Cabotage: What foreign drivers cannot do
For transportation professionals employing drivers with B-1 visas, understanding where international commerce ends and domestic restrictions begin isn’t just smart business, it’s essential to avoid costly penalties and keep operations on the road.
What is cabotage?
Simply stated, cabotage refers to point-to-point transportation of goods or passengers within one country. In the U.S., cabotage rules prevent foreign nationals in the U.S. on B-1 business-visitor visas from competing with U.S. truckers moving loads or passengers from point to point in the U.S.
Practically speaking, this means that foreign national truck drivers on B-1 visas may be admitted to the U.S. to deliver or pick up cargo traveling in the stream of international commerce, i.e., cargo that is entering or leaving the U.S.
However, those drivers cannot haul cargo between two U.S. locations.
Know the limits
Let’s look at how the requirements shape every international shipment, and the critical compliance points carriers employing these drivers must keep in mind.
Cargo must remain in international commerce stream (entering or leaving the U.S.). Goods that “come to rest” assume a domestic character (even if they originated from a foreign source) if the continual delivery is stopped for any reason that is not considered a “necessary incident” of international commerce, such as loading and unloading international cargo. Some examples of “coming to rest” include:
- Parking goods at a drop lot, holding lot, or warehouse to be picked up later and delivered (overnight or the weekend), unless the goods are parked awaiting clearance by a government agency (CBP, USDA, FDA).
- Switching tractors in the U.S., unless the tractors belong to the same company and the replacement tractor makes entry from a foreign country for replacement purposes (i.e. medical emergency, tractor breaking down).
Drivers admitted under B-1 visas can only pick up and/or deliver international shipments. Additionally, the drivers must:
- Maintain foreign residence.
- Intend to leave U.S. after authorized stay.
- Have financial means and meet admissibility requirements.
Caution: Customs AND Immigration rules apply
It’s important to note that U.S. Customs and Immigration regulations must be followed, as there can be subtle differences:
- Customs rules focus on equipment and cargo.
- Immigration rules focus on the driver and work authorization.
To demonstrate compliance:
- Maintain records proving the shipment is international.
- Verify the driver’s visa status and compliance before dispatch.
Prohibited activities
Even with the correct paperwork, certain activities remain strictly off-limits under cabotage rules. The following examples describe movements that are not permitted for the foreign driver:
- Picking up and delivering shipments between two U.S. points.
- Repositioning empty trailers within U.S. (unless specific exceptions apply).
- “Topping up” international shipments with U.S. domestic freight.
- Soliciting domestic deliveries while in the U.S.
Consequences
Failing to follow these rules isn’t just a technicality. It can have serious consequences for carriers and drivers alike. Violations can lead to:
- Suspension or removal from the Customs Trade Partnership Against Terrorism (CTPAT) program.
- Revocation of Free and Secure Trade (FAST) ID cards for drivers.
Strict adherence to cabotage rules is essential for international drivers operating in the U.S. Non-compliance with these regulations — including requirements under both Customs and Immigration law — can result in severe penalties, including suspension from trusted programs and loss of credentials.
Key to remember: By consistently verifying visa status, maintaining accurate records, and ensuring all shipments remain in the stream of international commerce, drivers and carriers protect themselves and their business from costly enforcement actions.















































