The U.S.-Mexico freight market is now worth more than $900 billion in annual trade, outpacing Canada and China in 2025.
Nearshoring and manufacturing shifts are fueling record volumes across the southern border and with it, new opportunities for brokers, shippers, and carriers.
But cross-border trucking isn’t the same as moving domestic freight. More parties, documents, and regulations mean more complexity and chances for delays and headaches. This guide breaks down how U.S.–Mexico freight works, what makes it different from domestic shipping, and how Cargado helps simplify it.
Key takeaways
- What is cross‑border freight?
- How cross‑border differs from domestic trucking
- Common mistakes to avoid
- How Cargado simplifies the process
What is cross-border freight?
Cross-border freight refers to transporting goods between the U.S. and Mexico. Unlike domestic shipping, it involves crossing an international border with customs clearance and typically multiple carriers, including a U.S. carrier, a transfer (or drayage) carrier, and a Mexican carrier.
Here’s how it works based on the direction the shipment is heading:
Southbound (U.S. to Mexico)
A U.S. carrier hauls the load from the origin to the border (e.g., Laredo, TX). The trailer is dropped at a customs broker’s yard on the U.S. side for export processing. After clearance, a transfer (or drayage) carrier moves the sealed trailer across the border into Mexico. A Mexican carrier picks up the same trailer and delivers it to its final destination.
Northbound (Mexico to U.S.)
A Mexican carrier brings the load to the border. A transfer (or drayage) carrier, which can be a Mexican carrier with a U.S. entry permit or a U.S. carrier’s truck, hauls the trailer into the U.S. After crossing and import inspection, a U.S. carrier takes the trailer from the border to the final destination in the U.S.
In both cases, customs brokers on each side handle the paperwork and clearance process. Every cross-border shipment must stop at the border for inspection and document validation before proceeding. This means even a through-trailer shipment (one that stays in the same trailer) will pause at the border for clearance.
How cross-border differs from domestic trucking?
Cross-border freight is more complex than domestic shipping due to additional parties, regulations, and processes involved. Here’s a rundown of how cross-border freight is different from domestic:
- Multiple carriers: A door-to-door Mexico-to-U.S. shipment typically requires at least one U.S. carrier, one Mexican carrier, and a transfer drayage carrier at the border. No single driver/carrier can cover the entire trip because U.S. carriers generally cannot operate within Mexico and vice versa (due to regulations and authority limits).
- Customs clearance: Unlike a domestic load, a cross-border load must clear customs. The freight must stop at the border for paperwork and inspections by U.S. and Mexican authorities. This adds time (usually 1–3 days of waiting for clearance) and requires accurate documentation.
- Additional documentation: International shipments need a commercial invoice, customs forms, import/export permits, and in Mexico, a Carta Porte (Mexico’s digital waybill) in addition to the standard bill of lading (BOL). All paperwork must be correct to avoid delays.
- Customs brokers: Shippers or importers employ licensed customs brokers to handle the border clearance. Brokers prepare and submit the import/export documentation and coordinate the release of the freight. This is an extra step not present in domestic moves.
- Handoffs and communication: There are handoff points, like when the trailer is dropped at the broker’s yard and when the transfer carrier moves it across. Close coordination and communication among all parties (shippers, carriers, brokers, consignees) is vital to ensure a smooth handoff. Language can be a factor as well (many Mexican carriers and partners operate in Spanish).
- Regulatory differences: Regulations like driver hours, equipment, insurance, and safety standards differ between the countries. For instance, Mexican trucks might run double trailers or have different weight limits, and Mexican law requires a Carta Porte for all freight in transit. U.S. regulations require carriers to carry at least $100,000 in cargo insurance for domestic loads, whereas some Mexican carriers may carry lower insurance by default, etc. Brokers must navigate these differences.
Cross-border freight has more moving parts and complexity. Many shippers find it challenging and would rather hand it off to specialists. With the right process and the right partners, however, it can be managed smoothly.
Common mistakes new brokers make
Cross-border freight can be smooth but only if you avoid these pitfalls:
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Not confirming customs brokers – Every load needs a broker on both sides. Always ask your shipper: “Who is your customs broker, and where do they want this freight to cross?”
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Missing paperwork – Forgetting the commercial invoice or packing list means the shipment won’t move. Send documents early, even before pickup.
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Choosing the wrong port of entry – Many customs brokers only operate at specific crossings (e.g., Laredo versus Pharr). Routing freight to the wrong port causes unnecessary delays.
How Cargado simplifies cross-border freight
Cross-border shipping doesn’t have to feel overwhelming. Cargado is a free, invite-only platform connecting vetted brokers and carriers across the U.S., Mexico, and Canada.
Here’s how it helps:
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Vetted carrier network – 500+ cross-border carriers vetted for compliance and experience.
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Smart matching – Instantly connect with carriers who run your lanes.
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Real-time market rates – Transparent, up-to-date pricing for cross-border lanes.
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Faster communication – Bilingual support and instant alerts keep everyone aligned.
In just four months, Sage Freight, which was relatively new to cross-border shipping, completed 37 spot loads across five lanes running from Texas, California, Louisiana, and Nevada into Mexico City and Nuevo León, with reliable service and no compliance issues. The team also built a routing guide with rates on file for 900+ lanes across 120+ Cargado carriers.
Read the rest of our guide to cross‑border freight between the U.S. & Mexico:
- How to ship freight from the U.S. to Mexico in 7 steps
- How to ship freight from Mexico to the U.S. in 7 steps
- Every document you need for U.S.-Mexico trucking in 2025
- How to choose the right customs broker for U.S.-Mexico freight
- The 9 biggest cross-border freight challenges and how to solve them
- How to sell cross-border freight services
- How are carriers vetted and onboarded on Cargado?