Download slides
U.S. visa pause for truck drivers creates market uncertainty
Recent developments regarding U.S. visas for truck drivers have introduced uncertainty for cross-border freight operations, particularly in Southern California.
The U.S. Foreign Office announced in August a pause on issuing work visas for commercial drivers. While headlines have generated concern, the impact on the broader U.S. trucking market is expected to be limited. Because drivers currently operating under these visas are not directly affected, just new applicants, this represents a small fraction of total capacity. The pause also doesn’t affect the B1 visas that Mexico drivers use for direct delivery of cross-border freight.
But the measure follows heightened scrutiny of cross-border operations and cabotage regulations. Cabotage rules prohibit foreign-based carriers from transporting freight solely between two points within the United States. Though the cabotage rules are not generally meant to apply to cross-border freight, a Mexico carrier picking up a return load in the United States must return to the carrier’s home country. This has led to caution among drivers who frequently cross the border under temporary visa programmes.
Because the rules of cabotage could be interpreted differently, particularly for loads that cross the border late in the day and can’t be delivered same day, some carriers may now shift to a strict interpretation to ensure that they are not in violation. Isolated disruptions may occur on specific lanes, particularly in parts of Southern California where cross-border freight is concentrated.
The significance of these effects depends largely on the duration of the pause, which remains unclear. The ongoing co-ordination among U.S. Customs, Immigration and Customs Enforcement and the FMCSA will influence both enforcement and interpretation, making short-term operational adjustments likely.
Proactive communication among shippers, carriers and industry representatives will be critical for identifying and mitigating lane-specific issues. Companies are encouraged to track operational changes in real time and adjust planning conservatively to maintain service while navigating these regulatory nuances.