Borderlands: Average salary for truck drivers in Mexico will be $4,400 in 2023
Borderlands is a weekly summary of developments in trucking and cross-border trade between the United States and Mexico. This week: Mexico’s average truck driver salary was $4,400 in 2023; Philips Industries opens a new plant in Mexico; Arcadia cold storage company is eyeing the distribution market in the southwest; and Fr8Tech launches freight matching for LTL services in Mexico.
Average salary for truck drivers in Mexico will be $4,400 in 2023
Wages and total employees in the freight trucking industry in Mexico increased slightly between the fourth quarter of 2022 and the same period a year earlier.
The trucking industry employed 1.18 million people during the fourth quarter of 2022, an increase of 4.4% compared to the same period last year, according to recent figures from Data Mexico and the Ministry of the Economy.
The average monthly salary for cargo truck drivers across the country increased by more than 9% to 7,004 pesos ($370.71, or about $4,448.52 annually).
Mexican truck drivers’ earnings varied widely by location, the type of cargo truck or trucks they drove, the size of the company, and the sector in which they operated.
At the lower wage end were drivers of freight cars, vans and “rapoon” or short-bed trucks, while long-haul truck and tractor-trailer drivers could earn up to 45,000 pesos a month ($2,379.15 USD).
Truck drivers in the mining industry had the highest monthly salaries during the fourth quarter of 2022, averaging 21,500 pesos ($1,137), dental office drivers at 16,000 pesos and intermodal rail transportation services at 15,100 pesos.
The average salary for truck drivers transporting bulk commercial and passenger vehicles was 6,610 pesos; While auto parts haulers averaged 5,410 pesos.
In comparison, recent data from the American Trucking Associations found that the average truck driver in the United States earned more than $69,000 including salary and bonuses in 2021.
The Mexican states with the highest average monthly salary for truck drivers were Tamaulipas, which borders Texas, at 13,200 pesos; colima at 10,700 pesos; and Coahuila at $10,700 pesos.
The Mexican state of Morelos, located in the south-central part of the country, has the lowest wage earners with an average monthly salary of 2,630 pesos.
The average age of freight drivers was 40.3 years. Men made up 98.7% of this labor force and the average monthly salary was 7,004 pesos. Women made up 1.3% and had an average wage of 7,540 pesos.
Phillips Industries opens a new plant in Mexico, creating 2,100 jobs
Phillips Industries, an auto parts supplier, recently opened a production facility in the northern Mexican city of Arteaga.
The recently upgraded 500,000-square-foot operation aims to bring manufacturing and supply chain capacity closer to its North American customers, officials said in a press release.
“Our experience in Mexico has proven to be the absolute best place to make Phillips and Phillips Connect products,” said Rob Phillips, CEO and President, in a statement. “Our existing workforce and those willing to work for us can be counted on to continue our success. We are building on that as we continue to expand here in Mexico.
By the end of 2023, Phillips expects to employ 2,100 people in Arteaga.
The Arteaga plant will take over production operations previously located in China, as well as production lines that were located in Santa Fe Springs, California.
California-based Phillips Industries manufactures components for high-end electric and air brake systems for commercial trucks and trailers.
Arcadia Cold Storage Company is looking forward to the distribution market in the Southwest
Arcadia Cold Storage and Logistics is building a 293,000-square-foot, temperature-controlled facility near Phoenix.
The cold storage facility will be a fully convertible freezer and refrigerated distribution center with 40,500 pallet positions designed to support a range of regional distribution, export-import activity and high-volume throughput processing services.
The site will serve as a hub for the Southwest, with access to metropolitan markets in Southern California, Arizona, Nevada, Utah, New Mexico and Colorado.
“The facility represents our westernmost location to date and will meet our customers’ needs for a well-designed and operational building to help manage their product storage and handling requirements,” said Chris Hughes, CEO of Arcadia Cold, in a press release. “We see strong demand for Phoenix as supply chains continue to gravitate slightly east and away from increasingly operationally challenging points in Southern California.”
Arcadia Cold Storage and Logistics, based in Atlanta, specializes in providing handling, warehousing, distribution and value-added services to the food industry.
The Phoenix facility is scheduled to open by the end of the year. Arcadia Cold Storage also has cold storage centers in Texas, Pennsylvania and Georgia.
Fr8Tech has launched a digital freight matching platform for LTL services in Mexico
Freight Technologies Inc. launched Digital freight matching platform offering less than truckload services in Mexico.
The new platform uses machine learning algorithms to match shippers with carriers, according to a press release.
“We offer added value to small businesses in Mexico looking to distribute economy products as well as small carriers looking for local distribution routes, so it’s a win-win solution on a number of fronts,” said Javier Silgas, CEO of Fr8Tech. statement. “These markets are already well developed in the United States, but we believe they are in a nascent stage in Mexico.”
Houston-based Freight Technologies (Nasdaq: FRGT) is a technology company that offers its Fr8App freight matching platform a real-time gateway to B2B cross-border and domestic freight across North America.
a witness:Next to the temperature controlled freight market.
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