Cross-border trade in North America can be complicated because governments are exerting all efforts to negotiate the best deals for their countries. On the part of shippers, the threat of rising tariffs and complex paperwork are the challenges they have to face. However, all these issues can be alleviated by educating themselves with cross-border shipping and working with a reputable 3PL.
The United States is the central hub of cross-border shipping because of its location. Many shipments pass through the US everyday with some heading north to Canada or south to Mexico. Most of the shipments are facilitated in the US.
The US and Canada has a long history of trade and economic relationship. Trade between the countries involves billions of dollars’ worth of merchandise every year. It involves a lot of money but there are also many opportunities for errors, delays and health concerns. Besides that, that there are lots of regulations when moving products from one country to another.
It is common for a business in the US to have a branch in Mexico or Canada but moving products to those countries across the border is still considered as international trade. Multiple layers of paperwork, customs declaration forms and other documents have to be prepared properly and correctly to avoid unnecessary delay at the border.
Tariff is one of the biggest challenges to shippers because it is often used to gain the best deal for consumers and businesses alike. However, the USMCA came into effect and eliminated or reduced tariffs to lower the costs of production and the costs of retail goods. The agreement also included restructured protections and incentives to make production in North America more profitable.
In order to avoid issues, many smart shippers have opted to use the services of 3rd party logistics companies to manage cross-border shipping and compliance with each country’s regulations.
An example of a 3PL provider is Titan Transline that has years of experience in cross-border trucking. Their extensive network ensures that all shipments will arrive on time throughout all of North America. A dedicated team is always available to handle every shipment with personalized care and service.