A sluggish housing market, higher fuel prices and growing federal debt could lead to another freight recession in 2014, according to FTR Associates, a research firm that studies the trucking industry. But what is helping the industry now is a strengthening manufacturing climate and a solid export market. As 2014 nears, however, regulatory changes, such as hours-of-service revisions and potentially higher interest rates, thanks to that Continue Reading

An increase in market rates and freight volumes for refrigerated trailers indicates that things may be getting back to normal weather-wise after tumultuous storms hit the Midwest, South and Northeast in recent weeks and months. The 7 percent rise, according to TransCore’s Truckload Rate Index, is being attributed to the demand for seasonal produce that may have been put on hold or disrupted because of disruptions caused by Continue Reading

Fuel prices are taking an ever so slight plunge at the pump, albeit a short-lived one, according to seveal industry sources. A decline in demand is the main reason for the decrease in price, but continued uncertainty globally will prevent too significant of an improvement in price. According to the Energy Information Administration (EIA), the average cost of diesel in the U.S. is now $3.94 per gallon–a drop of just under 5 cents from last week– but a decline of 12 cents per gallon since the week of May 16. Declining fuel consumption can help reduce fuel prices, but many other factors affect Continue Reading

Neither rain nor snow nor heat nor gloom of night, assures the U.S. Postal Service creed, will prevent your mail from being delivered. These days, the government agency could add a few more challenges they must overcome, such as neither aging vehicles nor fledgling finances. A new Government Accountability Report finds that refurbishing or replacing the USPS delivery fleet would cost in the billions of dollars, which it doesn’t have, leaving it no choice but to pay thousands per vehicle to maintain them. The report noted that most of these costs went to unscheduled Continue Reading

The trucking industry is getting strong enough to weather the effects of higher fuel prices, but not all small or medium-sized companies may make it. Research firm FTR Associates surmises that fuel prices have reached their peak, yet even despite the increases, it’s not slowing down fleets that are looking to replace older equipment. Orders for Class 8 vehicles have jumped by triple-digit percentage points–158 percent, according to ACT Research, which predicts those numbers could be even higher if fuel prices were lower. Not everyone will be able to survive the latest jump in fuel, but the Continue Reading

After taking multiple hits from the economic downturn, commercial truck dealers are encouraged by several indicators that bode well for the industry. Speaking at the American Truck Dealers annual convention and expo in Phoenix, ATD chairman Kyle Treadway outlined five reasons for the nation’s commercial truck dealers to be optimistic this year. Among those reasons are improvements in Continue Reading

Both the ports of Long Beach and Los Angeles have reported double-digit increases in container traffic for February compared to the same month a year ago. For the Port of Long Beach, that represented the 15th consecutive month of growth. Imports were up 12.4 percent, but exports were down by 1 percent. Empty container moves were up 25.3 percent; most are bound overseas for refilling. For the Port of Los Angeles, it reports a 10-plus Continue Reading

Looking ahead, executives from several truckload carriers speaking at the Truckload Carriers Association annual convention this week are concerned about inflation and driver shortages. Though it’s hard to predict when inflation will hit, the carriers know it’s coming, and are already keeping a watchful eye on controlling costs–made even more challenging by volatile fuel prices. Shipping rate increases will serve as part of the answer to covering Continue Reading

February marked the 19th consecutive month that manufacturing posted gains, according to the latest Manufacturing ISM Report On Business released on Tuesday, March 1. Performance in this sector is boosted by new orders, which are nearly outpacing inventories, and is positive despite the struggling housing industry and inflated materials costs. February’s report from the manufacturing sector indicates continuing strong performance as the PMI registered 61.4 percent, an increase of 0.6 percentage point when compared to January’s reading and the highest PMI reading since Continue Reading

Encouraging signs that the trucking industry is improving are being affected by the rising fuel prices, but it’s not drastic yet, according to research firm FTR Associates. Stronger freight demand and tightening capacity are allowing carriers to nudge shipping rates higher that help compensate for higher fuel costs. Struggling or marginal carriers will be most affected as they try to eke out profit, where more established and larger fleets will feel the sting. But this is also a very different trucking industry than the one that faced a similar oil price spike in 2008, Starks Continue Reading