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May a Mexican carrier lease its equipment to a U.S. company?

April 26, 2017COMPANY equipment lease mexican

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May a Mexican carrier lease its equipment to a U.S. company?

2 Answers

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A Mexico-domiciled motor carrier may lease its equipment to a U.S. motor carrier only for operations within the commercial zones, provided the carrier complies with the leasing requirements found in 49 CFR Part 376. A copy of the lease must be carried on the vehicle. A Mexico-domiciled motor carrier may not lease its equipment to a U.S. motor carrier for operations beyond the commercial zones. Any Mexico-domiciled motor carrier who enters into such a lease for operations beyond the commercial zones is subject to penalties, including out of service orders.

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No, the Motor Carrier Safety Improvement Act of 1999 prohibits Mexican motor carriers from leasing their equipment to U.S. motor carriers until the land transportation provisions of the NAFTA are implemented.