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July 23 2018

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July 23 2018 | The Journal of Commerce 31 Surface Transportation vice president of transportation and operations for retailer Canadian Tire. "I'm actually sending my own trucks across the border. That's something I've never done." Many Canadian businesses were surprised by the breadth and depth of the rule's impact — especially as it's not their rule. "I don't think people realized how many one-day trips were going to become two-day trips," Fast said. "Capacity was pret- ty tight, and the ELDs just exacer- bated the problem." "Many Canadian truckers have been on board with ELDs for a long time," said Joe Lombardo, director of transportation and network perfor- mance at Purolator, one of Canada's leading integrated freight and parcel carriers. "However, a big proportion of our industry still has paper books." That will change when Canada's own ELD mandate takes effect. Transport Canada published a proposed ELD rule in the Dec. 16 Canada Gazette that would take effect in the fourth quarter of 2019, although motor carrier compliance would be phased in from that point, probably through 2021. "We're two years away from that happening, and we're going to take the US experience as an example," said Jonathan Wahba, vice president THE US ELECTRONIC logging mandate for truck drivers is affecting motor carriers, railroads, and shippers in Canada, not only those involved in cross-border trade but in domestic transportation as well, speakers and attendees at the JOC Canada Trade Conference in Toronto, Canada, in June confirmed. Shippers dependent on cross-bor- der trade with the United States experienced significant disruption starting Dec. 18, when the rule requir- ing truckers to use electronic logging devices (ELDs) rather than paper log- books took effect. The ELD mandate is a US regulation, but its reach extends across the US border. Cross-border freight is such a large part of Canada's core transpor- tation business that many trucking companies already are ELD-compli- ant. Drivers must have ELDs as soon as they cross the Ambassador Bridge or any of the 78 other Canada-US truck-crossing points. But the impact doesn't stop there. The ELD mandate has led to increased compliance with truck driver hours-of-service rules, and longer transit times and reduced capacity on US truck lanes short and long. That affects cross-border tran- sit times, too, and is complicating deliveries within Canada. It's like a game of supply chain dominoes: Lengthen the transit time on one leg of a shipment and the next leg is thrown off kilter. Canada already faces truck capacity constraints sim- ilar to those in the United States, and the US ELD mandate tightens that belt further and adds another layer of overall complexity. "Trucking used to be my most commoditized, transactional busi- ness, and now it requires a complete- ly different mindset," said Gary Fast, ELD's northern push Canada catches the ELD cold — capacity tightens for trucking companies, shippers, and railroads By William B. Cassidy Canadian shippers are looking for ways to proactively confront the challenges of the ELD era. Trucking | Rail | Intermodal | Air & Expedited | Distribution

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