NAFTA Trade

When the U.S., Canada and Mexico implemented the North American Free Trade Agreement in 1994, it opened the door for open trade by ending tariffs on various goods and services and creating an even playing field for the three markets. Today, agricultural goods such as eggs, corn and meats; manufactured products such as auto parts; and raw materials such as steel and lumber flow freely across the borders, primarily by truck and rail.

The U.S. exported more than $280 billion in goods to Canada in 2011, making its northern neighbor the largest source for outgoing products.  U.S. imports, at more than $315 billion, make Canada the second-largest source of inbound goods after China.

Exports to and imports from Mexico set record highs in 2011, with exports reaching $198.4 billion and imports hitting $262.9 billion.

The combined $1.1 trillion in combined trade among the three partners make NAFTA the second-largest trade bloc in the world, second only to the 27-member European Union.

Special Coverage

The North American Free Trade Agreement’s cross-border freight growth of 3.2 percent in 2015 — representing 14.7 million truck and rail containers crossing both borders — exceeds the global ocean container trade’s weak gain of 1.3 percent in the same period.

News & Analysis

08 Mar 2017
Shippers on both sides of the US border struggle to identify and control fuel costs as Mexico pursues price reform.
13 Feb 2016
South Carolina-based Southeastern Freight Lines is revamping its business in Canada, replacing an interline partnership with a direct cross-border offering that gives the company more control over door-to-door service.
10 Feb 2016
A new retail services division and steady automotive demand helped push Pilot Freight revenue higher last year despite falling fuel surcharges and a sluggish economy.
15 Jan 2016
Thanks partly to its acquisition of non-asset truckload specialist Coyote Logistics, UPS is opening new routes into shippers' cross-border supply chains.
09 Jan 2016
Starting Monday, truckers will face fines if they fail to send electronic shipment manifests to Canadian authorities before arriving at the border. Shipments could be delayed.
02 Dec 2015
The value of goods shipped between Mexico and the U.S. continues to climb, while the goods value in U.S.-Canada trade is dropping. Lower fuel prices and the strong U.S. dollar are partly to blame, as well as the surge in Mexican manufacturing aimed at the U.S.

Commentary

controversial program Mexico installed on Jan. 1 that raises fuel prices by up to 20 percent soon will trickle down to trucking operators and ultimately to the automotive, white goods, and other manufacturers and suppliers surging into Mexico.