SAN ANTONIO — Delays at the U.S.-Mexico border could impact trade with our neighbors to the south, potentially affecting millions of Americans, San Antonio leaders worry.
In a letter co-signed by the San Antonio and San Antonio Hispanic Chambers of Commerce, wait times at the border are a primary concern. The letter was addressed to senators John Cornyn and Ted Cruz.
The letter states that consumers are bearing the costs of delays at the border when truck drivers must wait up to 10 hours to cross the border. The chambers of commerce cite one estimate that exporters are losing $800 million a day in truck delay costs.
You can read the full text of the letter below:
Dear Senator Cornyn,
On behalf of the more than 117,000 businesses that we advocate for in San Antonio, and our more than 2,200 San Antonio Hispanic and San Antonio Chamber of Commerce members, many who do business between the United States and Mexico, we are deeply troubled by the continued delay in the movement of goods on our southern United States and Mexico border that is seriously impacting trade.
The economic impact generated by the supply chains via both countries should not be underestimated. During the first quarter of 2019, Mexico has assumed the position as the United States biggest trading partner. $1.7 billion in goods and services cross the U.S.-Mexico border per day on average. In 2018, U.S. goods and services trade with Mexico totaled $671 billion. 40 percent of fruits of vegetables in the United States’ are imported from Mexico.
Delays at our southern ports of entries have a large ripple effect throughout our economy. Estimated truck delays are costing exporters $800 million a day but the number would be much higher if warehouse operations, drivers, and other factors are considered as well. Delays of seven to ten hours are forcing companies to require two drivers per truck due to employment requirements of mandatory break times.
Increased cost of shipping goods due to delays are passed onto the consumer and impact delivery schedules disrupting supply chains. Many shippers are rescheduling deliveries and delaying or postponing production due to the uncertainty at the border with shipments. Some are even shifting to more costly measures from trucks to airfreight. This delay in transporting goods costs money at all aspects of the supply chain.
One of the main causes for the delays in the reduction in number of CBP personnel handling freight processing operations. Shifting available personnel from one area to another worsen the delay. Adequate staffing which has yet to be addressed is mandatory to relieve the delays at the border. Reduced number of available personnel means reduced number of available lanes increasing the time needed to pass through the checkpoints.
Mexico is our largest trading partner. Any delay should not be tolerated. Ports of entry between the United States and Mexico should be fully staffed. The continued delays should not be felt on the backs of the international trade community and passed down to the consumer. Full cooperation is needed to avoid this issue becoming an international crisis impacting our economy.
Sincerely,
Diane S. Sanchez, President & CEO, San Antonio Hispanic Chamber of Commerce and Richard Perez, President & CEO, San Antonio Chamber of Commerce