The trucking industry is a leading indicator of the United States economy. Today, many industries rely on the trucking industry to transport their freights. They are also a good option to deliver safe and on-time products from the manufacturing site to the warehouse. When the industry face problem, many companies will not function well. These can cause loss of revenue and recession. So, you need to know crucial facts about the industry before deciding to become a part of it. These include knowledge about the New Mexico Permit, IFTA license, WDT New Mexico, IRP Plates, and many more. This is because many entrepreneurs have joined the bandwagon of the trucking business without knowing about its detail. In this blog, Global Multi Services will take you through facts about the trucking industry. Let’s dive in.

The Backbone Of The Country’s Economy

The United States economy depends on the trucking industry to transport freight and keep supply chains moving. According to research, the industry transports 70% of the country’s consumable goods to their destination. Reports have also shown that trucks move over 10 billion tons of freight and generate over $700 billion in annual revenue.

New Mexico Permit Is Mandatory

New Mexico is one of the states in the US that charges WDT New Mexico on motor carriers traveling across the state highway. All motor carriers operating across the state with a Gross Vehicle Weight of 26,000 pounds and above need to obtain a New Mexico Permit and New Mexico WDT to stay compliant.

There Is Driver’s Shortage

More than 3 million drivers work in the trucking industry.  Truck drivers face difficulties from many hours on the road to days away from home. These have made it difficult for the industry to meet customer’s demands and keep Over-The-Road truck drivers. Demographic shifts are also impacting the industry. Statistics have shown that the average age of many truck drivers is 40-55 years. This shows many truck drivers are approaching retirement, and other people are not ready to work in the field. With these statistics, the American Trucking Association have estimates that the industry has over 50,000 driver shortages, and the number is increasing every year.

Types Of Drivers With New Mexico Permit

Truck drivers involve two categories: These include Over-The-Road drivers and regional drivers. Both drivers require New Mexico Permit to travel across the New Mexico state.

Over-The-Road Drivers:

They are truck drivers responsible for the transportation of freight throughout the United States. They often spend days and weeks on the road before returning to their families.

Regional Drivers:

They are truck drivers responsible for the transportation of freight within regions. They spent hours on the road but complete their shift at night except on occasional trips.

Technology Is Impacting The Industry

The development of technology has also positively impacted the trucking industry. Many trucking companies use automated software to track freight, update customers and drivers, record miles travel by truck, and many more. Electric trucks are also making their way into their trucking industry.


Operating in the US as a trucking company comes with many benefits but obtaining your Canada permit increases your load opportunities and gives you access to new markets. It also provides more freight, great money, business growth, and new lanes, making it an attractive option for many US-based trucking companies. According to statistics, more than sixty million shipments are generated in Canada every year. These indicate how lucrative operating across Canada can be. Are you sold out to the idea of having a Canada Permit but wondering how to go about it? This guide provides all the necessary information you need to obtain your Canadian Carrier Code and US Border Crossing Permit. Let’s dive in as Global Multi Services explain in detail how to operate legally across Canada.

Review Your Drivers and Equipment to get canada permit

As a trucking company with many drivers, you need to ensure your drivers are willing to cross the border. They need to go through training and have all the necessary documents. These include valid visas (expect Mexico citizens), clean commercial driver’s license records, FAST Membership Card, and many more. You also need to consider the weight and length of the truck in your fleet. Generally, the Gross Vehicle Weight and axle limits are high in Canada. Therefore, every trucking company that complies with the Federal Motor Carrier Safety Administration in the United States will also be legal in Canada. Also, most of the United States trailer configurations are allowed in Canada.

Obtain a CBSA Code

To operate in Canada, you need to register your trucking company with the Canada Border Service Agency and apply for a Canadian Carrier Code. The carrier code is a unique four-character code issued to trucking companies by the Canada Border Service Agency. The code is required for transporting commercial goods in and out of Canada and used in the Pre-arrival Review System.

Apply for Canada Permit and other License

Motor carriers traveling into Canada may be required to register and obtain a Canada permit and other licenses to operate. The requirements and Gross Vehicle Weight thresholds depend on each jurisdiction. You can register using IRP Or IFTA.

International Fuel Tax Agreement

The International Fuel Tax Agreement is a cooperative agreement between the Canadian province and the 48 American states. The agreement helps to simplify the inter-jurisdictional fuel tax reporting by commercial motor carriers. IFTA provides motor carriers with a single license plate issued by their home jurisdiction to drive in all member jurisdictions. They also report and pay their tax returns in their base jurisdiction.

International Registration Plan

The International Registration Plan is an agreement between the province of Canada and the 48 states of America. The IRP facilitates the collection of an apportioned fee from motor carriers operating across two or more states. The fee is calculated based on the percentage of miles motor carriers travel in each jurisdiction.

Have Insurance Coverage

After obtaining a Canada permit, you need insurance coverage. To know the required insurance coverage, add the province you want to travel across when registering with the Department of Motor Vehicles in your base state. You can also obtain liability, cargo, and reefer insurance.


One of the first decisions you make when forming a trucking company is the Corporation Filing your business will take. Will it be a Limited Liability Company, Sole Proprietorship, or Corporation? The answer depends on your preferences, goal, and future growth of your business. Most business owners form corporations because it protects them against financial and legal liabilities. This is because a corporation helps separate owner’s assets and bank accounts from business assets. Corporations Filing provides businesses with many advantages, but it also has its disadvantages. These include expensive corporation filing fees, loss of business control, double taxation if it is a C corporation, and many more. Carefully analyzing the needs of your business will help you decide whether to incorporate it or not. Read on as Global Multi Services discuss the cons of corporation filing in greater detail below.

Extensive Formalities and structure

Corporations are required by law to have a set of standard formalities that governs them. These include keeping accurate records, having a board of directors, holding regular meetings, operate as a separate entity, following the company’s bylaws, and many more. These ensure the company is legally distinct, maintains its status, and runs smoothly.

Expensive Corporation Filing

One of the downsides that come with corporation filing is the expenses. They are one of the most expensive business structures to set up. Corporations are a complex structure, and many filing fees are associated with their formation. For example, in some states, Non-profits corporations must file a separate state tax exemption status to the Internal Revenue Services and pay a registration fee every year. Many states also impose an ongoing fee and an annual report fee on corporations. These fees can be costly for many small businesses.

Corporation Filing Lengthy Application Process

The application process for corporation filing is very lengthy due to extensive paperwork. Filing your article of incorporation with the Secretary of State is easy, but the overall incorporation process is often time-consuming. To establish a corporation, you need to keep details of the organization and its ownership. These include the corporation’s bylaws, board of directors, financial transactions, officers, corporation articles, meetings, shareholders, and other activities. Each state also has its corporate filing requirements and record keeping guidelines for incorporated businesses. Therefore, you need to do research on your state regulations or seek the advice of an attorney to remain in good standing with the state and law.

Double Taxation

Corporations like C-corporation face double taxation. This means the business is taxed as a separate entity and the shareholders are also taxed based on the percentage of profit they earned. The only way to avoid double taxation is by operating as a limited liability company or S-corporation.

Distinct Legal Entity

Corporation Filing takes away the control you have over your business. It is a distinct legal entity governed by a board of directors. Corporations also have federal and state rules stating who can serve on a board of directors. The board of directors can vote in other board members and vote out members. They can also take over the business leaving the founder with no say.