The Weekly Freight Report for July 2, 2020
The Top 8 Stories in Freight
The USMCA-CUSMA-TMEC goes live… dry vans surge… rejections put the heat on rates… and carriers prepare for holiday theft. Get caught up on the top stories with The Weekly Freight Report:
1. USMCA is Officially in Effect
North America’s new trade agreement, USMCA-CUSMA-TMEX is officially live. And Freightwaves is saying it’s a “bright spot” for industry uncertainty. This is a big win for shippers as a whole… Check out what this new trade agreement entails.
2. Big Surge in Dry Van Volume
Dry van volume spiked 20% over the last week. It really wasn’t as surprise as produce season has pushed capacity for weeks and now we enter the big July 4th holiday push to get product on shelves. The more interesting view is how the 2020 freight market stacks up to past years on load-to-truck ratios, rates, and summer forecasts. Be sure to check out the charts to get a feel for what’s going on… and what’s about to happen.
3. Rejections Put the Heat on Rates
You can put this one in the “I told you so” file… tender rejections jumped again this week ahead of the U.S. holiday and volume is up 20% year over year. Expect capacity to continue to be tight through the middle of next week as shippers rush to get products on the shelves… get the complete details here.
4. Cargo Theft Expected to Pick Up This Week
Carriers should be prepared for increased cargo theft this week. With many shippers and receivers being closed for the holiday weekend, carriers will likely experience longer stage times and lower security staffing. Keep your freight safe and read up on these safety tips.
5. SoCal is the New Hub for Domestic Freight
The rate-suppressed truckload market has shippers leveraging west coast ports. And the numbers are a bit shocking… TL volumes out of L.A. are up 19% YOY… and intermodal volumes are up 10% YOY. Check out the complete details here.
6. Bulging Inventory at New Highs
2020 retail closures led do stockrooms full of inventory. And it’s lead to the highest inventory-to-sales ratios… EVER. This is causing shippers to revaluate inventory management moving forward. From repurposing stale inventory to working with 3PLs to find warehouse space to stock excess inventory… retailers will inevitably take a hit trying to make use of extra product. Get the details.
7. Digital Freight at Your Finger tips
It’s digital freight management at your fingertips… and it’s exactly what shippers expect out of today’s digital freight brokerage. Get a quote… book a load… track-and-trace in real-time… and never search for invoices, PODs, BOLs, receipts or load details again. The digital freight platform from FLS means smarter, faster, smoother load management for all our shippers… and it’s 100% free… check out all the goodness and get signed up today.
8. Supply Chain Leaders Work Towards Resilience
What does a resilient supply chain look like? Supply Chain Dive says it includes sourcing shifts… visibility tech investments… strategic partners…and carrier diversification. A recent survey shows 55% of companies plan on developing these capabilities within 2-3 years. Check out the game plan for navigating future disruption.
Need help moving freight across North America? FLS can help. Our network of 54,000 carriers and 400,000 trucks is a great asset to any shipper… and our service levels are impeccable. Give us a try… Get a quote today!
