NEW U.S.-MEXICO BORDER CROSSING TO OPEN DECEMBER 15 NEAR

UNCLAS SECTION 01 OF 02 MATAMOROS 000177

SIPDIS

STATE FOR WHA/MEX, EEB/TRA
TREASURY FOR IA
NSC FOR RACHEL WALSH

E.O. 12958: N/A
TAGS: ECON ECIN EIND ELTN ETRD MX
SUBJECT: NEW U.S.-MEXICO BORDER CROSSING TO OPEN DECEMBER 15 NEAR
MCALLEN, TEXAS

MATAMOROS 00000177 001.2 OF 002



1. Summary: The Anzalduas International Bridge, located
between McAllen, Texas, and Reynosa, Mexico, will begin
operations on Tuesday, December 15, with a low-key "soft
opening" to be followed by a large-scale ceremonial one in
January. Both Mexican and Texan officials predict this new
crossing will have an immediate positive economic impact on both
sides of the border, and have high expectations for increased
long-term growth as well. Local businesses applaud the opening
of Anzalduas but maquiladora owners in particular continue to
push for authorization for commercial crossings ahead of the
current 2015 implementation date. The ceremonial opening of the
bridge in January will provide a significant USG public
diplomacy opportunity. End Summary.

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Opening Details
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2. The Anzalduas International Bridge, spanning the Rio Grande
just southwest of McAllen, Texas, and west of Reynosa, Mexico,
will begin operations with a "soft opening" on December 15 at 6
a.m. CST attended by the Bridge Board, local politicians and
media. This will be preceded on December 14 by a 12:30 p.m.
briefing that will include the Bridge Board chairman, the
General Services Administration (GSA),and Customs and Border
Patrol (CBP). Local and U.S. officials have proposed January
16, 2010, for a large-scale ceremonial opening. Mexican Foreign
Ministry (SRE) representatives have not confirmed the January
date or the GOM's level of participation. Mexican officials
have repeatedly reminded us that then-President Clinton attended
the last border-crossing inauguration 10 years ago, and have
said that they are eager for a similar POTUS-Calderon event.

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Bridge Facts
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3. Anzalduas International Bridge will be the fifth
international crossing connecting Hidalgo County, Texas, and the
state of Tamaulipas, Mexico. It will be the closest
international bridge to Monterrey, Mexico, and Mexico City. The
bridge is approximately four miles long, half in the U.S., half
in Mexico. It features two southbound and two northbound lanes
with two additional lanes for disabled vehicles. Lanes of the
span are elevated to protect an adjacent U.S. Fish and Wildlife
Refuge. The bridge will operate seven days a week from 6 a.m.
to 10 p.m. and will accommodate passenger vehicles and buses
only. The Presidential permit for Anzalduas, issued in 1999,
does not permit commercial traffic on the bridge. Trailer-truck
traffic is currently scheduled to begin in 2015 or sooner if the
nearby Pharr-Reynosa International Bridge reaches a tripwire of
15,000 northbound commercial vehicles per week.

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Stronger cross-border economic and community ties anticipated
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4. Reynosa Mayor Oscar Luebbert told Consul General he expects
Anzalduas to help reduce downtown congestion in his city by
diverting northbound passenger and bus traffic that currently
passes through Reynosa. He noted that truck traffic through
Reynosa, a significant problem, would also be reduced if
Anzalduas were open to commercial traffic before 2015. In
addition, he said opening Anzalduas to commercial traffic would
help local maquiladoras stay competitive, and most of all, stay
in Reynosa.


5. McAllen officials anticipate a large economic impact from
the opening of Anzalduas due to bridge revenues, increased
retail revenue from Mexican tourism, and from the potential
placement by companies of new offices in McAllen to manage
manufacturing operations in Reynosa. McAllen's Chamber of
Commerce expects the Anzalduas opening to attract many more
Mexican shoppers to McAllen as soon as next week, boosting the
local economy during the peak shopping period of the year.


6. The opening of Anzalduas is more than "just a bridge" to
many in the area. U.S. and Mexican contacts frequently stress
the close ties between the border communities and the effect the
new crossing will have in strengthening these bonds. Rosario
DeLeon, HR Administrator at Johnson Controls (with operations in
Pharr, Texas, and Reynosa) commented to EconOff : "This border
community has very strong family and community ties. The Rio
Grande River is not the dividing point between the U.S. and
Mexico. This is a community."

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MATAMOROS 00000177 002.2 OF 002


Maquiladoras want Anzalduas open to commercial traffic before
2015
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7. Black and Decker's Reynosa-based Vice President of
Operations John Habermel, who supervises a manufacturing
facility that employs more than 2,300, shares the opinion of
other local maquiladora owners and managers that Anzalduas
should be opened to commercial traffic now. He says margins are
lean and there is frequent pressure on the company to move jobs
to China, where transportation from factory to transport hubs is
easier as direct access roads are often built from industrial
parks to ports. He constantly pushes to improve efficiencies at
the Reynosa plant to justify its location in Mexico instead of
China.


8. Comment: The Anzalduas bridge crossing will be a crucial
additional link between northern Mexico and south Texas
communities and will help advance the region's economic
competitiveness. The ceremonial opening of the bridge in
January will provide a significant opportunity to highlight USG
efforts to facilitate legitimate trade and travel. In addition,
it may also provide a useful local counterweight to
frequently-voiced concerns here related to the symbolism of the
border fence and the reality of long crossing delays.
BARKIN