We’re excited to bring you our September market update, packed with key insights and trends in the logistics industry.
Market Overview
Van Market
Shipping volumes increased by 15% in September as we gear up for peak season. Dry van load-to-truck ratios rose by 22%, coming just 3% below the typical average for this time of year. Spot rates held steady at $1.61/mile, which is a slight increase from last year’s rates. Despite this, carriers are preparing for potential shifts as the holiday rush approaches.
Reefer Market
Reefer loads saw a modest 6% increase, but overall volumes are still 21% lower than last month’s. A slower produce season and delayed shipments, especially from California, contributed to the drop—volumes there were down 10% compared to last year. The load-to-truck ratio jumped 20%, now at 6.35. Spot rates stayed stable at $1.97/mile, though upcoming weather events could trigger fluctuations as recovery efforts get underway.
Flatbed Market
Flatbed loads grew by 6%, demonstrating resilience despite the impact of Hurricane Helene. The load-to-truck ratio has been rising for six weeks straight, reaching 13.35. Spot rates also saw a slight uptick, now averaging $1.99/mile, indicating strong demand for flatbed services.
Industry News
Hurricane Helene’s Freight Impact
The effects of Hurricane Helene led to a surge in load posts, especially for reefer shipments as shippers scrambled to relocate goods. Load volumes jumped by 52% in Tallahassee and by 16% across the Southeast. However, widespread power outages and road closures caused temporary freight delays, and recovery efforts are expected to continue in the coming weeks.
Port Strike Ripple Effects
The ongoing strike by dockworkers on the East and Gulf Coasts continues to disrupt the U.S. supply chain. Experts warn of potential delays and increased freight costs, particularly as the peak season approaches. Businesses may need to consider alternatives like air freight for quicker deliveries, but this comes with a higher price tag.
FMCSA Cracks Down on ELD Fraud
In response to concerns about falsified records, the FMCSA has intensified its efforts to tackle ELD (Electronic Logging Device) fraud. New regulations focus on stricter monitoring and removing non-compliant ELD providers, aiming to enhance safety across the transportation industry.
Conclusion
Thank you for keeping up with this month’s market report! As always, C&C Logistics Brokerage is dedicated to providing the latest industry insights and ensuring that your freight moves efficiently. Stay tuned for more updates as we navigate the ever-changing logistics landscape.