Gordie Howe bridge means smoother transport, but not lower consumer prices: truckers

Gordie Howe bridge means smoother transport, but not lower consumer prices: truckers

High fuel prices after tough years for industry mean cost savings may not trickle down quickly

The opening of the Gordie Howe bridge promises more efficient transport between Canada and the United States — though not necessarily lower prices for consumers — trucking firms say.

The new span between Detroit, Mich., and Windsor, Ont., will make for better traffic flow, smoother security procedures and competitive toll rates that could save large trucking companies up to $100,000 a month, says Canadian Trucking Alliance CEO Stephen Laskowski, whose association represents more 4,500 carriers and suppliers.

"That sends a key signal to the investment community, the business community, that that trade corridor is open for business. So I can rely on my goods going across the border in an efficient, productive manner and not worry about delays," he said. "It means more jobs and more wealth, more growth."

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The six-lane Gordie Howe International Bridge offers a direct connection between Ontario's Highway 401 and I-75 across the Detroit River.

In contrast, the four-lane Ambassador Bridge upstream requires an off-ramp and more than a dozen traffic lights on the Canadian side.

Billions in trade, 850,000 hours saved and a $6.4B price tag: Gordie Howe bridge by the numbers

The new crossing also features quicker, more up-to-date X-ray imaging facilities and tolls that sit well below traditional rates at the privately owned Ambassador Bridge, which turns 96 in November.

'Costs have gone up significantly'

High diesel fuel prices following a tough couple of years for the industry mean the cost savings may not trickle down to consumers any time soon.

"In the short term, you're not going to see it reflected on the shelves," said Mike Millian, president of the Private Motor Truck Council of Canada.

POV: 1st time crossing the Gordie Howe bridge from Canada to U.S.

"Costs have gone up significantly," he said, pointing to the impact of tariffs and the Middle East war, which has been a driving force on oil prices this year.

"This may help trucking companies get some money back in their bottom line, because they certainly haven't recuperated all of that increase."

The 2.5-kilometre Gordie Howe International Bridge opened to motorists late Monday morning after months of controversy over financial aspects of the project.

Canada held a ceremony on the cable-stayed deck last week to help mark the first new crossing between Ontario and Michigan in more than 60 years, but a joint celebration with the United States was cancelled over Washington's recent threat of new tariffs on Canadian goods.

In a February social media post, President Donald Trump insisted the U.S. would have to be compensated before he would allow the bridge to open.

He falsely claimed the $6.4-billion structure — paid for by Ottawa and jointly owned by Canada and Michigan under a 2012 agreement — was built with virtually no American content.

Canada subsequently agreed to make some adjustments around revenue sharing.

The saga of the Gordie Howe bridge

Political spats aside, Millian was grateful for the fresh option now available to the in-house fleets represented by his organization, whose members include Loblaw, Walmart, Home Hardware, Molson and Coca-Cola.

"I didn't want to sit through 14 traffic lights," he said, recalling his days as a big-rig driver. "You've got to wind your way through city streets on the U.S. side as well."

Fuel consumption will also be lower without the stop-and-go traffic, he noted, while checkpoints and inspections should flow faster at Gordie Howe's larger customs plazas on both sides of the river.

An advanced, large-scale imaging facility allows trucks to be scanned via X-ray in a drive-through system.

"That'll take a lot of freight that had to be off-loaded to be inspected in the past," said Millian.

The Gordie Howe's border complex can host agricultural and meat inspections on site as well, unlike at the Ambassador.

A commercial office offers truck operators assistance with any customs documentation mix-ups.

"In the past, that driver might have been sitting there waiting for the documentation to come through, clogging up the lanes," said Millian.

The span is expected to save commercial carriers about 850,000 hours each year, federal Infrastructure Minister Gregor Robertson said Friday.

The Ambassador Bridge handles about $118 billion US in annual trade between Canada and the U.S., or more than a quarter of all truck-borne shipments, according to the U.S. Department of Transportation.

The suspension bridge hosted 1.86 million trucks last year — roughly 6,000 per day — data from the binational Bridge and Tunnel Operators Association shows.

However, that tally marked the first time in decades the Ambassador — typically the busiest commercial land crossing along the Canada-U.S. border — notched a lower total than the Blue Water Bridge in Sarnia, Ont., an outcome industry observers blame partly on higher tolls.

It’s going to cost $8 for passenger vehicles to cross the Gordie Howe bridge when it opens

For commercial vehicles, the Ambassador charges up to roughly $21 an axle — totalling around $105 on a standard five-axle tractor-trailer — for pass holders and $28 an axle for those without an account.

The Gordie Howe cut those rates by more than half, collecting $9.60 per axle for subscribers to its electronic toll program and $12 per axle for others.