- The Value of Our Border Crossing (Part III) -
By Kenn Morris


In previous editions of Otay Action, some of the initial findings of our BorderValues study of crossborder shoppers (sponsored by the South County EDC) were presented. Today's article will touch on a slightly different issue related to our border crossings: the value of trucked commerce here in Otay Mesa and along the US-Mexico border.

In addition to the significant regional economic benefits gained from crossborder shoppers and commuters,
commercial trucking across the Otay Mesa border crossing plays a key role locally and across the United States. The products trucked across Otay Mesa's border were valued at more than $20 billion in 2002 -- nearly a 30% increase in five years, and despite the recent declines in the maquiladora industry and the slowed U.S. economy.

The economic value of this trucked
trade isn't felt only in San Diego.
As seen in the map at right, those
$20 billion in raw materials, components, and final products flow throughout the United States - creating jobs across the country, and on both sides of the border.
The trucking industry, in particular, has gained much from our border crossings, and from NAFTA. Since the trade agreement's passage in 1994, the average amount of goods trucked across our southern border
has increased from $6.3 billion/month to over $13.5 billion of products each month. Yet even with such incredible gains, there is still much opposition to NAFTA's trucking provisions - as evidenced by the 9th U.S. Circuit Court of Appeals' decision in January to uphold a lawsuit brought by labor groups, environmental organizations, and our own California Attorney General.

Two key reasons that U.S. opponents to the NAFTA trucking provision cite:

• Environment: According to the documents submitted by the California Attorney General's office, "…the higher emissions of Mexico-domiciled motor carriers will substantially increase air pollution in California and pose increased risks…of lung disease, heart attacks, and cancer" (are you scared yet?). Although the data to support this somewhat hysterical statement isn't provided, it should be considered that Mexican-domiciled trucks visit nearly all of San Diego County, and no epidemic of the sort described by the Attorney General seems to be present.

• Safety: This argument also falls flat. The facts show that there are more fatal accidents along the U.S.-Mexico border caused by Canadian truck drivers than by Mexican truck drivers. Also, according to Federal accident statistics, there is a much higher risk of a truck driver from Arizona, Texas, or Oregon to be involved in a fatal accident in California than a driver from Mexico. Despite this higher risk, though, few would likely propose closing our State borders to Texan or Canadian trucks.

Given the data, it's hard to quantify the value of the lost
opportunities we experience here in Otay Mesa, and
throughout the San Diego-Tijuana community, as we
allow some policymakers to ignore the economic and
social benefits that our border can provide - if leveraged
correctly, and provided the proper funding resources.
Rather than raise barriers, policymakers for our border
should raise the competitive abilities of our industries,
and of NAFTA's regional ability to retain our economic
competitiveness.

Kenn Morris is the Director of Crossborder Business
Associates, a San Diego-based consulting firm that
specializes in US-Mexico market research, strategic
consulting, advocacy and policy analysis. He can be
reached at
cba@crossborderbusiness.com