drivers?
Mexican trucks now enter the USA and transfer their cargo to a second truck, which operates only in the border area. The load then moves to an American vehicle that carries it to its final destination. If the program proceeds, one Mexican truck could do the work that now requires three vehicles. This in turn should mean it would cost companies less in transportation costs and pass these savings onto consumers, which is the only benefit here. But, with this there are thousands of American trucking jobs that would be lost at this expense.
John Hill, head of the Federal Motor Carrier Safety Administration, says his agency will inspect every Mexican truck to verify that it meets U.S. safety standards. Dorgan, who calls NAFTA "a colossal failure," isn't convinced. He cites a report by the department's inspector general, which said Hill's agency "had not developed sufficient plans for checking every demonstration project truck." Can we really trust the government to do anything well; just look at the DMV and Post Office. Mexican trucks in the United States are a bad idea.
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