truck manufacturing

NAFTA deal still in question

TORONTO, ON – The future of NAFTA remains uncertain as negotiators prepare for their latest round of meetings, this time in Montreal. Months into discussions, nobody even knows if U.S. President Donald Trump will decide to outright scrap the deal that governs every load of cross-border freight. With about 10 million trucks crossing between Canada and the U.S. each year, there is plenty of business at stake. A recent survey by Export Development Canada even found that 26% of exporters would shift their business to the U.S. if the agreement was revoked outright. Trade between the U.S. and Canada tripled between 1986 and 2017, Canadian International Freight Forwarders Association executive director Ruth Snowden observed, during a January 17 seminar hosted by the Fernandes Hearn law firm in Toronto. “If [NAFTA] goes, it could be very significant.”

Trucking a dominant force in Mexico

PUERTO VALLARTA, MX - In Mexico, there is an undeniable link between trucking and the North American Free Trade Agreement (NAFTA). The nation is now the eighth-largest producer of trucks in the world; the fourth-largest exporter of the vehicles. And related exports now represent 6.3% of the country's Gross Domestic Product, says Flavio Rivera, president and Chief Executive Officer of Daimler Trucks Mexico. The nation's manufacturing facilities produced 191,000 heavy duty vehicles in 2015 alone, with 151,000 built in 2016. Daimler itself has plants in Santiago Tianguistenco, State of Mexico, and Santillo, Coahuila. Manufacturing in general has been bolstered by free trade agreements with 46 countries, and 80% of available freight now moves by truck as well. Indeed, gone are the days when oil exports dominated the domestic economy. "The presence of the trucking industry in Mexico has been gaining ground," Rivera said, during a broad-ranging discussion with industry media in Puerto Vallarta. "All those [manufactured] goods are absolutely moving by trucks." Still, Daimler is offering no official comment about ongoing negotiations around the all-important trade deal. The public focus is on business as usual. "We are continuing producing trucks. We are continuing operating efficient factories," said Rivera. "The manufacturing plants today are in very good shape. Very modern."

Navistar ending medium-duty engine production

LISLE, IL - Navistar will stop producing medium-duty engines at its plant in Melrose Park, Illinois, beginning in the second quarter of its 2018 fiscal year. Most of the proprietary engines made in Melrose Park are nine- and 10-liter models for Class 6 and 7 trucks. Navistar reintroduced the option of a 6.7-liter Cummins engine in 2013, followed last year with the option of a nine-liter Cummins. Cummins engines for Class 6 and 7 trucks are produced in Indiana and North Carolina, while Navistar makes big-bore engines for Class 8 trucks in Alabama.