U.S. Transborder Freight Trends in February 2025: Opportunities for Shippers

At Gain Consulting, we empower U.S. shippers with actionable insights to navigate the complexities of North American supply chains. The latest Bureau of Transportation Statistics (BTS) Transborder Freight Data for February 2025 reveals a 2.1% increase in total transborder freight between the U.S., Canada, and Mexico, reaching $131.6 billion compared to February 2024. This growth, driven by robust trucking and pipeline activity, underscores the resilience of U.S.-Canada-Mexico trade despite tariff pressures and global uncertainties. Below, we analyze the data, highlight key trends, and provide strategic recommendations for U.S. shippers to optimize their cross-border operations in 2025.

Transborder Freight Overview: A Steady Climb

In February 2025, transborder freight across all modes of transportation totaled $131.6 billion, up 2.1% from February 2024. The breakdown by country shows balanced growth:

• U.S.-Canada: Freight reached $63.2 billion, a 2.2% increase from February 2024.

• U.S.-Mexico: Freight hit $68.4 billion, up 2.0%, continuing Mexico’s lead over Canada in freight value for the 22nd consecutive month.

This growth reflects the ongoing strength of North American trade, which accounted for 30% of total U.S. international trade ($5.3 trillion) in 2024. Key commodities driving this trade include automobiles, electronics, agricultural goods, and energy products, with the U.S., Canada, and Mexico remaining each other’s largest trade partners in these sectors.

However, the growth is uneven across transportation modes, with trucking and pipelines leading, while rail and vessels face declines. Let’s dive into the modal breakdown and its implications.

Modal Breakdown: Trucking and Pipelines Shine

The February 2025 data highlights significant shifts in transportation modes, as shown in the bar chart comparing North American freight by mode for February 2024 and 2025:

• Trucking: The dominant mode, moving $86.6 billion (65.8% of total freight), up 3.9% from February 2024. Trucking accounted for 55.5% of U.S.-Canada freight and 72.5% of U.S.-Mexico freight in 2024, reflecting its critical role in cross-border logistics.

• Pipelines: Freight value surged to $10.0 billion, a 23.1% increase, driven by energy flows, particularly with Canada ($9.3 billion vs. $0.7 billion with Mexico). This growth aligns with rising oil prices, as seen in 2022 when oil value increases boosted pipeline freight.

• Air: Air freight grew to $4.8 billion, up 4.8%, with U.S.-Canada air trade ($3.1 billion) outpacing U.S.-Mexico ($1.7 billion). High-value goods like computers/parts and precious metals drive air transport.

• Railways: Rail freight fell to $15.1 billion, down 11.7%, with declines in both U.S.-Canada ($7.7 billion) and U.S.-Mexico ($7.5 billion) trade. This drop may reflect softer demand for rail-heavy commodities like mineral fuels and beverages/spirits.

• Vessels: Vessel freight plummeted to $7.7 billion, down 22.9%, with U.S.-Mexico ($5.1 billion) outpacing U.S.-Canada ($2.6 billion). A 25.2% drop in mineral fuel value contributed to this decline, echoing 2024 trends.

Key Takeaway: Trucking’s dominance and pipeline’s surge highlight their reliability for cross-border freight, while rail and vessel declines signal challenges in specific commodity sectors. Shippers must align their strategies with these modal shifts.

Key Ports and Commodities

The BTS data identifies critical ports and commodities shaping transborder freight:

U.S.-Canada Trade

• Top Truck Ports:

  • Detroit, MI: $8.1 billion

  • Port Huron, MI: $7.3 billion

  • Buffalo, NY: $5.9 billion

• Top Rail Ports:

  • Detroit, MI: $2.2 billion

  • Port Huron, MI: $1.8 billion

  • International Falls, MN: $1.0 billion

• Top Commodities:

  • Computers/parts: $5.5 billion (truck), reflecting high-tech trade

  • Vehicles/parts: $5.2 billion (truck), $3.4 billion (rail), driven by automotive supply chains

  • Precious metals: $2.5 billion (truck), boosted by industrial demand

U.S.-Mexico Trade

• Top Truck Ports:

  • Laredo, TX: $23.4 billion

  • El Paso-Ysleta, TX: $8.4 billion

  • Otay Mesa, CA: $4.8 billion

• Top Rail Ports:

  • Laredo, TX: $3.5 billion

  • Eagle Pass, TX: $2.6 billion

  • Nogales, AZ: $0.7 billion

• Top Commodities:

  • Computers/parts: $13.8 billion (truck), a cornerstone of electronics trade

  • Electrical machinery: $10.6 billion (truck), supporting manufacturing

  • Vehicles/parts: $6.9 billion (truck), $3.7 billion (rail), tied to automotive production

Pipeline and Vessel Ports:

• U.S.-Canada: Chicago, Port Huron, and Minneapolis lead pipeline energy flows; Boston, Arthur, and Portland are top water ports.

• U.S.-Mexico: El Paso, Hidalgo, and Laredo dominate pipeline flows; Houston, Arthur, and Texas City lead water ports.

Key Takeaway: Ports like Detroit and Laredo are critical hubs, while high-value commodities like computers and vehicles drive trade. Shippers should prioritize these ports and commodities for efficient routing.

Market Context: Tariff Pressures and Trade Dynamics

The 2.1% growth in transborder freight comes amid significant trade challenges, including new tariffs introduced in 2025. A 10% baseline tariff, 25% tariffs on Canada and Mexico (partially paused for 90 days), and 145% tariffs on Chinese goods have spurred a rush of imports, boosting cross-border activity. Journal of Commerce reported increased less-than-truckload (LTL) volumes near U.S.-Mexico border hubs like Laredo, driven by this “pull-forward” freight.

However, FreightWaves notes a 64% drop in U.S. imports from China in early April 2025, reducing reliance on Asian supply chains and elevating the importance of Canada and Mexico. Mexico’s freight value ($839.9 billion in 2024, up 5.1%) has surpassed Canada’s ($761.2 billion, down 1.6%) since 2023, reflecting stronger U.S.-Mexico trade ties. The New York Times highlights that ample trucking capacity has absorbed this surge without the disruptions seen in 2021-2022, but a softening freight market looms as import bookings decline.

Key Takeaway: The tariff-driven import rush has bolstered U.S.-Mexico trade, but a potential slowdown in Q2 2025 requires shippers to diversify and optimize cross-border flows.

Strategic Recommendations for U.S. Shippers

To leverage the February 2025 transborder freight trends, U.S. shippers should adopt the following strategies:

1. Prioritize Trucking Partnerships: With trucking moving $86.6 billion (up 3.9%), partner with carriers operating in top ports like Laredo and Detroit. Negotiate rates now to secure capacity for high-value goods like computers/parts and vehicles/parts.

2. Capitalize on Pipeline Growth: The 23.1% increase in pipeline freight ($10.0 billion) signals robust energy trade, especially with Canada. Use ports like Chicago and El Paso for efficient energy logistics.

3. Mitigate Rail and Vessel Declines: With rail (-11.7%) and vessel (-22.9%) freight dropping, shift lower-value commodities (e.g., mineral fuels, beverages/spirits) to trucking or pipelines where feasible.

4. Diversify Supply Chains: Reduce exposure to Chinese tariffs by sourcing from Mexico, where freight grew 2.0% and ports like Laredo handle $23.4 billion in truck freight. CNBC notes 61% of surveyed companies plan to relocate manufacturing to Mexico or Vietnam.

5. Leverage Customs Bonded Warehouses: Defer duties on high-value goods like electronics and vehicles using bonded warehouses, as Bloomberg reports a sixfold increase in demand.

6. Enhance Customs Compliance: With new tariffs and the de minimis exemption ending for Chinese goods on May 2, 2025, ensure accurate documentation via CBP’s Automated Commercial Environment (ACE) to avoid delays.

7. Invest in Data Analytics: Use platforms like SONAR or Freightos to monitor freight rates and port congestion, especially as rail and vessel declines may signal capacity shifts.

Key Takeaway: By focusing on trucking, diversifying sourcing, and leveraging technology, shippers can capitalize on transborder growth while mitigating tariff and modal risks.

How Gain Consulting Can Help

At Gain Consulting, we transform supply chain challenges into opportunities for U.S. shippers. Our tailored solutions address the complexities of 2025’s transborder freight landscape:

• Trucking Optimization: Connect you with reliable carriers at key ports like Laredo and Detroit to handle high-value freight.

• Sourcing Strategies: Identify Mexico-based suppliers to reduce tariff exposure and enhance trade resilience.

• Bonded Warehouse Solutions: Secure space to defer duties and optimize cash flow for electronics and automotive goods.

• Customs Expertise: Streamline compliance with tariff and de minimis changes to minimize delays.

• Predictive Analytics: Provide real-time insights to navigate freight rate fluctuations and port dynamics.

  
  

The 2.1% growth in transborder freight signals opportunities, but tariff pressures and modal shifts demand agility. Contact Gain Consulting today to build a robust cross-border strategy for 2025.

Source: Bureau of Transportation Statistics, Transborder Freight Data, April 23, 2025, https://data.bts.gov/stories/s/kijm-95mr