During the Mexican market boom, shippers had to look for rich cross-border suppliers

Businesses are more interested than ever in the future of manufacturing in Mexico. After years of climbing, Mexico will replace China as the top U.S. exporter for the first time in 2023. During the same period, the popularity of the Laredo, Texas, and Tucson, Arizona, markets has also risen sharply.

As the well-documented trend of nearshoreization continues, Mexico is expected to continue to win business and grab headlines. In fact, foreign domestic investment in Mexico has hit record highs in the past two years.

Starting out in Mexico

Lance Dirksen, Werner's Senior Vice President of Arms for Mexico, Canada and Temperature Control, believes that it will take several years for the full effect of the manufacturing investments in Mexico to be realized. This is because building a factory from scratch is necessarily a complex and time-consuming process.

Despite this, manufacturers that already have plants in Mexico have been expanding their operations at a relatively rapid pace. In some cases, this can be as simple as adding a shift to an existing operation. Dickerson has seen many of his customers take this approach.

Finding the right cross-border logistics partner for a person

As trade between the U.S. and Mexico continues to heat up, more shippers are evaluating their options for cross-border logistics partners.

While many logistics companies offer some level of cross-border service, the complexity of transporting goods between Mexico and the U.S. at a high rate of efficiency requires experienced and innovative name partners.

"Cross-border freight transportation is very complex," says Dixon." Cross-border freight is unique compared to U.S. domestic shipments, and it presents a whole new set of challenges.

These challenges can include managing paperwork, understanding applicable taxes and duties, and navigating the different laws between companies. If the logistics partner is not adept at resolving these issues, or has insufficient experience, it can lead to frustration and costly delays.

The power of cross-border brokers

In cross-border logistics, Werner has reputable expertise that enables it to make quick decisions without compromising quality. The company also uses its experience to skillfully solve customer problems, thanks in large part to the relationships it has developed with other companies in the field, including Mexican companies.

Dickerson urges shippers to seek out this level of sophistication as they continue to evaluate their cross-border options - and the ability to ramp up as volumes grow. As Mexican exports continue to climb, these relationships will prove more important than ever.

Werner is different

For more than 25 years, Werner has been engaged in the transportation of cargo between Mexico and the United States, and has grown from a one-office, three-employee dry freight transportation business to its present strength. As of March 2024, the company has four offices, 150 employees, two owned terminals and four other unloading yards between Texas and California. The company's service offerings have grown to include refrigerated, brokerage-only solutions, electric-only solutions, intermodal services and transloading.

This strong development has made Werner one of the most experienced cross-border carpet partners in the field today.

"We're no longer practicing professionals. We're experts," says Dixon." We know what we're doing.

Learn more about Werner's cross-border expertise today.

Shippers Must Find Bountiful Cross-Border Providers During Mexico's Boom" was published in FreightWaves.