Transportes Olympic receives first FMCSA permit under new cross-border trucking program

On October 14, 2011, Transportes Olympic, a Monterrey N.L.-based trucking business, became the first Mexican company to receive Federal Motor Carrier Safety Administration (FMCSA) authority to operate beyond U.S. commercial border zones under a new cross-border trucking program.  The FMCSA permit was issued following Transportes Olympic’s successful completion of the U.S. agency's pre-authorization safety audit.

The new program established between Mexico and the United States is reciprocal and mutually beneficial.  Three U.S. trucking companies -- Plastic Express (CA), A&R Transport Inc. (IL), and Stage Coach Cartage & Distribution LP (TX) -- have already been granted permits to haul international cargo in Mexican territory.

Issuance of operating authority to Transportes Olympic is a positive step taken by the United States to come into full compliance with its commitments on long haul cross-border trucking services under the North American Free Trade Agreement (NAFTA).  This latest development in the 16 year old bilateral trucking dispute follows an agreement announced last March by presidents Calderon and Obama, and as a result Mexico will suspend the remaining retaliatory tariffs on 99 U.S. products that Mexico was forced to impose after a previous trucking pilot program was defunded in 2009.

Transportes Olympic was a participant in the original program, and exhibited a strong safety record during its operation within the United States. With the new program, Mexican carriers will once again demonstrate that they can meet all U.S. regulatory requirements and operate safely.  Several U.S. government studies and an independent panel review have repeatedly documented that Mexican trucks and drivers meet or exceed the safety records of their counterparts in the United States.

Mexico and the United States enjoy a $400 billion annual trade relationship and 70 percent of this trade travels by truck. Door-to-door delivery services of international cargo represent a step toward a more modern, agile, secure and efficient border as envisioned by both countries in the 21st Century Border Declaration released during President Calderon’s State visit to the US in May of 2010.  Given that Mexico is the second largest market for U.S. exports and that the two neighboring nations together produce goods for worldwide consumption, reestablishment of cross-border long-haul trucking services is vital for North America's competitiveness and for job creation on both sides of our border.

 

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