January 5, 2024

How Mexico Supply Chain is Affected by U.S. Driver Shortage

Imagine a consumer trying to order a product from a business in the United States or Mexico. Instead of next-day shipping, they have to wait a week or two to get their products. This type of situation is slowly becoming a reality for companies due to driver shortage. Many businesses in the United States and Mexico have started to see their supply chains suffer.

Carter Truck

Imagine a consumer trying to order a product from a business in the United States or Mexico. Instead of next-day shipping, they have to wait a week or two to get their products. This type of situation is slowly becoming a reality for companies due to driver shortage. Many businesses in the United States and Mexico have started to see their supply chains suffer.

The US driver shortage is no secret. However, what some may not realize is the spread of the issue. Cross-border logistics has taken a hit from the driver shortage as the demand for product movement has continued to rise. Not only is the United States dealing with issues, but bordering countries like Mexico are seeing their supply chains struggle. If a US driver can't be found to move a load to the border, consequently, it delays Mexican logistics operations. It is almost impossible for an individual supply chain to maintain the route consistency needed to prevent driver turnover and also have the flexibility required for varying freight amounts and frequencies.

For this reason, it is important to diversify driver resources. One of the best methods for this is participating in a shared milkrun. Through route sharing, all businesses involved are able to help balance each other's variation in freight and frequency needs to maintain more consistent routes for drivers. They can also optimize their logistics process by reducing and sharing costs. Working with a carrier like Carter Express also allows companies to pull from a larger pool of qualified drivers and find drivers for new routes faster than independent recruiters can.

Regardless of how your company approaches this issue, there is no quick fix for the industry as a whole. Capacity needs for cross-border shipping have been steadily rising and appear to be continuing to trend in that direction. Route consolidation and diversifying drivers are two ways to lessen the impact on your supply chain, and they might offer the advantage you are looking for - growth opportunity in the driver drought.

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