This morning, U.S. Customs and Border Patrol (CBP) took the unprecedented step of closing the international rail crossings in El Paso and Eagle Pass, TX. These crossings comprise two of the seven active rail crossings between the United States and Mexico.

CBP indicated that their staff is being redirected to assist the U.S. Border Patrol with taking migrants into custody and processing while prioritizing border security in what CBP described as an "evolving situation." Texas Association of Business CEO Glenn Hamer said on X "this is a big mistake for CBP and timing couldn't be worse. We all support a secure border but this isn't the way to do it. Closures will disrupt legal trade, commerce and retail."

This is the second time this fall that the Eagle Pass international rail bridge has been shut down by the CBP, halting all rail commerce.  In September, Union Pacific CEO Jim Vena, President Beth Whited, Executive Vice-President and CFO Jennifer Hamann and others traveled to Eagle Pass to understand the migrant crisis firsthand, understand its impact and identified ways to get trains moving back then.

Already, one railroad has had to place holds on more than 60 trains in 50 different rail yards. With insufficient capacity for detours, as of this morning, grain trains are holding in locations as far away as Illinois, Iowa, Minnesota, Nebraska, Missouri, and Kansas. An equivalent hold is also in place for US-bound traffic currently held in Mexico. 

The Texas Railroad Association issued a statement that their railroad members are working with Mexican authorities to ensure security and safety on lines in that country. "At the U.S. border, these crossings are well controlled, with 100 percent screening. X-ray scanners and state of the art security technology ensures that anyone attempting to cross the border on a train is found at the inspection point. Closing the rail gateways will not have a significant impact on the migrant crisis, but it will cost the economy huge sums and stress the national supply chain."

Railroads securely operate 24 trains daily at these two crossings, moving agricultural products, automotive parts, finished vehicles, chemicals, consumer goods and more to customers spanning the continent.

 

Ultimately, every railroad is affected by this sudden shutdown of operations because all carriers interchange goods across the North American rail network spanning Mexico, the United States, and Canada. The downstream impacts will be felt immediately and acutely by shippers and customers.

Border Trade Alliance President Britton Mullen said in a statement "The closure of railway and border crossings hinder legitimate trade and travel and "make a bad situation worse, inflicting even more economic harm on the U.S.-Mexico relationship and driving up costs."