Borderlands recap transportation and commerce news between the US and Mexico weekly. Forza Steel is building a facility in the Port of Brownsville. Port Laredo remains the country’s main international commerce gateway. Rail freight robberies in Mexico rose by 29% in Q1. The Port of Laredo will handle $299.4 billion in international commerce in 2022. It will be the third busiest port in the United States.
Laredo’s Growing Importance as a Global Trade Hub
Among the United States’ 450 foreign commercial gateways, Laredo, Texas remained on top in March, with overall commerce increasing by 12% yearly to $28.6 billion. John F. Kennedy International Airport in New York came in at number three, followed by Chicago’s O’Hare International Airport. In March, the Los Angeles port took in just $22.1 billion in cargo logistics, dropping it to fourth place. Total commerce between the two countries rose 4.5% year-over-year to $72 billion in March, maintaining Mexico’s position as the United States’ top trading partner for the fourth consecutive month. Second place went to Canada, whose trade with the United States fell 5% year-over-year to $69 billion.
China ranks third due to a drop in trade of 26% year-over-year to $45 billion. March had a 5.5% y/y rise to 262,109 commercial truck crossings in Laredo, while April saw a 3.5% y/y increase to 230,534 tractor-trailers. Compared to the previous week, the Reefer Outbound Tender Volume Index (ROTVI.LRD) in Laredo increased by nearly 2%.
Factors Contributing to Laredo’s Success as a Trade Hub
- Cargo thefts via rail increased by 29% in Mexico during q1.
- Taiwan auto parts suppliers are expanding in Mexico with a $1 billion investment.
- Forza Steel will build a plant at Port of Brownsville.