Monday, January 17, 2022

Vaccine Mandate for Cross Border Trucking Now in Effect, Mandate for Domestic Trucking Begins in a Week


Prepare Your Affairs Accordingly


The cross border vaccine mandate for truckers in/out of Canada is now in effect.  The U.S. vaccine mandate takes effect on January 22nd.

It will take a few days to see the consequences, but there will be consequences.

Keep in mind, any impact is taking place in a supply chain system that is already tenuous and unstable at best.  A small disruption that may have been minimally significant against a fully operational supply chain, is more likely to be a much bigger disruption in a supply chain that is already under a severe amount of demand side stress.  Somewhere in the range of 16,000 to 38,000 daily loads are likely to be impacted.

When questioned about this, Canadian Intergovernmental Affairs Minister Dominic Leblanc says the trucking industry “has had adequate time to prepare for this.”  Keep in mind, the mandate was announced 45 days ago (November 30th).  According to the Canadian government, changing the structural rules for all the logistics and commerce in cross border shipping, 45 days is enough notice.  WATCH:


CANADA – […] “I think you probably won’t see that movement … that the government’s looking for,” retail expert Bruce Winder told CTV News Channel on Saturday when asked if the effort will encourage truckers to get vaccinated.

[…]  The mandate throws a “major wrench” in the Canadian and North American supply chains, he added, with grocers, food producers, the auto parts industry and building materials among the sectors expected to be most affected.

“I really hope that we’re not at the stage where you see food insecurity, where you’re actually going to grocery stores and there’s nothing on the shelf,” Winder said.  “That could be the worst-case scenario.”

Mike Millian, president of the Private Motor Truck Council of Canada, told CTV News Channel on Saturday that there were as many 23,000 vacancies at the end of the third quarter of 2021, with his group’s own studies showing that roughly 20 per cent of Canadian truck drivers operating across the border are unvaccinated.

[…] “If we remove a fifth of that workforce, we’re going to see shortages on shelves and we’re going to see inflation of prices, because the cost to bring this stuff here is going to go up.”  (read more)

The truth is no one knows how bad the disruption will be.  What we do know is that there will be disruption, and there is no infrastructure for a level of rig-switching at the border crossing region that could accommodate changing rigs, drop-offs and/or pick-ups or driver transfers on the scale that is being discussed.   The logistics here are a total mess.

Keep your fingers crossed, but prepare for FUBAR.