- Carriers Clawing Back Some Pricing Power
This week’s FreightWaves Supply Chain Pricing Power Index rose to 40, up from 35 last week, signaling a modest shift in pricing leverage toward carriers. Driven by tender rejection rates surging to their highest levels in over two years, this change reflects tightening capacity in the truckload market. However, the overall picture remains challenging for carriers, with volumes dipping ahead of the holidays and spot rates showing mixed trends. Declining Volumes and Market Fluctuations The seasonal holiday slowdown has caused a notable drop in freight volumes. The Outbound Tender Volume Index (OTVI), which measures national freight demand, fell 5.4% week over week and is down 2.43% compared to last year. Long-haul volumes experienced the least decline, falling 2.1%, while local volumes dropped a significant 11.1%. Despite the current softness, analysts expect a rebound after the holidays, though questions remain about the strength of the recovery… ...[TheTopNews] Read More.21 hours ago - FedEx to Spin Off Its LTL Operations in Coming Months
FedEx Corporation announced plans to separate its less-than-truckload (LTL) operation into a standalone public company, a decision reflecting growing investor interest in the high-value LTL market. This strategic move will split the country’s largest LTL operation from FedEx’s broader shipping business, enabling both entities to operate independently while collaborating on key initiatives. The separation comes after months of discussions sparked by analysts and investors advocating for FedEx to capitalize on the $9 billion LTL group’s market potential. LTL carriers, particularly non-union ones like FedEx Freight, have recently attracted higher valuations compared to traditional transportation companies, driving the timing of this decision. FedEx Freight currently handles an average of 92,000 shipments daily with approximately 30,000 power units from the company’s extensive fleet of over 155,000. CEO Raj Subramaniam emphasized that the separation will allow the freight division to respond more effectively to the unique dynamics of the LTL market… ...[TheTopNews] Read More.2 days ago - FMCSA Panel Calls for Solutions to Truck Parking Crisis
The Federal Motor Carrier Safety Administration (FMCSA) advisory committee convened on December 17 to address the growing truck parking crisis and recommend best practices for improving safety and convenience for drivers. The five-hour discussion underscored the urgency of creating additional parking spaces while highlighting the need for innovative, collaborative solutions beyond simply allocating more funds. Adrienne Gildea, deputy executive director of the Commercial Vehicle Safety Alliance and vice chair of the Motor Carrier Safety Advisory Committee (MCSAC), emphasized the importance of engaging diverse stakeholders, including state officials, trade groups, and the private sector. Gildea noted that while some states have successfully implemented solutions, the committee needs to study these practices further to establish a blueprint for nationwide improvements. “We need more parking spots,” Gildea stated, “but in the meantime, we must leverage existing infrastructure and figure out who’s doing it right.” Truck parking challenges directly impact road safety… ...[TheTopNews] Read More.3 days ago - California Gets Go-Ahead from EPA to Enforce Truck NOx Emissions Rules
The U.S. Environmental Protection Agency (EPA) has granted a waiver to the California Air Resources Board (CARB), enabling the state to enforce its Omnibus Low-NOx Emissions Regulation for heavy-duty vehicles and engines. This landmark decision supports California’s longstanding ability to set its own stringent emission standards under the Clean Air Act, a practice initiated in 1967 to combat its unique air quality challenges. The Omnibus regulation mandates a 90% reduction in nitrogen oxide (NOx) emissions from heavy-duty vehicles, updates testing procedures, and requires extended engine warranties. CARB asserts that these standards will mitigate harmful NOx pollution, which contributes to ground-level ozone, commonly referred to as smog. Nine other states, including New York, Oregon, and Washington, have adopted similar standards, emphasizing the regional significance of these rules. This waiver also extends to California’s Advanced Clean Cars II (ACCII) rule, propelling the state toward achieving 100% zero-emission vehicle sales by… ...[TheTopNews] Read More.4 days ago - Drayage Truckers Brace for Freight Surge Amid Tariff and Strike Threats
Drayage truckers at Southern California ports are facing a significant freight surge as importers race to avoid potential disruptions caused by looming tariffs and a possible dockworker strike. Retailers and shippers are scrambling to move goods into the U.S. ahead of the January 15 expiration of the current contract between the International Longshoremen’s Association (ILA) and the U.S. Maritime Alliance, as well as anticipated tariff increases under President-elect Donald Trump. Freight Surge at U.S. Ports The National Retail Federation (NRF) and Hackett Associates’ Global Port Tracker report projects container imports to surge over 14% year-over-year in the last months of 2024. This trend is expected to continue into early 2025, with January imports estimated at 2.2 million TEU (Twenty-Foot Equivalent Units), up 12% from the same period last year. The Port of Los Angeles recently reported record-breaking activity, handling over 905,000 TEUs in October—a 25% increase compared to… ...[TheTopNews] Read More.7 days ago
TRUCKERS REPORT – Trucks & Trucking | Business & Commerce
