New CDL Rule Limits Eligibility for Certain Immigrant Truckers, Potentially Driving Up Freight Costs

The Trump Administration’s new rule limiting CDL renewals for immigrant truckers is seeing mixed reactions in agriculture. While some support the change, it is raising concerns about higher freight costs and impacts on U.S. grain export competitiveness.

NASHVILLE, Tenn. (RFD NEWS) — A new rule took effect this week that will phase out thousands of commercial driver’s licenses held by immigrant truckers. The White House says the regulatory move is necessary for safety, but some worry it could increase prices for those who rely on the network.

Federal officials will restrict who can get or renew a CDL if applicants cannot prove lawful immigration status. They are also limiting which visa holders are eligible to apply for these licenses.

Under the new rule, H-2A and H-2B agricultural workers may apply for and renew their credentials, but those with asylum or refugee status cannot. Drivers can continue using their current licenses, but those who do not meet the new guidelines will not be allowed to renew.

Not everyone agrees with the crackdown. A transportation attorney told the Washington Post that fewer drivers could lead to higher freight rates.

Lower Transport Costs in Mexico Support U.S. Grain Competitiveness

Lower transportation and landed costs helped support U.S. grain competitiveness in Mexico during the fourth quarter of 2025 — a key factor for producers relying on export demand.

USDA data show that water-route transportation costs to Veracruz rose slightly quarter-to-quarter for corn and soybeans and increased for wheat, largely due to higher ocean freight tied to strong global bulk shipments. Land-route costs increased for corn and wheat with higher truck and rail rates, but declined for soybeans as rail costs eased.

For producers, landed costs varied by commodity and route. Land-route corn costs rose on higher transport and farm values, while wheat costs fell with lower farm values. Soybean landed costs held mostly steady as lower transport costs offset stronger farm prices.

Regionally, transportation accounted for 14-28 percent of landed costs by water routes and 12-30 percent by land routes, underscoring logistics’ role in export margins.

Looking ahead, sustained export demand from Mexico — which imported 26.1 million metric tons of U.S. corn, 5.46 million metric tons of soybeans, and 4.33 million metric tons of wheat in 2025 — will keep transportation costs central to competitiveness.

Farm-Level Takeaway: Transportation costs remain a critical factor in export-driven grain prices.
Tony St. James, RFD NEWS Markets Specialist

(Tags: Transportation, Grain Markets, Exports, Mexico, USDA)
**********

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

LATEST STORIES BY THIS AUTHOR:

Purdue economist Dr. Joana Colussi discussed the U.S. and Brazil’s reliance on imported fertilizers and their impact on global food security amid rising input costs.
RFA President and CEO Geoff Cooper joined us to discuss the proposed E15 amendment in the Farm Bill, industry reaction to the legislation, and the outlook for year-round E15 sales.
USDA Secretary Brooke Rollins plans a farm visit in Missouri, hinting at a possible fertilizer relief announcement on RFD-TV earlier this week. USDA also restructures its research infrastructure and launches new food-safety centers.
Dry conditions have severely impacted key winter wheat states with persistent moisture deficits. As quality declines, analysts warn some crops may be lost despite upcoming rain.
Rising ethanol stocks and softer gasoline demand bear watching, but stronger blending activity and exports offered some support.
Corn export demand remains supportive, but weak pork and rice sales show uneven global demand trends.