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Maryland awards contract for Francis Scott Key Bridge rebuild after deadly collapse

BALTIMORE (AP) — Maryland transportation leaders on Thursday approved a contract for rebuilding the Francis Scott Key Bridge several months after the 1.6-mile (2.6-kilometer) steel span collapsed under the impact of a massive container ship that lost power and crashed into one of its supporting columns. In the immediate aftermath of the deadly March 26 collapse, officials quickly promised to rebuild the bridge — a longstanding Baltimore landmark and vital piece of transportation infrastructure. They cited a 2028 completion date and estimated the project would cost $1.7 billion and would include significantly more pier protection to better defend against future wayward ships. At a monthly meeting Thursday morning, the Maryland Transportation Authority board awarded a $73 million contract for the first phase of the project to Kiewit Infrastructure, which calls itself “one of North America’s largest and most respected engineering and construction organizations.” Bruce Gartner, executive director of the Maryland Transportation Authority, said the contract award signifies a big step forward in the recovery and rebuild process. “This really represents such an order of magnitude bigger than all our previous milestones,” he said in an interview Thursday. He said the agency hopes to release renderings of a preliminary design within the next few months, which will give the public an idea of what the new bridge will look like. Kiewit was founded in 1884 to provide masonry services in Omaha, Nebraska, according to its website. Its notable past projects include the Fort McHenry Tunnel under Baltimore’s harbor, which opened in 1985. More drivers have been using the tunnel since the bridge collapse eliminated one of three water crossings that allowed them to bypass downtown Baltimore. Gartner said the state has worked with Kiewit before and that the company has managed construction of major water crossings with maritime activity similar to the Key Bridge. “We look forward to partnering with the Maryland Transportation Authority, many local subcontractors and suppliers, and our strong craft workforce to safely deliver and restore this vital transportation link in the city of Baltimore and the greater region,” the company said in a statement Thursday. In announcing their recommendation to the board, state transportation officials said the company’s proposal was ranked first for its technical contents despite being somewhat more expensive than others. Officials said the project will advance in two phases, with the first focusing on the design work and other necessary steps before construction begins, which could include demolition of the remaining pieces of the bridge that are still standing. Phase one is expected to be completed within a year. Kiewit will have “exclusive negotiating rights” for the second phase, transportation officials said in a statement following the board meeting. “In the event a guaranteed maximum price is not agreed upon, the MDTA will deliver the work under a separate contracting mechanism,” the statement read. Officials have said the new bridge will be somewhat taller than the old one to accommodate ever-larger ships entering Baltimore’s harbor. The original Key Bridge took five years to construct and opened in 1977. The March bridge collapse killed six members of a road work crew who were filling potholes on the bridge when it came crashing down into the water below. Baltimore’s busy port was closed for months after the collapse and increased traffic congestion in the region remains a problem for drivers. An FBI investigation is ongoing into the circumstances leading up to the collapse, including power outages experienced by the cargo ship Dali while it was still docked in Baltimore. The state transportation board also on Thursday approved a proposal to remit the proceeds from a recent $350 million insurance payout to the federal government. They called the decision a show of good faith as discussions continue about whether the federal government will cover 100% of the cleanup and rebuilding costs. Chubb, the company that insured the bridge, made the $350 million payout to the state, officials said this week. Ongoing litigation will ultimately determine other assignments of liability in the bridge collapse, which could become one of the most expensive maritime disasters in U.S. history. Impacted businesses have joined Baltimore’s mayor and city council in filing claims arguing the owner and manager of the Dali should have to pay damages. Underwood Energy, a Baltimore-based company that transports hazardous materials, filed a new claim Thursday based on revenue losses associated with the bridge collapse. Hazmat trucks are not allowed in two tunnels under the Baltimore harbor, so those vehicles “now must make a 30-mile detour to cross the Patapsco River,” the complaint says. The federal government generally picks up 90% of the tab and the state 10% when replacing disaster-damaged interstate highways and bridges, but the Biden administration and members of Maryland’s congressional delegation are pushing congressional lawmakers to approve a 100% reimbursement. Officials have said they expect that federal taxpayers will eventually be made whole for replacing the bridge through insurance payouts and damages, but that may take a while.

NTSB finds multiple safety lapses, including driver fatigue, in 2022 fatal collision between semi-truck and party bus

​​WASHINGTON — The National Transportation Safety Board (NTSB) is recommending stronger state and federal regulations for motor carriers — particularly concerning driver hours of service — following a report on a fatal collision between a semi-truck and a bus that took place in December 2022 in Williamsburg, Virginia, which resulted in three deaths and multiple injuries.​ “The NTSB determined that the truck driver’s lack of response to the slower-moving bus was due to fatigue from excess driving time and lack of sleep opportunity,” the NTSB said in a media release. “The truck’s motor carrier, Triton Logistics, created fictitious driver accounts for its vehicles’ electronic logging device systems that allowed drivers to exceed federal hours-of-service regulations and drive while fatigued. The investigation also determined that the bus’s significantly slower speed contributed to the severity of the crash.” According to a press release, the crash occurred on Dec. 16, 2022 when the semi-truck collided with the rear of the slower-moving bus on Interstate 64. The bus was traveling at 20 to 25 miles per hour in the right lane, while the truck was traveling at 65 to 70 miles per hour with cruise control engaged. The speed limit on I-64 is 70 miles per hour. “The truck driver did not brake or take any evasive action as the truck approached the bus,” the release said. “The collision caused the roof and sidewalls of the bus to detach, exposing the occupants. The bus then rotated, crossed the lane, and breached the guardrail. As a result, three bus occupants died, nine occupants and the truck driver sustained serious injuries, and 11 bus occupants sustained minor injuries.” As a result of the investigation, the NTSB is issuing six new recommendations and reiterating three previous recommendations. New recommendations include: The Federal Motor Carrier Safety Administration should strengthen electronic logging device requirements to prevent opportunities for the creation of fake driver accounts. The Commonwealth of Virginia should offer management safety guidance to new intrastate motor carrier licensees covering license class, drug and alcohol testing, fatigue management, vehicle maintenance, and safe commercial vehicle operation. Triton Logistics should implement a process to regularly verify the accuracy of drivers’ records of duty, implement a robust fatigue management program, and proactively use onboard inward- and forward-facing video event recording to improve driver training. The Commercial Vehicle Safety Alliance should use this crash to educate its members on the importance of safeguarding the electronic logging device system to prevent falsification of information. Reiterated recommendations include: ​The National Highway Traffic Safety Administration should complete the development and application of performance standards for the assessment of forward collision avoidance systems in commercial vehicles. NHTSA should also require that all buses and trucks over 10,000 pounds be equipped with onboard video recorders that record parametric data associated with an event. The Federal Motor Carrier Safety Administration should provide guidance to motor carriers on the use of onboard video recordings to ensure driver compliance with regulations and safe operations. The full report on crash investigation is available on the NTSB’s website. To report an incident/accident or if you are a public safety agency, please call 1-844-373-9922 or 202-314-6290 to speak to a Watch Officer at the NTSB Response Operations Center (ROC) in Washington, DC (24/7).

Questions about the safety of Tesla’s ‘Full Self-Driving’ system are growing

DETROIT — Three times in the past four months, William Stein, a technology analyst at Truist Securities, has taken Elon Musk up on his invitation to try the latest versions of Tesla’s vaunted “Full Self-Driving” system. A Tesla equipped with the technology, the company says, can travel from point to point with little human intervention. Yet each time Stein drove one of the cars, he said, the vehicle made unsafe or illegal maneuvers. His most recent test-drive earlier this month, Stein said, left his 16-year-old son, who accompanied him, “terrified.” Stein’s experiences, along with a Seattle-area Tesla crash involving Full Self-Driving that killed a motorcyclist in April, have drawn the attention of federal regulators. They have already been investigating Tesla’s automated driving systems for more than two years because of dozens of crashes that raised safety concerns. The problems have led people who monitor autonomous vehicles to become more skeptical that Tesla’s automated system will ever be able to operate safely on a widespread scale. Stein says he doubts Tesla is even close to deploying a fleet of autonomous robotaxis by next year as Musk has predicted it will. The latest incidents come at a pivotal time for Tesla. Musk has told investors it’s possible that Full Self-Driving will be able to operate more safely than human drivers by the end of this year, if not next year. And in less than two months, the company is scheduled to unveil a vehicle built expressly to be a robotaxi. For Tesla to put robotaxis on the road, Musk has said the company will show regulators that the system can drive more safely than humans. Under federal rules, the Teslas would have to meet national standards for vehicle safety. Musk has released data showing miles driven per crash, but only for Tesla’s less-sophisticated Autopilot system. Safety experts say the data is invalid because it counts only serious crashes with air bag deployment and doesn’t show how often human drivers had to take over to avoid a collision. Full Self-Driving is being used on public roads by roughly 500,000 Tesla owners — slightly more than one in five Teslas in use today. Most of them paid $8,000 or more for the optional system. The company has cautioned that cars equipped with the system cannot actually drive themselves and that motorists must be ready at all times to intervene if necessary. Tesla also says it tracks each driver’s behavior and will suspend their ability to use Full Self-Driving if they don’t properly monitor the system. Recently, the company began calling the system “Full Self-Driving” (Supervised). Musk, who has acknowledged that his past predictions for the use of autonomous driving proved too optimistic, in 2019 promised a fleet of autonomous vehicles by the end of 2020. Five years later, many who follow the technology say they doubt it can work across the U.S. as promised. “It’s not even close, and it’s not going to be next year,” said Michael Brooks, executive director of the Center for Auto Safety. The car that Stein drove was a Tesla Model 3, which he picked up at a Tesla showroom in Westchester County, north of New York City. The car, Tesla’s lowest-price vehicle, was equipped with the latest Full Self-Driving software. Musk says the software now uses artificial intelligence to help control steering and pedals. During his ride, Stein said, the Tesla felt smooth and more human-like than past versions did. But in a trip of less than 10 miles, he said the car made a left turn from a through lane while running a red light. “That was stunning,” Stein said. He said he didn’t take control of the car because there was little traffic and, at the time, the maneuver didn’t seem dangerous. Later, though, the car drove down the middle of a parkway, straddling two lanes that carry traffic in the same direction. This time, Stein said, he intervened. The latest version of Full Self-Driving, Stein wrote to investors, does not “solve autonomy” as Musk has predicted. Nor does it “appear to approach robotaxi capabilities.” During two earlier test drives he took, in April and July, Stein said Tesla vehicles also surprised him with unsafe moves. Tesla has not responded to messages seeking a comment. Stein said that while he thinks Tesla will eventually make money off its driving technology, he doesn’t foresee a robotaxi with no driver and a passenger in the back seat in the near future. He predicted it will be significantly delayed or limited in where it can travel. There’s often a significant gap, Stein pointed out, between what Musk says and what is likely to happen. To be sure, many Tesla fans have posted videos on social media showing their cars driving themselves without humans taking control. Videos, of course, don’t show how the system performs over time. Others have posted videos showing dangerous behavior. Alain Kornhauser, who heads autonomous vehicle studies at Princeton University, said he drove a Tesla borrowed from a friend for two weeks and found that it consistently spotted pedestrians and detected other drivers. Yet while it performs well most of the time, Kornhauser said he had to take control when the Tesla has made moves that scared him. He warns that Full Self-Driving isn’t ready to be left without human supervision in all locations. “This thing,” he said, “is not at a point where it can go anywhere.” Kornhauser said he does think the system could work autonomously in smaller areas of a city where detailed maps help guide the vehicles. He wonders why Musk doesn’t start by offering rides on a smaller scale. “People could really use the mobility that this could provide,” he said. For years, experts have warned that Tesla’s system of cameras and computers isn’t always able to spot objects and determine what they are. Cameras can’t always see in bad weather and darkness. Most other autonomous robotaxi companies, such as Alphabet Inc.’s Waymo and General Motors’ Cruise, combine cameras with radar and laser sensors. “If you can’t see the world correctly, you can’t plan and move and actuate to the world correctly,” said Missy Cummings, a professor of engineering and computing at George Mason University. “Cars can’t do it with vision only,” she said. Even those with laser and radar, Cummings said, can’t always drive reliably yet, raising safety questions about Waymo and Cruise. (Representatives for Waymo and Cruise declined to comment.) Phil Koopman, a professor at Carnegie Mellon University who studies autonomous vehicle safety, said it will be many years before autonomous vehicles that operate solely on artificial intelligence will be able to handle all real-world situations. “Machine learning has no common sense and learns narrowly from a huge number of examples,” Koopman said. “If the computer driver gets into a situation it has not been taught about, it is prone to crashing.” Last April in Snohomish County, Washington, near Seattle, a Tesla using Full Self-Driving hit and killed a motorcyclist, authorities said. The Tesla driver, who has not yet been charged, told authorities that he was using Full Self-Driving while looking at his phone when the car rear-ended the motorcyclist. The motorcyclist was pronounced dead at the scene, authorities reported. The agency said it’s evaluating information on the fatal crash from Tesla and law enforcement officials. It also says it’s aware of Stein’s experience with Full Self-Driving. NHTSA also noted that it’s investigating whether a Tesla recall earlier this year, which was intended to bolster its automated vehicle driver monitoring system, actually succeeded. It also pushed Tesla to recall Full Self-Driving in 2023 because, in “certain rare circumstances,” the agency said, it can disobey some traffic laws, raising the risk of a crash. (The agency declined to say if it has finished evaluating whether the recall accomplished its mission.) As Tesla electric vehicle sales have faltered for the past several months despite price cuts, Musk has told investors that they should view the company more as a robotics and artificial intelligence business than a car company. Yet Tesla has been working on Full Self-Driving since at least 2015. “I recommend anyone who doesn’t believe that Tesla will solve vehicle autonomy should not hold Tesla stock,” he said during an earnings conference call last month. Stein told investors, though, they should determine for themselves whether Full Self-Driving, Tesla’s artificial intelligence project “with the most history, that’s generating current revenue, and is being used in the real world already, actually works.”

Seeing employees as more than ‘just a number’ is key to attracting, retaining quality drivers

Truck drivers are a vital link in the supply chain. In fact, it could well be said that they’re the backbone of America’s economy. These men and women navigate tractor-trailers packed with cargo up and down the interstates, along the back roads and through crowded city streets at all hours of the day and night. And even when the rest of the world stops because of an emergency or disaster, truck drivers … well, they keep on trucking. Each September, the industry celebrates National Truck Driver Appreciation Week. This year, it’s September 15-21. It’s a time when motor carriers, shippers, receivers and the general public honor these hardworking professionals. While the average citizen might think a week is plenty of time to thank drivers for doing their jobs, others — such as truckload carriers — know that it takes a 365-day approach to make sure drivers feel appreciated. Turnover rates in the trucking industry are an ongoing concern. A recent survey of truck drivers, conducted by Conversion Interactive Agency, found that 40% are looking for a new job, and it’s estimated that empty seats at motor carriers could double by 2031. A few of the reasons for drivers’ unrest include a lack of feeling appreciated, concerns over health and safety, and low pay. Find a balance Many carriers — especially the successful ones — recognize the importance of finding a balance between the company’s bottom line and creating an atmosphere that attracts (and keeps) qualified drivers. Michelle Duggins, a driver for Boyle Transportation, jokes that early in her career she felt like “just a monkey holding the steering wheel.” That changed once she started driving as part of a team for Boyle, she says. “I feel — and they make me feel — like they appreciate me all the time. It’s all about knowing that I did the job, I did the job well — and them knowing it as well,” she said. “It’s not just about one week out of the year. It’s about the recognition all the time of the fact that you’re out here doing a job. “You’re putting your life on the line (out here on the road),” she continued. “And then, when you walk into the office, you get a smile from everybody and they’re like, ‘I’m so glad you’re here! Let us buy you lunch.’” Laura Duryea, director of driver recruitment and professional growth at Boyle, and a former driver herself, knows the importance of making drivers feel valued every day of the year. “Think about it,” she said. “A driver appreciation picnic is once a year. If you’re not extending that support and that hand up and those encouraging words (the rest of the year), then your drivers aren’t going care about doing a good job for your company.” Not just a number Graig Morin, president and co-founder of Brown Dog Carriers and Logistics, says he remembers feeling like “just another number” when he began his trucking career as a driver. “My number was 301, and that absolutely drove me crazy,” he said. “And I said, ‘When I have my own company, I will not have a driver that is a number.’ Here, everyone has a name.” Pat French, director of recruiting and retention at Modern Transportation, agrees. “There’s a phrase that gets thrown around in the trucking industry: ‘We’ll treat you like family.’ Here, it really feels that way,” he said, adding that some companies have so many drivers that they’re assigned a number for easier tracking. “Here, we have the luxury of asking for a name,” French said. “If a driver calls in, nobody asks for a driver number. We ask for their name. “We need as an industry to treat the driver as a partner, not just an employee,” he continued. “You have to be there for them. And if you’re going to make a promise to a driver, you need to deliver on that promise. Do what you say, say what you mean.” The most important thing, French says, is to always remember the vital role drivers play at a motor carrier. “The corporate and office staff don’t generate any revenue,” he said. “The revenue’s generated by the drivers. If we don’t have any drivers, we don’t have a company.” Provide support Duryea says it’s also vital that motor carriers give drivers the support they need. “When drivers are able to do their job effectively, it affects your business in the end, because you have happy drivers,” she said. “If you don’t have high turnover and you retain drivers, then those drivers become more experienced. They get to know your customers and can provide a better customer service experience for your customers,” she said. “It’s all interconnected.” Company culture For David Pike, director of recruiting for NFI, culture is the name of the game — and culture is all about human interaction, something he says is sometimes all too easy to forget. “People leave companies because of people. Not because of home time, not because of anything else. They leave because of people,” he said. Because of this, he says, NFI works to provide drivers with the resources they need to succeed both professionally and personally. “It all starts with human engagement from our management teams across all business units and platforms,” he said. “You have to engage your people, you have to engage them frequently, and it has to be genuine.” Often, when management asks drivers what they want, the first answer is “more money.” However, Pike notes, money is no substitute for company culture that places personal value on each employee — and that begins at the top, in the “corner office,” so to speak. Pike says the NFI team has a mantra, one he attributes to Bob Knowles, the company’s president of transportation. “Culture beats out strategy every time,” he said. “This is something we all believe in. As a people leader, our boss has allowed us to embrace this concept.” Drivers, Morin said, just want to feel respected, and Brown Dog’s way of doing that is by getting to know each employee. “You’ve got to learn who each driver is — what they like and what they don’t like,” he said. “Some drivers like Oreos, some like chocolate chip cookies. Some drivers don’t mind working in the city, some hate working in the city.” Open communication Like French, Duryea and Pike, Morin believes that maintaining open lines of communication is vital to driver satisfaction and productivity. “Our door is open. If we’re here, drivers know they can come in and chat, even if it’s just to say hi,” Morin said. “I’m trying to build a company that, as a driver, I would want to work for. I spent 20 years driving a truck for other people — and some of it was great and some not so great.” The most important thing, according to many retention specialists, is to be aware of drivers’ needs and wants. Drivers need more than just a day or week filled with parties, prizes, gifts and free food. “I don’t care how many cookouts you have, if you don’t hop on the phone and spend time learning about your drivers — asking about their families and what’s going on — and then doing things to help support their values, you’re missing the mark,” Pike concluded. Co-written by John Worthen and Linda Garner-Bunch This story originally appeared in the September/October 2024 edition of Truckload Authority, the official magazine of the Truckload Carriers Association.

Former Missouri mayor sentenced in fraud scheme, identity theft of truckers

SPRINGFIELD, Mo. – A former mayor and alderman of Willard, Mo., was sentenced in federal court on Monday for a five-year-long scheme in which he used personal identity information to steal nearly $300,000 from more than 500 truck drivers who worked for his employer. Corey Louis Hendrickson, 46, of Springfield, Mo., was sentenced by U.S. District Judge Brian C. Wimes to three years in federal prison without parole. The court also ordered Hendrickson to pay $298,737 in restitution. According to the United States Attorney’s Office for the Western District of Missouri, on Oct. 24, 2023, Hendrickson pleaded guilty to one count of wire fraud and one count of aggravated identity theft. Hendrickson, who served as Willard’s mayor from 2015 to 2021 before being elected as an alderman in 2022, resigned from his position on the Willard Board of Aldermen the same day. The release noted that Hendrickson admitted that he gained unauthorized access to the fuel expense accounts of more than 500 individuals and conducted more than 1,000 fraudulent transactions that resulted in at least $298,737 being stolen from his victims. Hendrickson’s fraud scheme lasted almost five years, from Sept. 9, 2016, to Aug. 17, 2021. Hendrickson worked as a fleet dispatcher for Prime Incorporated, a freight transportation and logistics trucking company that is headquartered in Springfield. Prime contracted with ComData to serve as a payment processor and issuer of fleet fuel cards, and to maintain the financial accounts of Prime drivers that were used to pay for fuel costs as needed by the truck drivers.  Prime put funds into each driver’s ComData account, which was then utilized for driving expenses such as fuel. ComData cards were used by the drivers like a bank card. Hendrickson used his computer access to steal the identity information of drivers and withdraw nearly $300,000 from the accounts intended to pay for the fuel costs for drivers employed by Prime. He transferred the stolen funds into his personal bank accounts. According to court documents, Hendrickson’s victims incurred losses that ranged between less than $100 to $6,495, with the average loss of a few hundred dollars for each Prime driver’s account. This case was prosecuted by Assistant U.S. Attorney Patrick Carney. It was investigated by the U.S. Secret Service and the Springfield, Mo., Police Department.

‘Seismic shifts’ contributing to for-hire woes in freight industry 

COLUMBUS, Ind. — ACT Research is citing multiple reasons for the large for-hire freight downturn, according to the latest Freight Forecast: U.S. Rate and Volume OUTLOOK report.   “While the TL spot market continues to make gradual progress, seismic shifts in private fleet capacity are forestalling strong for-hire conditions,” said Tim Denoyer, ACT Research’s vice president and senior analyst. “We’ve been surprised at the magnitude of equipment overbuying over the past year, but Class 8 tractor sales are normalizing from a medium-term perspective.”  According to ACT, private fleet capacity additions, inbound insourcing, and increased spot market presence have dragged out the for-hire freight downturn for at least a year.  “Tractor sales were impacted by mirror supply in Q2, and briefly dipped below replacement in June, before surging in July as those vehicles were completed and delivered,” Denoyer said. “So, the industry still isn’t finished adding capacity. Even as lower equipment supply is increasingly likely, private fleet capacity additions remain a feature of the cycle in the near-term. In our view, this is a big reason for-hire demand remains soft, even as the near-record July import level is emblematic of growing consumer demand, the start of a broad restock, and likely a decent peak season ahead.”  According to a media release, DAT aggregate spot rate, net fuel, is at $1.75 in early August (SA), up marginally from $1.68 in Q4’23, and the seasonally adjusted load/truck ratio is currently 6.7:1.  “The DAT load/truck ratio isn’t exactly a scale of 1 to 10,” the release said. “It can go way past 11. It reached the mid-teens in 2017 and early 2018 and the high teens during 2021, peaking above 20. The current 6.7 SA level suggests spot rates will continue to grind gradually higher.”  The monthly 58-page ACT Freight Forecast report provides analysis and forecasts for a broad range of U.S. freight measures, including the Cass Freight Index, Cass Truckload Linehaul Index, and DAT spot and contract rates by trailer type. The service provides monthly, quarterly, and annual predictions for the TL, LTL, and intermodal markets over a two- to three-year time horizon, including capacity, volumes, and rates. The Freight Forecast provides unmatched detail on the freight rate outlook, helping companies across the supply chain plan with greater visibility and less uncertainty. 

Diesel prices drop again for the seventh straight week

Falling diesel prices for seven straight weeks is a good kind of redundant. That is exactly where the diesel market is this week, moving down another three cents. Last week’s national average stood at $3.688 dropping to $3.651 this week. Each region showed a decline in price. All of them except the Central Atlantic, and two of the three West Coast regions showed a decrease of at least three cents per gallon. New England, Midwest, and Rocky Mountain reporting regions each came in five cents below last week’s average price. In New England the price fell from $4.019 to $3.969 while the Midwest fell from $3.674 to $3.627. The Rocky Mountain region has fallen by nine cents in two weeks from $3.697 two weeks ago to $3.650 last week to $3.608 this week.

USDOT hosts virtual meeting to address concerns about EV safety

WASHINGTON — In the wake of last week’s crash and large fire along a California freeway involving an electric Tesla Semi that has drawn the attention of the National Transportation Safety Bureau (NTSB), the US Department of Transportation (USDOT) announced plans to host a virtual meeting on Tuesday, Aug. 27, to address concerns regarding the safety of lithium-ion batteries. “The 150,000 men and women [the Owner-Operator Independent Drivers Association] (OOIDA) is proud to represent make their living on the road, which is why roadway safety is our top priority,” said Todd Spencer, OOIDA president. “We are pleased that USDOT is looking into the unintended safety consequences related to EV battery fires particularly in the wake of the massive fire that shut down I-80 in California just last week.” According to USDOT, the event will be broadcast virtually for the audience, representatives from DOT and other agencies and organizations will discuss EVs and fire safety topics related to lithium-ion batteries. The format will include presentations with an opportunity for the audience to ask questions after each topic. Materials presented will be available on the Federal Register (Docket No. DOT-OST-2024-0092) and this page, on or before September 4. Topics The Battery Safety Post-Incident Stakeholder Meeting will convene experts across USDOT Operating Administrations and other federal agencies responsible for vehicle and fire safety, as well as organizations and members of the public with expertise or interest in areas of battery safety, EV standards, and emergency management services. Topics covered will include: Stranded energy. Fire incident response. Heavy vehicle consideration. Damaged EV response. EV water immersion. Emerging battery technologies. Registration and Supplemental Information Registration is free but required for all attendees. Register for the Zoom webinar by August 26. Session are scheduled from 9 a.m. – 12:30 p.m. (EST). According to USDOT, the department is committed to providing equal access to this meeting for all participants. Persons with disabilities in need of an accommodation should contact Mirna Providence at 617-494-3344 or via email at  [email protected] with your request as soon as possible. Closed captioning services will be available. Should it be necessary to cancel or reschedule the event due to an unforeseen circumstance, DOT will take all available measures to notify registered participants as soon as possible. Privacy Act notice: The event will be recorded, and a recording will be posted here after the event. Any comments made or questions asked by participants will be included in the publicly available information available in the Federal Register, Docket No. DOT-OST-2024-0092. See information on DOT’s compliance with the Privacy Act. If you have any questions or comments, feel free to reach out to the meeting organizers at [email protected].

ATRI asks trucking industry members to rank their top concerns

WASHINGTON — The American Transportation Research Institute (ATRI), the trucking industry’s not-for-profit research organization, is asking for industry workers to participate in the newly-launched 2024 Top Industry Issues Survey.   “For the past two decades, the industry has relied on the annual Top Industry Issues Survey to highlight the challenges facing our nation’s supply chain,” said Andrew Boyle, Boyle Transportation co-president. “ATRI’s research provides an opportunity for thousands of trucking industry professionals, from drivers to executives, to weigh in on the most critical topics that affect our day-to-day operations and collectively decide on the best strategies for addressing each.”  According to a media release, the annual survey asks trucking industry stakeholders to rank the top issues of concern for the industry along with potential strategies for addressing each issue. Now in its 20th year, ATRI’s annual analysis not only ranks the issues overall but also provides insights into how critical topics are ranked differently by motor carriers and professional drivers. The report also allows trucking stakeholders to monitor issues over time to better understand which issues are rising, or falling, in criticality.    “Every year ATRI’s annual survey gives drivers an opportunity to make our collective concerns known,” said  Chevelle Walker, an America’s Road Team Captain and professional truck driver for Werner Enterprises. “Whether your top challenge is truck parking, driver compensation, detention, traffic congestion or something else, this is your chance to bring those issues to light. Please take a few minutes to complete the online survey and encourage your peers to do so also.”    The results of the 2024 survey will be released October 12 as part of the American Trucking Associations Management Conference & Exhibition to be held in Nashville, Tennessee. Industry stakeholders are encouraged to complete the 2024 survey available by clicking here. The survey will remain open through September 27. 

Mississippi FedEx driver earns title of ATA Grand Champion

INDIANAPOLIS, Ind. — The American Trucking Associations awarded FedEx driver Jackie Reed of Mississippi, the Bendix Grand Champion at the 2024 National Truck Driving & Step Van Championships. “Jackie demonstrated the precision and professionalism we have come to expect from NTDC champions,” said American Trucking Associations President and CEO Chris Spear. “While all of our competitors are champions, he separated himself from even this elite field, showing the skills that have produced three million miles of accident-free driving over his 34 year career. Congratulations to him and to all our NTDC participants.” Known as the “Super Bowl of Safety,” ATA’s National Truck Driving & Step Van Championships took place Aug. 21-24 in Indianapolis, bringing together 422 drivers from 49 states with a combined total of nearly 685 million accident-free miles. Over the past few days, the drivers competed in a variety of events designed to measure their driving prowess, industry knowledge and dedication to safety.  Reed took home the Bendix Grand Champion award, as well as first place in the tank truck vehicle class. Reed has been a professional driver for 34 years, accumulating three million safe driving miles.  In 2022, he was named the Mississippi Grand Champion in the 3-axle category.  Last year, he took second place in Mississippi’s 2-axle category. In addition, ATA honored Todd Gimpel, a professional driver with FedEx Freight from Nebraska, with the 2024 Rookie of the Year Award, and the state of Colorado was crowned the team champion for having the highest collective score. “On behalf of all of ATA’s members, I want to congratulate Jackie – and all our winners – on competing and completing another tremendous NTDC,” said American Trucking Associations First Vice Chairman Dennis Dellinger, president and CEO of Cargo Transporters Inc. “Every year, I’m amazed at the passion and enthusiasm for this industry NTDC creates – starting with our state competitions and culminating with the naming of a Grand Champion. Congratulations to all the competitors, and thank you to all the dedicated volunteers who make this event so special,” he said. During the closing ceremonies, ATA also honored Richard Sweeney of XPO with the Neill Darmstadter Professional Excellence Award.  David Wiechers with ABF Freight was chosen as the Sam Gillette Lifetime Volunteer Award recipient. This year’s event included driving competitions across nine vehicle classes, vehicle inspection and a written exam. A full list of award winners is below. Step Van: Matthew Montandon, FedEx, Texas Scott Wickstrom, FedEx, Maine Travis Hutchinson, FedEx, Oregon Straight Truck: James Kohr, FedEx, New York Christopher Shaw, FedEx, New Mexico Corey Mitchell, FedEx Freight, Louisiana 3-Axle: David Mogler, FedEx Freight, Colorado Ritch Fundell, FedEx Freight, Illinois Daniel Shamrell, FedEx Freight, Oregon 4-Axle: Joseph Hicks, XPO, Rhode Island Dustin Scholle, United Parcel Service Inc., Illinois Paul Swan, FedEx Freight, Colorado 5-Axle: Brandon Hardy, XPO, Nevada Eric Courville, FedEx Freight, Louisiana Nick Gaudette, Fedex Freight, Colorado Flatbed: Ruben Cortez, H-E-B Grocery Co., Texas Larry Rhein, FedEx Freight, Arkansas Martin McMahon, RIST Transport, New York Tank Truck: Jackie Reed, FedEx Freight, Mississippi Glen Kirk, Old Dominion Freight Line, Inc., Indiana Terry Covey, FedEx Freight, Kansas Twins: Connor Dent, FedEx Freight, Wisconsin Michael Flippin, FedEx Freight, Colorado Jeffrey Cochran, FedEx Freight, Arkansas Sleeper Berth: Gregory Ryan, Walmart Transportation LLC, Arizona Andrew Girdley, Walmart Transportation LLC, Missouri James Dixon, A. Duie Pyle, Inc., Connecticut Vehicle Condition Award: James Quarles, Walmart Transportation LLC, South Carolina Written Exam: Ritch Fundell, FedEx Freight, Illinois Jason Damron, Convoy Systems LLC, Kansas State Team Award: Colorado Illinois New York

Driver’s body and vehicle recovered after truck plunges into British Columbia river

According to reports from Canadian news outlets, a semi truck plunged off a highway bridge into a lake in Sicamous, British Columbia, east of Kamloops. Officials said Sunday afternoon, Aug. 25, that the driver’s remains and the vehicle’s wreckage have both been recovered. Sicamous RCMP said in a press release on Saturday that their original response time was around 6:45 a.m., and that it was believed that the driver was the only person in the rig. The Columbia Shuswap Regional District (CSRD) and Sicamous Mayor Colleen Anderson say they wish to share their condolences with the driver’s family and friends. “It’s tragic, and our thoughts are with them right now,” Anderson said. The driver has yet to be publicly identified. The Bruhn Bridge, which runs along Highway 1, was closed in both directions for most of the day Saturday, according to reports. It was re-opened in the afternoon under controlled conditions with a speed limit of 30 kilometres per hour, as reported by DriveBC. “It’s a major transportation route,” Anderson said. “Our goods and service supplies go down [Highway] 1, so it’s imperative that we get that open and moving.” The CSRD added that repairs will begin on the bridge on Monday, after the RCMP reported that the bridge deck sustained “significant damage.” According to reports, before Saturday’s crash, there was a plan to replace the Bruhn Bridge, which is over 60 years old, with a new one that could support four lanes. The province’s project website states that construction is expected to start this fall. Anderson told CBC News Sunday that she “doesn’t see any changes” to that plan due to the crash. But, she said, it’s still important to repair the current bridge since the new one is expected to take around three years to build. “I think it’s still full steam ahead,” she said. “It’s a project that needs to move forward.” The B.C. Ministry of Transportation and Infrastructure said in a statement to CBC News Sunday afternoon that its staff are still investigating the damage to the bridge and are currently unable to comment on whether this changes the scope and timeline of the project. Tracy Hughes, the CSRD’s communications coordinator, told CBC News that the truck fell into the Mara Lake side of the bridge in an area locally known as the Sicamous Channel, where Mara Lake and Shuswap Lake meet. The province’s Ministry of Environment continues to assess the impact of diesel spilled from the truck and work on clean-up measures Sunday, the CSRD said. It has also said that Interior Health was alerted about the spill, but there doesn’t appear to be a significant risk to the area’s drinking water supplies. The truck’s cargo also doesn’t pose any public health hazard, according to the district. The CSRD and Anderson also asked the public to continue avoiding the area Sunday. The Canadian Broadcasting Corporation contributed to this report. 

Teamsters statement on strike notice to CN; situation remains fluid 

TORONTO — At 10:00 a.m. eastern today, the Teamsters Canada Rail Conference served CN with a strike notice effective Monday, August 26, at 10:00 a.m.  According to the statement, as meetings with the CIRB continue, the Board has yet to make a ruling that would force binding arbitration or end any work stoppage. To protect workers’ right to collectively bargain and frustrate CN’s attempt to force arbitration, the union will take strike action to pressure CN into negotiating an agreement.  “By sidestepping the collective bargaining process and ordering binding arbitration, the federal government has undermined the foundation on which labour unions work to improve wages and working conditions for all Canadians,” said Paul Boucher, president of the Teamsters Canada Rail Conference. Bargaining is also the primary way our union fights for rail safety—all considerations that outweigh short-term economic concerns.”   The release noted that the parties held a case management conference with the CIRB last night, and hearings are currently underway today to address preliminary issues. The timeline for a decision from the CIRB regarding the Minister’s referrals is still unclear at this time. The union is prepared to appeal to the federal court if necessary. 

Sales of new Class 8 trucks remain strong but declines expected by year-end

These are interesting times in the world of Class 8 truck sales. Inventory levels at dealers and body suppliers are up, and sales of New Class 8 trucks achieved their best month of the year so far in July. Build levels at the manufacturers are high, and the waiting period for new trucks grew shorter. At the same time, orders for new trucks fell sharply, expected for this time of year. The used Class 8 market is bursting at the seams with inventory, prices have dropped, and the available trucks are newer, too. However, truck loans are harder to come by. Financiers have tightened up lending requirements after experiencing a rash of defaults during the downturn in freight — and when loans are available, interest rates are higher. Trailer orders have slowed, too. That’s partially due to the season, but sales could also be impacted by financial factors. Publicly held carriers are reporting reduced income for the second quarter, and some companies may be choosing to put available cash towards pre-buying of tractors ahead of the planned changes for emissions standards set for 2027 by the Environmental Protection Agency. At least some of the blame for stagnant income levels is still aimed at private fleets. “Private fleets have taken around 6% market share from for-hire carriers since early 2023, leaving the for-hire market swimming in capacity despite rising freight volumes,” said Kenny Vieth, president and senior analyst at ACT Research. “For-hire carrier profitability remained at generationally low levels in Q2’24.” July stats In July, a total of 21,398 new Class 8 trucks were reported sold on the U.S. market, according to the latest data received from Wards Intelligence. That’s 18% higher than June sales of 18,134 and — for the first time this year — sales bested the same month of the previous year, by 1.8%. For the year to date, OEMs reported 134,965 new Class 8 trucks sold on the U.S. That’s down by nearly 22,000 trucks from the first seven months of 2023. Analysts have been predicting a slowdown in sales for the second half of 2024, but the market has been resilient so far. Part of the reason for that resiliency is undoubtedly sales to private fleets. Despite current low freight rates, private carriers that were badly burned by record-high spot freight rates in late 2021 and early 2022 are making sure their own fleets have the equipment to handle their product without relying on the spot market. Some are taking spot loads from the market, even at a loss, to keep those trucks busy. At while at the same time, they are now hauling the loads that were previously offered to brokers. As the freight market starts to recover, truck sales will eventually trend higher, especially as fleets pre-buy in anticipation of the 2027 model year EPA mandates on fuel economy and emissions, as noted previously. With the price of 2027 models expected to increase by $30,000 per truck or more, buyers will be clamoring for 2026 models to beat the increases. “We expect to see further reductions in backlogs once the final Class 8 market indicators are released later this month, as well as continued growth in an already-record level of inventory. The pressure on OEMs to reduce build rates continues to grow,” Dan Moyer, senior analyst, commercial vehicles at FTR Transportation Intelligence, said regarding the remainder of 2024. On the used Class 8 market, ACT Research reported that sales in July increased 38% over a slow June and were up 32% from July 2023 numbers. At the same time, the average price of used Class 8 units rose 3% from June but were still 20% under July 2023 sales figures. Average mileage increased slightly while the average age declined. At Commercial Truck Trader, the numbers were similar. A late July blog posting by Ryan Miller indicated the number of used commercial vehicles listed by the publication increased 37.2% from a year ago while the average price has fallen 20.3%. “With inventory levels at a six-year high and significant price drops across the board, savvy fleet owners are discovering that now is an exceptional time to invest in used trucks,” said Mac Molli at Jill Schmidt Public Relations, the firm representing Commercial Truck Trader. With profitability down and a waiting list for new equipment, shopping in the used market may be a favorable option for those who need equipment upgrades. In July, Freightliner led all OEMs reporting U.S. sales of 7,562 Class 8 trucks, up 24.5% from June and down just 0.6% from July 2023 sales. For the year-to-date, U.S. Class 8 sales have declined 19.9% compared with 14% average for all manufacturers. OEM performance for July Daimler-owned sibling Western Star is having a banner year, albeit on a different sales level. July sales of 885 Western Stars were 6.5% better than June’s 831 — but were 30% better than July 2023 sales of 681. Year to date, the company is the only manufacturer running ahead of last year’s pace, with 6,061 Class 8 trucks sold compared to 4,354 at the seven-month mark last year. That’s an increase of 39.2%. Navistar (International) sales declined sharply in July to 2,290 Class 8 trucks compared to 3,039 in June. Year to date sales of 13,518 represent a 39.1% decline from last year’s 22,184 in the first seven months. Volvo Truck’s 2,139 units sold in July bested June’s tally of 1,991 by 6.5% and July 2023 sales by 10%. Year to date, Volvo sales lag 8.9% behind last year’s pace — 14,082 compared to 15,541. Volvo sibling Mack Trucks has seen similar results. With sales of 1,480 Class 8 trucks in July, the company increased sales 8.7% over the 1,362 reported in June. Compared to July 2023, sales rose an even 10%, and the company’s year to date sales of 9,339 are 9.1% behind last year’s 10,278 for January-July. Peterbilt’s year-to-date sales of 22,163 are a miniscule 42 trucks ahead of last year’s 22,121. Sales of 3,534 in July bested June’s 3,298 by 7.3%. Sales for Paccar sibling Kenworth stood at 3,490, 15.3% better than June’s 3,026. Year to date, Kenworth’s 2,196 is 2.5% behind last year’s 21,745. Market shares in the U.S. look like this: Freightliner — 35.9%; Peterbilt — 16.4%; Kenworth — 15.7%; Volvo — 10.4%; International — 10%; Mack — 6.9%; and Western Star — 4.5%. The remaining two-tenths belong to Hino, which has sold 111 Class 8 trucks this year.

Teamsters cry foul as government forces arbitration in Canadian rail dispute

TORONTO — Freight trains in Canada could be running again within days after the government forced the country’s two major railroads into arbitration with their labor union Thursday, Aug. 22, a move aimed at averting potentially dire economic consequences across Canada and in the U.S. if the trains are sidelined for a long period. The government’s action came more than 16 hours after Canadian National (CN) and CPKC locked out workers over a labor agreement impasse. Both railroads said they would work to get trains moving again as soon as possible. The Teamsters Canada union, representing 10,000 engineers, conductors and dispatchers, responded angrily to the order, accusing the railroads of intentionally creating a crisis to force the government to intervene. It also said it would keep its picket lines in place while reviewing the decision. The government ordered the railroads into arbitration with the Teamsters Canada Rail Conference to end the lockout that began at 12:01 a.m. Thursday after the two sides were unable to resolve the contract dispute. Canada’s Labor Minister Steven MacKinnon announced the decision to order the arbitration at a news conference Thursday. MacKinnon said he expects the trains will resume moving within days. Ending the lockouts is the first step. The arbitration process was moving quickly, with the railroads meeting with the Canada Industrial Relations Board on Thursday night, according to a person familiar with the schedule who spoke on condition of anonymity because they weren’t authorized to discuss it. The Teamsters confirmed that the union was also meeting with the board Thursday night. Throughout the day Thursday, both sides negotiated unsuccessfully while workers picketed outside and business groups urged the government to force the arbitration. Teamsters Canada Rail Conference President Paul Boucher criticized the government’s decision to step in so soon. “The two major railways in Canada manufactured this crisis, took the country hostage, and manipulated the government to once again disregard the rights afforded to working-class Canadians,” Boucher said. “The Teamsters Canada Rail Conference (TCRC) is deeply disappointed by this shameful decision.” The railroad companies hailed the decision, saying the government had no choice. “The Canadian government has recognized the immense consequences of a railway work stoppage for the Canadian economy, North American supply chains and all Canadians,” said Keith Creel, CPKC’s president and CEO. “The government has acted to protect Canada’s national interest. We regret that the government had to intervene because we fundamentally believe in and respect collective bargaining; however, given the stakes for all involved, this situation required action.” Lockout poses risk to supply chain, economy MacKinnon said the government wanted to give negotiations every chance to succeed, but ultimately the economic risk was too great to allow the lockouts to continue. He had declined to order arbitration a week ago. “Canada’s economy cannot wait for an agreement that has been delayed for a very long time and when there is a fundamental disagreement between the parties,” he said. All of Canada’s freight handled by rail — worth more than $1 billion Canadian (US$730 million) a day and adding up to more than 375 million tons of freight last year — stopped Thursday along with rail shipments crossing the U.S. border. About 30,000 commuters in Canada were also affected because their trains use CPKC’s lines. CPKC and CN’s trains continued operating in the U.S. and Mexico during the lockout. Many companies in both countries and across all industries rely on railroads to deliver their raw materials and finished products, so they were concerned about a crisis without regular rail service. Billions of dollars of goods move between Canada and the U.S. via rail each month, according to the U.S. Department of Transportation. Trudeau decided not to force the parties into binding arbitration before the deadline passed for fear of offending unions and the leftist NDP party that his government relies on for support to remain in power, but he ultimately decided he didn’t have a choice. “Collective bargaining is always the best way forward. When that is no longer a foreseeable option — when we are facing serious consequences to our supply chains and the workers who depend on it — governments must act,” Trudeau said. Impact on supply chain, commuters Most businesses probably have enough supplies on hand and room to store finished products to withstand a brief disruption. But ports and other railroads would have quickly become clogged with stranded shipments that CN and CPKC won’t pick up. Many companies made supply chain changes after the COVID-19 pandemic that can help them withstand a short disruption, said Edward Jones analyst Jeff Windau. The real trouble starts if it drags on, he said. Most previous Canadian rail stoppages have only lasted a day or two and usually involved only one of the big railroads, but some have stretched as long as eight or nine days. The impact was magnified this time because both railroads had stopped. “They are so integrated and tied into the economy,” Windau said. “Just the breadth of products that they haul. … Ultimately, I think we need the rails to continue to be running.” Chemical businesses and food distributors would have been the first to be affected. The railroads stopped accepting new shipments of hazardous materials and perishable goods as they began gradually shutting down last week, but most chemical plants had said they would be OK for about a week. The auto industry also may have seen problems quickly because it relies on just-in-time shipments, with significant cross-border deliveries of engines, parts and finished vehicles. Flavio Volpe, President of the Automotive Parts Manufacturers’ Association, posted on X that about four of every five cars made in Canada are exported to the U.S. almost exclusively by rail. He said a prolonged lockout could cause temporary work stoppages similar to the impact of the five-day 2022 Ambassador Bridge blockade. More than 30,000 commuters in Vancouver, Toronto and Montreal were the first to feel the pain of the lockouts and they may be stuck taking the bus again Friday. Their commuter trains are unable to operate while CPKC dispatchers are locked out. CN had been negotiating with the Teamsters for nine months while CPKC had been trying to reach an agreement for a year, the union said. Sticking points The Canadian negotiations are stuck on issues related to the way rail workers are scheduled and concerns about rules designed to prevent fatigue and provide adequate rest to train crews. Both railroads had proposed shifting away from the existing system, which pays workers based on the miles in a trip, to an hourly system that they said would make it easier to provide predictable time off. The union said it doesn’t want to lose hard-fought fatigue protections. The railroads said their contract offers have included raises consistent with recent deals in the industry. Engineers already make about $150,000 a year on Canadian National while conductors earn $120,000, and CPKC says its wages are comparable. By Rob Gillies and Josh Funk, The Associated Press. Funk reported from Omaha, Nebraska. Associated Press writer Aamer Madhani in Buellton, California, contributed to this report.

Analysts see small improvements in freight volumes, but rates may give way to turbulent times ahead

Just when talk of an economic recession was beginning to fade, the stock market faltered: The Dow Jones Industrial Average dropped more than 1,000 points on Aug. 5, continuing a string of bad days. The bad news was predicated by a U.S. Bureau of Labor Statistics report on Aug. 2 that showed fewer jobs added to the economy than had been expected, while the unemployment rate rose. Internationally, Japan’s Nikkei 225 index experienced its worst decline in history as all major Asian and European markets fell drastically. Pundits rushed to explain the declines, with many claiming the losses were caused by fears of recession. J.P. Morgan bumped its predicted odds of a recession before the end of 2024 up to 35%. Indicators such as the Treasury Note yield curve and the Sahm Rule are signaling bad news. However, keep in mind that recession predictions are as varied as the economists and firms that make them, and no one can say with certainty what will happen to the global economy. In the meantime, the U.S. Federal Reserve is predicted to cut interest rates at each of its remaining three meetings for the year, according to some economists. Interest rate increases were implemented to slow inflation, while reductions have the opposite effect. With inflation slowing, the Federal Reserve will attempt to prevent a recession while keeping the inflation rate at a desirable 2%. Encouraging news on the freight front For the trucking industry, the freight recession has been of more concern — and there’s some good news on that front. The Motive Monthly Economic Report for August, written by Hamish Woodrow, head of strategic analytics, anticipates the trucking market will see positive growth by the end of November after nearly two years of contraction. At long last, the supply and demand balance the industry needs to begin the positive side of the freight cycle seems to be in sight. The Motive report cites strong consumer spending and increasing freight demand as two major reasons for the improvement. In June, Motive reported its Big Box Index, which tracks visits to the warehouses of the top 50 U.S. retailers, had risen 10.8% since May and was up 16% compared with last year’s index. All the data from July sales, such as Amazon’s Prime Day, hasn’t come in yet but is expected to push sales into record territory. More good news is that retailers are expanding inventories in anticipation of a strong holiday shopping season. Visits to grocery and superstore warehouses have risen above 2021 levels, with department store, apparel and electronics warehouse visits running 30% higher than 2023, according to the report. The nearshoring factor Then, there’s Mexico, which has surpassed Canada as the No. 1 importer of goods into the U.S. According to Motive, 675,000 trucks brought goods from Mexico to the U.S. in May alone, and those numbers are likely to continue increasing because of the “nearshoring” phenomenon. Computer-related machinery and electrical machinery are two commodities that are seeing growing production in Mexico. Imports from China have declined 19.9% from May 2022 and are expected to continue declining. After being burned by supply chain issues during the COVID years, manufacturers that have long depended on China for parts and components are diversifying their sources. Additionally, rising shipping costs from Asia to U.S. markets have prompted Asian manufacturers to invest in Mexico-based facilities where labor costs are also lower. Then there are tariffs, put in place for various reasons that might be reduced or avoided altogether by routing product through Mexico. More signs of optimism A survey of freight brokers conducted by Bloomberg and Truckstop.com showed that nearly half of brokers are optimistic that freight volumes will increase in the next three to six months. Over three quarters of respondents said they believe that freight rates have hit bottom and should begin rising soon. The Cass Transportation Indexes, which track freight volumes and expenditures through billing activity of Cass customers, showed positive movement as well. The Cass Freight Index for Shipments rose 3% in July from June results while the Index for Expenditures rose 0.7%. While both shipment numbers and expenditures were down from 2023 levels, both are expected to rise as market growth continues. According to the report, written by Tim Denoyer, ACT Research’s vice president and senior analyst, private fleet capacity additions have served to prolong the for-hire trucking downturn. Denoyer noted that publicly traded truckload fleets have reported operating 6.6% fewer tractors in the second quarter of 2024 compared to last year. Denoyer also mentioned the upcoming U.S. presidential election as a potential factor, with concerns over the global economy and interest rates factoring into truck buying decisions. The American Trucking Associations’ (ATA) Truck Tonnage Index, on a seasonally adjusted basis, rose by 0.3% in July, helping to offset a 1.8% June decline. The ATA Index, comprised from data submitted by its members, leans heavily to contract freight rather than spot freight markets. “While July wasn’t a strong month, we see continued evidence that the truck freight market is likely turning a corner, albeit slowly,” said Bob Costello, ATA’s chief economist. DAT Freight and Analytics reported July national average spot rates for dry van at $2.06 per mile, down slightly from June rates. Refrigerated rates also were down slightly, coming in at an average of 2.44 per mile. Flatbed rates saw the biggest decline from June’s average $2.51 per mile to July’s $2.47. Canadian rail stoppage One event that could very well send shock waves through the trucking industry is the work stoppage at Canada’s two largest railways, Canadian National (CN) and Canadian Pacific Kansas City (CPKC) railways. For the first time, labor contracts at both railways expired at the same time at the end of 2023. The companies locked out workers when an agreement was not reached by the deadline of 12:01 a.m. Eastern Aug. 22. According to an Aug. 22 statement from Teamsters Canada, which represents about 10,000 engineers, conductors and yard workers at the two railroads and has threatened retaliatory strikes, the union “remains at the bargaining table with both companies.” The Canadian railroads haul wood and forestry products sold in the U.S., potash used for fertilizer, and grain shipments. The stoppage will undoubtedly have an impact on the U.S. economy as well, although some truckers may benefit from increased truck shipments.

Labor dispute stops Canadian freight railroads, putting pressure on trucking

TORONTO — Both of Canada’s major freight railroads have come to a full stop because of a contract dispute with their workers, an impasse that could bring significant economic harm to businesses and consumers in Canada and the U.S. if the trains don’t resume running soon. Canadian National (CN) and Canadian Pacific Kansas City(CPKC) railroads both locked out their employees after the deadline of 12:01 a.m. Eastern Thursday, Aug. 22, passed without new agreements with the Teamsters Canada Rail Conference that represents some 10,000 engineers, conductors and dispatchers. All rail traffic in Canada and all shipments crossing the U.S. border have stopped, although CPKC and CN’s trains will continue to operate in the U.S. and Mexico. Billions of dollars of goods each month move between Canada and the U.S. via rail, according to the U.S. Department of Transportation. “If rail traffic grinds to a halt, businesses and families across the country will feel the impact,” Jay Timmons, president and CEO of the National Association of Manufacturers, said in a statement. “Manufacturing workers, their communities and consumers of all sorts of products will be left reeling from supply chain disruptions.” Manufacturing companies may have to scale back or even shut down production if they can’t get rail service, while ports and grain elevators will quickly become clogged with shipments waiting to move. And if the dispute drags on for a couple weeks, water treatment plants all across Canada might have to scramble without new shipments of chlorine. “If railways are not picking up the goods that are coming in by ships, then pretty soon your terminals get filled up. And at that point you cannot take any vessels at the terminal anymore,” said Victor Pang, chief financial officer at the Vancouver Fraser Port Authority. He pointed to the 13-day strike by 7,400 British Columbia dockworkers last summer, which manufacturers said blocked the flow of $500 million Canadian (US$368 million) worth of goods each day. Some companies would undoubtedly turn to trucking to keep some of their products moving, but there’s no way to make up for the volume railroads deliver. It would take some 300 trucks to haul everything just one train can carry. There will be other impacts as well, including on the more than 30,000 commuters in Vancouver, Toronto and Montreal who will be scrambling to find a new way into work because their trains won’t be able to operate over CPKC’s tracks while the railroad is shut down. Business groups had urged the government to intervene, but Prime Minister Justin Trudeau has declined to force both sides into arbitration yet. CN said it was waiting for a response on one final offer made late Wednesday when it locked the workers out. CPKC spokesperson Patrick Waldron said the union rejected its last offer that CEO Keith Creel made at the table in person. Both railroads have said they would end the lockout if the union agreed to binding arbitration. “Despite the lockout, the Teamsters remain at the bargaining table with both companies,” the union said in a statement. CN had been negotiating with the Teamsters for nine months while CPKC had been trying to reach an agreement for a year, the unions said. Many companies across all industries rely on railroads to deliver their raw materials and finished products, so without regular rail service they may have to cut back or even close. That’s why the U.S. government kept rail workers from going on strike two years ago and forced them to accept a contract despite their concerns about demanding schedules and the lack of paid sick time. Canada’s railroads have sometimes shut down briefly in the past during contract negotiations — most recently CPKC was offline for a couple days in March 2022 — but it is rare for both railroads to stop at the same time. The impact on businesses will be magnified because both CN and CPKC have stopped. Both CN and CPKC had been gradually shutting down since last week ahead of the contract deadline. Shipments of hazardous chemicals and perishable goods were the first to stop, so they wouldn’t be stranded somewhere on the tracks. As the Canadian contract talks were coming down to the wire, one of the biggest U.S. railroads, CSX, broke with the U.S. freight rail industry’s longstanding practice of negotiating jointly for years with the unions. CSX reached a deal with several of its 13 unions that cover 25% of its workers ahead of the start of national bargaining later this year. The new five-year contracts will provide 17.5% raises, better benefits and vacation time if they are ratified. The unions that have signed deals with CSX include part of the SMART-TD union representing conductors in one region, the Transportation Communications Union, the Brotherhood of Railway Carmen and the Transport Workers Union. TCU President Artie Maratea said he’s proud that his union reached a deal “without years of unnecessary delay and stall tactics.” Trudeau has been reluctant to force arbitration because he doesn’t want to offend the Teamsters Canada Rail Conference and other unions, but he urged both sides to reach a deal Wednesday because of the tremendous economic damage that would follow a full shutdown. “It is in the best interest of both sides to continue doing the hard work at the table,” Trudeau said to reporters in Gatineau, Quebec. “Millions of Canadians, workers, farmers, businesses, right across the country, are counting on both sides to do the work and get to a resolution.” Numerous business groups have been urging Trudeau to act. Trudeau said Labor Minister Steven MacKinnon met with both sides in the CN talks in Montreal on Tuesday and would be on hand for the CPKC talks in Calgary, Alberta. MacKinnon later said he wrapped up his meetings with the rail companies and the Teamsters. ‘Workers, farmers, commuters and businesses can’t wait. Canadians need urgency at the table. The parties need to get deals done now,” he posted on the social platform X. The negotiations are stuck on issues related to the way rail workers are scheduled and concerns about rules designed to prevent fatigue and provide adequate rest to train crews. Both railroads had proposed shifting away from the existing system, which pays workers based on the miles in a trip, to an hourly system they said would make it easier to provide predictable time off. The railroads said their contract offers have included raises consistent with recent deals in the industry. Engineers make about $150,000 a year on Canadian National while conductors earn $120,000, and CPKC says its wages are comparable. Similar quality-of-life concerns about demanding schedules and the lack of paid sick time nearly led to a U.S. rail strike two years ago until Congress and President Joe Biden intervened and forced the unions to accept a deal. By Rob Gillies and Josh Funk, the Associated Press. Funk reported from Omaha, Nebraska.

NACFE and RMI announce Run on Less – Messy Middle 

FORT WAYNE, Ind. — The long-haul segment of trucking — the one most people think of when you say the word “trucking”— represents only 9% of total trucking, yet it is responsible for 48% of heavy-duty trucking-related emissions, according to a report from NREL’s report.   To showcase the various options for decarbonizing this segment of the trucking industry, the North America Council for Freight Efficiency (NACFE) and RMI are announcing the kickoff of Run on Less – Messy Middle, which will focus on heavy-duty long-haul return-to-base and over-the-road trucking.  “Each Run has tried to mirror market issues,” says Mike Roeth, NACFE’s executive director. “This Run is no different. We are calling it Run on Less – Messy Middle because today’s fleet managers have a variety of options when it comes to what will power their vehicles. While other market segments have proven to be a good fit for battery electric vehicles, we are still looking for the best solutions for the long-haul segment of the industry now and in the future.”  According to a media release, this is the fifth event in the Run on Less series, which began in 2017 with seven diesel-powered trucks running over real routes with real freight during a three-week period to demonstrate just how many miles drivers can get from a gallon of diesel.  NACFE monitored the vehicles that averaged 10 MPG over the three weeks of the Run — well above the industry average. In 2019, NACFE shifted the focus of the Run to regional haul. In 2021, recognizing the developments in the electric vehicle space, NACFE focused on electric vehicles and in 2023 the focus of the Run shifted to fleet depots that have 15 or more electric vehicles deployed in one location.  The release noted that all trucks in this Run will be Class 8 (33,001+ pounds gross vehicle weight) sleeper or day cab configurations and will feature approximately 10 fleets deploying trucks with differing decarbonization solutions including battery electric, hydrogen fuel cells and engines, renewable natural gas, renewable and bio diesel, hybrids and energy efficiency features for all fuel types.  “There is a great deal of work being done in the long-haul segment of the market to decarbonize it,” Roeth said. “This upcoming Run will give us the opportunity to showcase the realities of that market to help fleets make more informed decisions now and in the future about which powertrain options make the most sense for their Class 8 long-haul routes.”  According to the release, the Run will take place in September 2025 and again feature NACFE’s popular pre-Run Bootcamp series and metrics and dashboards on the Run on Less website. NACFE will be sharing results and Run updates via its social media channels, blogs and videos during the Run, and will publish a report that shares all the findings from the Run early in 2026.  “We are excited to begin vetting fleets to participate in the Run and to sign on sponsors to help underwrite the cost of the Run,” Roeth said. “All of us at NACFE and RMI are excited to be working on the fifth freight efficiency demonstration in the Run on Less series and look forward to bringing some clarity to the Messy Middle of long-haul trucking.”  For more information visit www.runonless.com. 

Summertime masquerade? Border agents find meth valued at $5 million disguised as watermelons

OTAY MESA, Calif. — In what could possibly be described as a seedy situation, officers at the U.S. Customs and Border Protection’s (CBP) Otay Mesa Commercial Facility discovered more than $5 million worth of amphetamine masquerading as watermelons Aug. 20. A 29-year-old man driving a commercial tractor-trailer attempted to enter the U.S. from Mexico with a shipment of watermelons. During the secondary inspection, the watermelons were offloaded for closer examination. During the search, CBP officers uncovered 1,220 packages wrapped in paper and disguised as watermelons hidden among the actual melons. The contents of the packages were identified as methamphetamine with a total weight of 4,587 pounds and an estimated street value of more than $5 million. The meth, truck and trailer were seized by the CBP, and the driver was turned over to Homeland Security Investigations. “I am incredibly proud of our team for their exceptional work over the past few weeks in uncovering sophisticated and diverse smuggling methods,” said Rosa E. Hernandez, port director for the Area Port of Otay Mesa. “As drug cartels continue to evolve their smuggling techniques, we will continue finding new and better ways to prevent these dangerous drugs and other contraband from entering the country.” Authorities have discovered illicit substances hidden within other produce shipments this month, most notably celery. On Aug. 9, officials at the Otay Mesa facility intercepted more than 600 pounds of methamphetamine hidden in a load of celery. Also this month, agents with the U.S. Drug Enforcement Agency reported tracking a celery shipment containing more than 2,300 pounds of methamphetamine from the U.S.-Mexico border to a farmer’s market near Atlanta.

CVSA’s 2024 Brake Safety Week starts Sunday: Are you ready?

WASHINGTON — The Commercial Vehicle Safety Alliance (CVSA) is gearing up for a week of all brakes. This year’s Brake Safety Week is set for Sunday, Aug. 25, through Saturday, Aug. 31. Brake Safety Week is a commercial motor vehicle and driver inspection, regulatory compliance enforcement initiative, a brake-safety awareness and outreach opportunity, and a brake-related inspection and violation data collection project. CVSA-certified inspectors will conduct routine commercial motor vehicle inspections throughout the week, focusing on brake systems and components. Commercial motor vehicles found to have brake-related out-of-service violations will be removed from roadways until those violations are corrected. For this year’s Brake Safety Week, inspectors will focus on the condition of brake linings and pads. Brake lining and pad issues may result in vehicle violations and affect a motor carrier’s safety rating. You can view the Focus Area information by clicking here. In addition, some jurisdictions have performance-based brake testers (PBBTs) and will use them during Brake Safety Week. A PBBT is a machine that assesses a vehicle’s braking performance.

For 6 weeks straight, diesel prices drop

Diesel fuel prices continue to drop. For the sixth consecutive week of decline in price proved significant with a five-cent drop nationally. Each region showed a significant drop with two dropping by six cents. The East Coast fell more than two cents this week from $3.778 to $3,757. The Lower Atlantic  which has fallen sharply in recent weeks slightly fell this week from $3.681 to $3.664.  The Midwest region fell slightly from $3.681 to $3.664 this week. California’s prices fell by six cents last week, and fell by nearly three cents this week $4.763 to $4.739.