Thread: Baja drivers alter course, head north for gas now

Baja drivers alter course, head north for gas now

By Hiram Soto
STAFF WRITER

November 27, 2008

Falling gas prices in the United States have turned the tables at San Diego's border with Tijuana.

Last summer, Americans crossed into Mexico to buy gas at nearly half-price. Now, with the cost of a fill-up north of the border dropping, it's tijuanenses who are coming north to fill up their tanks.

Mexican government policy is responsible for the price differences.
San Diego County's average cost for regular was $2.05 a gallon yesterday, according to the Auto Club of Southern California. Some stations are charging as little as $1.68. In Baja California, a gallon of unleaded gas is selling for about $2.35, a price set by the government.

It's a dramatic reversal from the summer, when gas prices in San Diego peaked at $4.69 a gallon, while Tijuana's reached $2.54. Drivers from both sides of the border flocked to Mexican gas stations, prompting long lines, gas shortages and government rationing.

Some Americans outfitted their trucks with extra-large tanks to make the most of their trip south.

Although the difference in price is much smaller now, Tijuana gasoline stations reported a drop of 25 percent in fuel sales in the past two weeks.

This comes despite the fact that the dollar is at an all-time high against the peso, making it more expensive for Mexicans to buy goods and services in dollars. Yesterday, $1 was worth about 13.4 pesos.

“If it weren't for the exchange rate, we would be seeing sales drops of up to 35 percent,â€

Mexican government policy is responsible for the price differences.

I see this sentence as

"Mexican government policy is responsible for _________"

Fill in the blank.

so why aren't we doing to them what they did to us? and preventing them from buying up our gas and driving up the price and demand?

Originally Posted by gemini282

so why aren't we doing to them what they did to us? and preventing them from buying up our gas and driving up the price and demand?

Their gas is government subsidised and ours isn't.