Borderlands Mexico is a weekly digest of developments in the world of United States-Mexico cross-border trucking and commerce. This week: Cross-border growth collides with rising security risks; Mexico sets new quarterly foreign direct investment record with nearly $41 billion in Q4; and La Bonanza Avocados break ground on its logistics center in Pharr.
NEW ORLEANS — Cross-border freight volumes between the United States and Mexico continue to rise, but infrastructure gaps, increased cargo theft and tightening compliance requirements are creating a more complex operating environment for shippers, according to industry experts. 2025 Trimble Insight Technology Conference.
Monday’s panel discussion titled “Cross-Border Evolution: Technology, Infrastructure and the Future of U.S.-Mexico Transportation” featured Mark Vickers, EVP and president of international logistics insurance. Trust Partnersand Ricardo Malacara, Overhaul’s sales manager. The session was moderated by FreightWaves cross-border correspondent Noi Mahoney.
The Trimble Insight Technology Conference, held Sunday through Tuesday, attracted 1,260 attendees and featured more than 200 information sessions and product demonstrations.
The current boom in U.S.-Mexico trade is a years-long development that has been accelerated by global shocks, Vickers and Malacara said.
“There were so many things happening at the same time that it ended up being a perfect storm,” Vickers said, citing the USMCA, COVID-era congestion at the Port of Los Angeles and the U.S.-China trade war. He added that with Asian imports bolstered from the West Coast, many shippers are rerouting their cargo through Manzanillo, then Guadalajara and then Laredo to reach U.S. markets.
Malacara said the tariff environment continues to push production southward.
“Countries with very high tariffs may find it cheaper to build a factory in Mexico and start shipping from Mexico,” he said. Laredo alone could see 6% to 7% more traffic this year, he added.
One of the main themes was the liability gap and lack of regulatory parity between the United States and Mexico; Vickers was a trap that most first-time cross-border operators overlooked.
“The law in Mexico is the wild South, where there are almost no laws,” he said. Under current UMA-based formulas, Mexican carriers are only responsible for about $2,000 for a typical 40,000-pound load. “If you’re growing your footprint in Mexico and you don’t know it, you shouldn’t be in Mexico.”
Vickers said brokers should be prepared to offer cargo insurance, document denials and proactively inform shippers of coverage risks.
Vickers also noted that carrier review is no longer optional. Unlike the U.S., “Mexico has no FMCSA,” he said, and brokers who unknowingly tender cargo to cartel-connected carriers could face legal sanctions.
Malacara said Overhaul sees two types of customers: “those who have been robbed and those who will be robbed.” He described a dramatic increase in criminal tactics.
“Criminal organizations are prepared. They are professionals. They even get inside information,” he said. “We have seen fake military checkpoints and they will check your cargo and see what you need to do to find out what cargo you are going to receive.”
About 80% to 85% of thefts on revision roads in Mexico involve violence, Malacara said.
While more smuggling is still happening in Mexico, Malacara warned that U.S.-style fraud (double brokerage, TMS hacks, stolen DOT IDs) is quickly spreading south.
“These bad guys are learning from the bad guys in the U.S. … you’re going to start seeing these dual brokerage scenarios and cyber-enabled theft targeting cross-border networks,” Vickers said.
Malacara said the biggest mistake among new market entrants is not planning routes and ignoring real-time risk signals.
“They’re standing where they shouldn’t be… next thing you know, the cargo is gone,” he said. Overhaul uses AI-driven risk scoring, driver compliance checks and coordination with Mexican federal authorities to divert shipments away from active hotspots.
“We know where the areas with low cell phone coverage are. We meet with the federal government every Friday to tell them where the hot spots are,” he said.
Looking ahead, both experts said freight flows will continue to grow faster than the infrastructure that supports them.
“Cross-border operations will continue to grow. Cargo theft will also continue to grow,” Malacara said. “Problems do not end”
With the renegotiation of the USMCA, the United States has “tightened the screws on origin compliance,” making certification more critical than ever, Vickers said.
Despite the increased risks, Vickers said the trade relationship remains resilient: “I would do anything in Mexico right now.”
Mexico closed the fourth quarter with a historic increase in foreign direct investment (FDI), attracting nearly $41 billion in new capital; This is the highest quarterly foreign direct investment total in the country’s history. Mexico Business News.
This figure represents a 15% increase over 2024, driven largely by a jump in new investments; This increase rose from $2 billion to $6.5 billion as companies accelerated nearshore and industrial expansion.
Mexican Economy Minister Marcelo Ebrard said the investments reflect stronger-than-expected investor confidence despite global economic pressures and new tariff regimes.
Mexico also reported continued export growth during the quarter, underscoring the country’s growing role in North American manufacturing and supply chains. Ebrard added that cumulative foreign direct investment increased by almost 70 percent between 2018 and 2025, strengthening Mexico’s long-term momentum as a top global investment destination.
La Bonanza Avocados has begun construction on a new 110,000-square-foot refrigeration distribution center in Pharr, Texas. Texas Border Trade.
Local leaders say the project will strengthen agricultural trade between the Mexican state of Michoacan and the United States
The facility will feature more than 30 loading docks and expanded office space and will serve as a key nexus for Mexican avocado producers entering the U.S. market.
La Bonanza President Gabriel Villaseñor emphasized the company’s commitment to sustainable growth and cross-border collaboration, calling the project “a strategic point to connect our fields to new markets.”
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