Cargo Theft Surges, New Border Projects: The Week in Logistics

This week, reports indicate that cargo theft increased in Mexico in October, prompting urgent calls for enhanced security measures. Meanwhile, the Senate’s approval of a new cruise passenger tax has sparked concerns about its impact on tourism. 

A contentious debate also surrounds a proposed cargo ban at the Bridge of the Americas (BOTA) in El Paso, Texas, which could cause economic and trade disruptions. Meanwhile, Pacific International Lines (PIL) is strengthening its foothold in Mexico with new offices in Mexico City, focusing on sustainability and growth. 

Ready for more? Here is your Week in Logistics!

October Sees Surge in Cargo Theft, Highlighting Security Gaps

In October 2024, cargo theft in Mexico rose by 6.25% year-over-year, with the State of Mexico, Puebla, and Oaxaca being the most affected states. Stolen items included containers, groceries, and electronics, with incidents peaking in the early mornings. High-risk routes like Mexico-Saltillo and Queretaro-Zacatecas saw frequent thefts. 

Senate Approves Cruise Passenger Tax Despite Industry Concerns

The Senate approved a US$42 tax on foreign cruise passengers, aligning fees with air travelers as part of broader fiscal reforms. Revenue will support SEDENA projects and the Federal Treasury. While the measure aims to increase revenue, stakeholders warn that it could reduce cruise arrivals, cause economic losses, and eliminate jobs in tourism-dependent communities. Critics call for government dialogue to minimize harm to the cruise sector and maintain regional competitiveness.

Mexico Calls for Reconsideration of Cargo Ban at BOTA

The proposed ban on commercial trucks at the BOTA has sparked debate between Mexico and the United States. Supporters argue rerouting to other ports like Tornillo will improve air quality, while critics warn of economic harm. Mexico opposes the plan, citing potential disruptions to cross-border trade. A final decision is due in January 2025.

PIL Expands Presence in Mexico with New Offices in Mexico City

Pacific International Lines (PIL) inaugurated its Mexico City office, reinforcing its commitment to Latin America and the growing Mexican market. With most of PIL’s Mexican clients headquartered in Mexico City, the new office provides a direct connection to key customers, allowing the company to offer tailored solutions

New Arizona Land Port to Boost Trade, Jobs, Sustainability

The US General Services Administration (GSA) and the government of Douglas, Arizona, have launched a project to build a new 32.37ha commercial Land Port of Entry. Funded by the Bipartisan Infrastructure Law and Inflation Reduction Act, the port will enhance trade, security, and economic growth, featuring advanced inspection facilities and renewable energy systems. The project, set for completion in 2028, aims to modernize border infrastructure, attract investment, and strengthen Mexico-US ties.

California Announces New Otay Mesa East Port to Boost Trade

California Governor Gavin Newsom has announced the construction of the Otay Mesa East Port of Entry, supported by US$620 million in state and federal funding. The project aims to reduce border congestion, streamline trade with Mexico, and cut pollution from vehicle idling. It also enhances border security with new CalGuard initiatives to disrupt weapons and money flow linked to cartels. 

JD Logistics to Acquire Full Stake in Kuayue-Express Group

JD Logistics is set to fully acquire Kuayue-Express Group for up to US$892 million, solidifying its presence in China’s express delivery market. Known for small freight transportation, Kuayue-Express will bolster JD Logistics’ services, streamline operations, and enhance competitiveness. This move aligns with JD Logistics’ strategy to expand its express delivery capabilities and optimize efficiency.