Nearshoring , industrial growth, and the need for more efficient and sustainable logistics solutions in the Cali-Baja region are among the opportunities for freight rail to drive its growth. Baja California Railroad (BJRR) , operator of the short-gauge rail line in northwest Mexico, knows the path forward and has a defined plan for 2026 to ensure that this mode of transport is not just an alternative, but becomes the primary logistics option for industry.

“The development of customs infrastructure, binational integration, and market diversification can position rail as the ideal means for transporting large volumes of cargo, particularly in sectors such as energy, agribusiness, and advanced manufacturing. The Cali-Baja mega-region has enormous potential due to its productive integration between Mexico and the United States,” says Roberto Romandía, the company’s CEO, in an interview with T21.

He asserts that strengthening cross-border trade, optimizing rail crossing times, and promoting integrated logistics schemes will attract more companies seeking to reduce costs and improve their international competitiveness . “The trend of industrial relocation also represents a great opportunity to consolidate rail as the backbone of logistics.”

Romandía argues that the railroad is vital for Baja California , since the region has more than a thousand maquiladoras that depend on efficient and competitive supply chains, and this mode of transport offers capacity, safety, cost reduction, less environmental impact and operational stability.

“Many companies are facing complex situations related to union issues, work stoppages, and internal cost pressures. The rail model allows maquiladoras to reduce their internal operating burden—less need for their own operators, less exposure to labor disputes in ground logistics, and less dependence on union schemes in transportation—which has become a strategic asset. Furthermore, they will soon be able to optimize returns to the United States with finished products, further reducing their costs,” he mentions.

The second edition of ETYL Cali-Baja (Transportation and Logistics Meeting) will take place on May 14th.  This forum, organized by  Grupo T21  , will bring together industry leaders and nearly 200 attendees at the Real Inn Hotel in Tijuana. Through four panels, specialists will analyze the  challenges and opportunities in the binational logistics context and their impact on supply chains . For more information about ETYL Cali-Baja, please visit  https://baja.etylmx.com/ .

If you wish to continue reading this text published in the April 2026 edition of T21 magazine, we invite you to consult the digital version by clicking here .

Comment and follow us on LinkedIn:  @Evangelina del Toro  /  @GrupoT21

El cargo Cali-Baja, the route for the growth of the freight railway apareció primero en T21.

The growing geopolitical tension in the Middle East, which has forced the blockade of the Strait of Hormuz, opens a window of opportunity for nearshoring in the Cali-Baja region , which, being close to the United States, the world’s largest consumer market, can be an option for various industries that still have part of their production in Asia.

“This could be an opportunity to position Cali-Baja and Mexico as relocation centers, since our geography continues to help us a lot to bring all the supply chain closer to the production points and finally to the consumption points,” said Bertha Martínez, coordinator of the Bachelor’s Degree in International Logistics at CETYS University Campus Mexicali .

In an interview with T21, the specialist explained that the crisis in Hormuz is accelerating the need to regionalize supply chains , to make them more centralized and less fragmented, given the uncertainty that prevails in world trade.

“Supply chains are no longer focused so much on costs; they must focus on resilience, on the ability to resolve unforeseen events in times of uncertainty , when they become fragile and inflection points begin. Perhaps what makes us most vulnerable right now is what can ultimately make us stronger,” Martínez explained.

In this context, the Cali-Baja region becomes an attractive point for companies that are looking to diversify their supply and logistics routes to reduce their dependence on critical or strategic blocks.

Cali-Baja, which encompasses San Diego and Imperial counties in the United States and Baja California in Mexico, is one of the most important areas for the process of reconfiguring supply chains in North America.

According to the  Binational Trade & Competitiveness Report 2025 , prepared by the  World Trade Center San Diego , 30% of the foreign value added present in U.S. exports comes from Mexico and Canada , reflecting the integration of the three countries in North American supply chains.

One of the trends that companies are implementing to anticipate disruptions is inventory planning , as they seek to strengthen their stock , but not at the point of sale, as traditionally happens.

“We are now seeing inventories as fragmented around the world; they are being established as safety stockpiles in different locations so that when there are routes that cannot be accessed or points that cannot be considered for operation at that moment, they can be moved to other places,” he pointed out.

Martínez considered that Cali-Baja could have an advantage in that situation, since its geographical location makes it a strategic area.

“It could be a kind of hub where companies could locate their inventories in case of any disruption or crisis at a global level, so that companies have these safety stocks,” he noted, emphasizing that this could accelerate the arrival of investments to Baja California.

In 2025 alone, Baja California attracted 1.892 billion dollars, placing it in fourth position nationally, according to data from the Ministry of Economy (SE) .

Crisis in Hormuz triggers logistical costs

The crisis in the Strait of Hormuz has caused an increase in the price of gasoline and diesel in the United States, fuels essential for the cross-border transport of goods.

“They’ve already seen price increases; for example, the price of gasoline in the Los Angeles, California area has risen by almost 70 cents per gallon, which is quite significant. The same has happened with diesel. The price is between five dollars and 5.30 dollars per gallon in Southern California,” Martínez explained.

Data from the American Automobile Association (AAA) indicates that diesel has increased by 34% compared to the price recorded before the conflict between the United States and Israel against Iran, representing the largest increase in more than three years.

The increase in fuel prices in the United States is impacting logistics costs, because they directly affect inputs in this sector, which has also led to an increase in freight prices , due to the integration of supply chains between Mexico and the United States.

The logistics specialist commented that in California, these supplies are more expensive than in other states in the neighboring country to the north. “The cost structure in the logistics sector, due to fuel and diesel prices, is already being affected. Carriers are beginning to see these changes and are starting to be more strategic in their supply chains.”

According to the United Nations Conference on Trade and Development (UNCTAD) , the transit of ships through the Strait of Hormuz, through which approximately a quarter (25%) of the world’s maritime oil trade passes, has registered a drastic drop of 97% in daily transits.

Despite this, global supply chains are shifting from cost efficiency to risk management. In this context, Cali-Baja emerges as one of the best-positioned regions to capitalize on a current situation affecting various economic blocs worldwide .

The second edition of ETYL Cali-Baja (Transport and Logistics Meeting) will take place on May 14th.  This forum, organized by Grupo T21 , will bring together industry leaders and nearly 200 attendees at the Real Inn Hotel in Tijuana. Through four panels, specialists will analyze the  challenges and opportunities in the binational logistics context and its impact on supply chains .

Comment and follow us on LinkedIn:  @Humberto Cruz Moya  /  @GrupoT21

El cargo Cali-Baja, an opportunity for nearshoring amid the crisis in the Strait of Hormuz apareció primero en T21.

In a context of uncertainty marked by the review of the United States-Mexico-Canada Agreement (USMCA) , scheduled for July of this year, variable tariffs, and possible internal reforms in the country—such as electoral reform—the manufacturing industry in Tijuana is showing resilience, with water infrastructure and border logistics projects , along with binational initiatives to strengthen the Cali-Baja region, which seek to attract and retain investment, especially for advanced manufacturing

For the industrial sector of the border city, the United States and Mexico share a region, such as Cali-Baja, which has its own commercial dynamics and particular activity, so it is necessary to take care of it and continue to make it grow.

“It is a region that cannot be understood in any other way than through a joint dynamic. It is two countries in a single region,” highlighted Alonso Ibarra Arellano, president of the National Chamber of the Transformation Industry (Canacintra) Tijuana , in an interview with T21.

Ibarra, who assumed the presidency of the organization on February 5, has proposed the creation of a Binational Industrial Council as part of the restructuring of Canacintra Tijuana, which brings together 400 members, with the purpose of providing greater certainty to investors , while seeking a common agenda with US counterparts in the Cali-Baja area.

Among the council’s tasks is identifying shared interests, from products manufactured in Tijuana that are exported to the United States, to attracting foreign capital through the relocation of companies, that is, nearshoring .

“We have to understand that we are in this together, that if something happens on the United States side, it affects us in the manufacturing industry, and vice versa, what happens in Tijuana and Baja California affects them, so the best thing is to come together, sit down and defend it,” Ibarra Arellano said.

The Cali-Baja region, made up of the counties of San Diego and Imperial in the United States, and Baja California in Mexico, has consolidated itself as one of the most important areas for the process of reconfiguration of supply chains in North America .

In 2024, San Diego and Imperial counties exported $34.5 billion , 97% of which went to the Mexican market. These exports supported approximately 95,000 jobs in critical industries such as aerospace, medical devices, and semiconductors, according to the 2025 Binational Trade & Competitiveness Report , prepared by the World Trade Center San Diego .

Meanwhile, the same study noted, Baja California exported $55 billion worth of goods during the same year, with 98% being manufactured goods and 95% destined for the United States.

Factors such as specialized manufacturing in Mexico and research activities, as well as high-tech development and services in San Diego, have triggered a highly integrated binational ecosystem.

One of the projects being prepared in Baja California for a new growth cycle with investments in critical infrastructure is the Rosarito desalination plant project , announced by the state government, which will help solve part of the water deficit that affects both the population and the manufacturing industry.

“Right now we are analyzing the financing that will be used, the debt that the state government will incur for this project. It is a project that managed to obtain federal resources for its implementation,” Ibarra Arellano recalled.

The plant will have a capacity of 2,200 liters per second and will increase the water supply for Tijuana, Playas de Rosarito and Ensenada by up to 45%, and will have an estimated investment of four billion pesos (mdp) from the state government and 10 billion pesos from the Federation.

Ibarra also spoke about the progress of the additional Otay Mesa II border crossing, which is progressing well on the Mexican side, while on the United States “we are in negotiations with the United States authorities to see when it will be completed on the other side of the border, because it is something that will help us with customs logistics .”

According to studies by the San Diego Association of Governments (SANDAG) , the new border crossing is projected to reduce wait times by up to 50% on average, which could generate a significant increase in the value of regional bilateral trade .

USMCA with caution

Facing the USMCA review, Ibarra maintains an optimistic outlook for Tijuana’s industry, but also expresses caution

“Ideally, we would like to reach an agreement that provides certainty for another 16 years, but we are confident that even if we do not reach one by July, we will still have a USMCA, since the agreement does not disappear, but rather undergoes annual reviews.”

With a long-term water project, optimized logistics, and a shared binational vision, Tijuana is positioning itself as a preferred destination for nearshoring and strengthening trade between Mexico and the United States. According to the U.S. Census Bureau , in December 2025, Mexico consolidated its position as the main trading partner of its northern neighbor, registering an  exchange of goods worth $70.521 billion .

Comment and follow us on LinkedIn:  @Humberto Cruz Moya /  @GrupoT21

El cargo Cali-Baja, a binational industrial vision in the face of economic uncertainty apareció primero en T21.