As we enter the 3rd day since U.S. Customs and Border Protection (CBP) halted rail operations in El Paso and Eagle Pass, CPB has offered no guidance on when operations will be restored at these key arteries for the North American rail network.
Each day, BNSF and Union Pacific railroad securely operate 24 trains across these two crossings, moving agricultural products, automotive parts, finished vehicles, chemicals, consumer goods and more to customers on both sides of the border. These closures mean businesses spanning the continent will see delayed or even canceled shipments.
By the Numbers
• According to Bureau of Transportation Statistics data: El Paso and Eagle Pass accounted for $33.95 billion or 35.8% of all cross-border rail traffic from November 2022-October 2023. During that same period, about 7.04 million metric tons of product moved via rail to/from Mexico through the crossings.
• Union Pacific estimates a staggering $200 million hit to the economy each day their operations at these crossings remain closed. These two locations represent 45% of Union Pacific’s cross-border business. Every day that the border is closed, Union Pacific is forced to embargo customers’ goods on more than 60 trains, or nearly 4,500 rail cars, with an equivalent of goods being held in Mexico. (Note: These numbers do not include impacts associated with BNSF interruptions.)
Fact Checks
• Migrants are not using the rail crossings to enter the country in significant amounts. Widely circulating video is not from these direct crossings. Railroads in partnership with CBP ensure that 100% of trains are screened and any unauthorized individuals are apprehended.
• Closing the rail gateways to move 4 or 5 CBP agents who staff the crossings at any one time to support other efforts related to the current crisis adds limited additional capacity, but results in tremendous economic hardship.
Customers Call for Reopening the Border
With no end in sight, rail customers are calling on the Administration to take immediate action and restore the vital trade routes between the two nations. Below are excerpts from a few key customer groups on the issue.
• National Grain and Feed Association (NGFA) and the North America Export Grain Association: “NGFA and NAEGA have become aware this afternoon of critical tightness in feeding supplies for several livestock feeders in Mexico. We have also learned of grain trains in multiple states being held for shipment due to CBP’s embargo. The critical nature of this issue is growing by the hour, particularly for those livestock feeders that may run short of feed.”
• Intermodal Association of North America President & CEO Joni Casey: "While acknowledging the ongoing border issues, it is imperative that the flow of freight remains unencumbered throughout these challenges. The reopening of these border crossings is vital to reinstating the essential flow of trade between the U.S. and Mexico.”
• American Chemistry Council: “The closure of rail and freight operations at Eagle Pass and El Paso is already impacting ACC member companies. Railcars have been embargoed and companies are notable to ship products to customers in Mexico. As of today(December 19th), one ACC member alone has 45 loaded cars stuck waiting to move into Mexico and 62 empty cars waiting to come back. These closures are likely to create wider backups, with implications for the entire U.S. railroad network. The fact that CBP previously closed the border only a few short months ago gives us greater concern that these measures will be part of an increasing trend.”
• Chamber of Commerce Chief Policy Officer Neil Bradley: "Shutting down rail traffic through Eagle Pass and El Paso will inflict significant economic harm. Halting the legal movement of commerce will do nothing to secure the border."
• Borderplex Alliance El Paso President & CEO Joe Barela: "We've been through this before and once again international commerce is being affected, jobs are being affected and hundreds of millions of dollars are being lost due to federal inactivity.”
