Business

BLOOMINGTON, Ind. — Relief and recovery efforts and, perhaps, highway infrastructure damage in the wake of Hurricane Helene apparently fueled the largest increase in spot rates this year, according to Truckstop and FTR Transportation Intelligence. “Total broker-posted spot rates in the Truckstop system rose to their highest level since early August during the week ended October 4 (week 40) as rates rose strongly for each of the principal equipment types – dry van, refrigerated, and flatbed,” FTR said in a media release. All three saw their sharpest increase in a comparable week since at least 2008.” According to Truckstop and FTR, data for the week ended October 4 indicated that Hurricane Helene had a big effect on the spot market in the week following its initial landfall due to relief and recovery efforts and, possibly, due to highway infrastructure damage, such as the closure of a section of I-40 in western North Carolina. Total broker-posted spot rates in the Truckstop system saw their largest increase of the year as they rose to their highest level since early August. All three principal equipment types saw large increases with the gain in flatbed being the largest in a single week since May 2022. The increase in dry van was the largest since International Roadcheck week in May of this year, and the refrigerated increase was the largest – and the first – since late August. “The current week (ending October 11) almost always sees lower dry van and refrigerated rates week over week, but effects from Hurricane Milton and continued impacts from Helene could produce a different outcome,” the release said.  Regional load and rates data support the logical assumption that Helene was the principal driver of spot market changes in the latest week. Nationwide, with load postings rising and truck postings declining, the Market Demand Index rose to 70.6, which is the highest level since mid-July. Total Spot Load Availability Total load activity rose 7.6% after increasing about 5% during the previous week. Load postings were about 8% above the same 2023 week – the first positive comparison since late July – but about 24% below the five-year average for the week. The week-over-week increase in volume was strongest in the Southeast region, supporting the conclusion that Hurricane Helene’s aftermath was the key stress on the market. Total truck postings fell 5.2%, and the Market Demand Index – the ratio of load postings to truck postings in the system – rose to its highest level since mid-July. Total Spot Rates The total broker-posted rate increased more than 8 cents after ticking up just over a half cent in the prior week. Rates were 0.4% above the same 2023 week for the first positive y/y comparison since late July but were still about 7% below the five-year average. The increase in total rates was strongest in the Southeast, although all regions saw some increase except for the Northeast where rates were basically flat. Spot rates excluding a calculated fuel surcharge were about 11% higher than the same 2023 week and were positive y/y for all equipment types. The current week (week 41) almost always sees lower dry van and refrigerated rates week over week, but effects from Hurricane Milton – expected to hit Florida’s Gulf Coast on Wednesday – and continued impacts from Helene could produce a different outcome. Dry Van Spot Rates Dry van spot rates increased more than 7 cents after increasing 2 cents during the previous week. Rates, which saw their biggest increase since International Roadcheck week in May, were about 3% below the same 2023 week and close to 14% below the five-year average for the week. Excluding an imputed fuel surcharge, rates were nearly 9% higher than during the same 2023 week. Dry van loads rose 8.4%. Volume was nearly 9% below the same 2023 week – the least negative comparison in 10 weeks – and more than 36% below the five-year average. Refrigerated Spot Rates Refrigerated spot rates rose about 8 cents after falling close to 5 cents in the prior week. Rates, which were up for the first time in five weeks, were 0.4% below the same week last year and nearly 10% below the five-year average. Rates excluding an imputed fuel surcharge were up more than 9% y/y. Refrigerated loads increased 7.7%. Volume was nearly 3% above the same 2023 week – the first positive y/y comparison in 12 weeks – but about 33% below the five-year average for the week. Flatbed Spot Rates Flatbed spot rates jumped more than 9 cents for its largest increase in a single week since May 2022. Rates were 0.4% above the same 2023 week – the first positive y/y comparison in 11 weeks – but about 6% below the five-year average for the week. Rates excluding an imputed fuel surcharge were up nearly 11% y/y. Flatbed loads rose 7.9%. Volume was more than 22% above the same week last year but close to 19% below the five-year average.

BEAVERTON, Ore. — With supply chains adjusting to Hurricane Helene-related cleanup in the Southeast and uncertainty over a strike at East Coast and Gulf Coast ports, the total number of loads posted on DAT One increased 14.9% to 2.01 million week over week. That’s the highest number of available loads since Week 29 (July 7-13). Dry Vans ▲  Van loads: 952,242, up 16.5% week over week ▼  Van equipment: 169,815, down 21.5% ▲  Linehaul rate: $1.65 net fuel, up 4 cents ▲  Load-to-truck ratio: 4.5, up from 3.8 Reefers ▲  Reefer loads: 402,839, up 16.5% week over week ▼  Reefer equipment: 63,891, down 5.6% —  Linehaul rate: $1.97 net fuel, unchanged for the third straight week ▲  Load-to-truck ratio: 6.3, up from 5.1 Flatbeds ▲  Flatbed loads: 658,647, up 11.5% week over week ▼  Flatbed equipment: 41,888, down 7.2% ▲  Linehaul rate: $2.00 net fuel, up 1 cent ▲  Load-to-truck ratio: 15.7, up from 13.1. This is the sixth consecutive week of increases The ILA strike was short-lived but had an impact on spot load volume. “The 20 freight markets adjacent to ports affected by the ILA strike last week saw a 5% reduction in van load posts compared to the previous week, said Dean Croke, DAT industry analyst. “There was a 7% decrease in spot van loads posted in DAT’s Elizabeth, N.J., market and a 6% decrease in Savannah, Georgia.” Truck posts fell 16.3% to 275,594 as velocity in freight networks on the East Coast slowed dramatically due to bad weather and, to a lesser degree, the ILA strike. Hurricane Helene’s impact on spot truckload freight was regional and considerable. “Due to constrained capacity, the weekly average dry van linehaul rates increased by 4 cents to $1.65 a mile,” Croke said. “In DAT’s Southeast region, inbound and outbound rates increased by an average of 10 cents a mile compared to the previous week. In DAT’s Atlanta market, the average linehaul van rate was up 7 cents to $1.53 a mile despite a 3% decrease in load volume compared to the previous week. The average linehaul reefer rate in Atlanta increased by 10 cents to $2.13 a mile on a 7% decrease in volume.” Storm cleanup led to higher demand for flatbed capacity. According to Croke, the number of flatbed load posts was 23% higher year over year, and the weekly flatbed load-to-truck ratio was the highest in three years for Week 40. The number of flatbed load posts increased by 14% week over week in the Southeast Region and was up 68% week over week in DAT’s Tallahassee market, where Hurricane Helene made landfall. Flatbed load posts in Houston and New Orleans increased by 27% compared to the previous week. In Alabama, Mississippi and Georgia, outbound flatbed load volumes plunged by 40% week over week. Flatbed load volumes into the same states jumped by 44%, and the average spot linehaul rate rose 7% to $2.45 a mile. Freight markets in the path of Hurricane Helene saw outbound freight volumes drop 17% week over week while spot rates increased by 8 cents to $2.29 a mile. That’s 30 cents higher than the same week last year. Preparations for Hurricane Milton followed a familiar pattern.  With weather events like hurricanes, freight movements tend to follow a familiar pattern: Before the storm, shippers and FEMA rush to move freight in and out of the area where the storm is expected to make landfall, and truckload rates rise sharply. During the storm, nothing moves in or out of the affected area. FEMA and other organizations will move emergency relief supplies to locations just outside the storm zone so they’re ready to act as soon as roads are clear. After the storm, fuel and outbound loads may be scarce, travel can be treacherous, and regulations for hours of service may shift. Emergency supplies are brought in and inbound rates increase. Van and reefer freight move in first, followed by flatbeds hauling construction equipment and materials. Maxwell Air Force Base in Alabama is the staging ground for much of the federal government’s response to Hurricanes Helene and Milton. Nearly 450 truckloads of supplies arrived during the week ahead of Helene, the bulk of which came from FEMA’s Atlanta distribution center. FEMA loads typically move under contract with approved carriers.    

DENTON, Texas —  Peterbilt is continuing its sponsorship of the American Trucking Associations’ (ATA) Trucking U program, an educational initiative designed to empower the next generation of leaders through a deep understanding of the trucking industry. “Trucking U is an important program in advancing the trucking industry and we are excited to continue our sponsorship for a second year,” said Jake Montero, assistant general manager, sales and marketing for Peterbilt. “As industry leaders, we see this as a key opportunity for student development, preparing the next generation for success in the commercial transportation industry.” According to a company media release, as the exclusive OEM sponsor for the second consecutive year, Peterbilt is dedicated to offering its industry knowledge and leadership, providing meaningful guidance to the 24 select students as they embark on this valuable opportunity in their academic and career paths. “Peterbilt’s sponsorship of Trucking U reflects the company’s fundamental belief in the importance of education and development, empowering and positioning students to contribute to the future of trucking,” the company said in the release. As part of Trucking U, students will attend the upcoming ATA Management Conference and Exhibition in Nashville, TN, October 12-15. Peterbilt will display its versatile lineup of conventional and electric vehicles, including the Model 579EV, Model 589 and the last built Model 389. Students will explore these models and learn how Peterbilt leverages technology and innovation. Trucking U students will also network with Peterbilt staff and gather insight about the importance of the trucking industry. For more information on Trucking U, visit https://www.trucking.org/TruckingU. To learn more about Peterbilt’s expansive truck portfolio, contact your local Peterbilt dealer or visit https://www.peterbilt.com/.

GREEN BAY, Wis.— As more consumers pack their grocery carts with fall staples like apples, changing consumer habits around meals and economic pressures are increasing the need for refrigerated shipping. According to a Schneider press release, consumer demand for refrigerated products has continually increased since 2020. “The maintenance and trend of at-home dining goes beyond simple cost-cutting,” said Tricia Greyshock, president and CEO of the National Frozen and Refrigerated Foods Association. “Our research indicates that consumers are finding real value in preparing meals at home, with 61% reporting it allows them to eat healthier. The refrigerated foods industry continues to evolve with innovative products that combine convenience, nutrition and variety – we expect to see further expansion in refrigerated offerings that cater to the evolving wants and needs of home cooks.” According to the National Frozen & Refrigerated Foods Association (NFRA) and its data platform Unify/IRI, refrigeration sales have increased by 32% over the past five years, and nearly 64% of adults say they save money or control their budget by eating at home. This has led to a rise in demand for meal prep services, ready to eat meals and grocery items overall. “As grocers and food providers are looking to increase shipments of refrigerated goods, Schneider National Inc, the premier multimodal provider of transportation, intermodal and logistics services, is one of the largest temperature-controlled carriers in the industry and has robust refrigerated freight capabilities tailored to meet the needs for customers across the industry,” the company said in the release. Refrigerated shipping requires a well-coordinated, highly trained team and best-in-class equipment to do the job successfully, according to Schneider. Timing, execution and on-time service are critical because there are many regulations when it comes to moving consumer-grade fresh foods. For example, the refrigerated trailers – also known as reefers – must maintain product-specific temperature requirements for the duration of the movement. One wrong step in the process could spoil the whole load. Schneider operates specialized trailers and tractors and utilizes high precision tools such as remote and real-time monitoring temperature sensors, status and maintenance data, visibility tracking and reporting metrics – ensuring optimized solutions and visibility every step of the way, the release noted. The company’s trailer technology and driver processes allow for constant monitoring while in transit to ensure temperatures stay consistent to keep customer products fresh when reaching the final destination. “Refrigerated transport is a unique capability a full-service provider like Schneider is able to offer within our larger Dedicated portfolio, providing custom-based solutions that match what our customers need when they need it,” said John Bozec, Schneider senior vice president and general manager of Truckload and Mexico. “We know the most important aspect of refrigerated transport is delivering ‘on time and on temp’ and our team of experts have built longstanding collaborative relationships with customers in the space by ensuring reliability, capacity and consistent best-in-class service.” According to the release, Schneider continues to grow its refrigerated service offering, particularly in the grocery vertical. For grocer customers, consistent collaboration is key. As part of the Dedicated portfolio, Schneider company drivers and support teams are assigned exclusively to refrigerated customers, providing value through embedded expertise. To further ensure a best-in-class customer experience, Schneider created a Center of Excellence that offers 24/7 support from a highly trained team of refrigerated freight experts. “Alongside service, sustainability is also an important consideration for refrigerated customers,” the company said. “Schneider is committed to building a sustainable future, operating one of the most efficient fleets in the country. Many of the efficiencies that the company identifies within route and network planning also translate to lower emissions, and new technologies and processes to cool trailers reduce fuel usage. The release also noted that with more than 30 years of experience moving temperature-controlled freight across North America, customers rely on Schneider to drive efficiency and growth, secure competitive market pricing and offer the latest technologies and processes to protect their loads. The company was most recently recognized as a 2024 Top Food Chain Provider from Food Shippers of America. To learn more about Schneider’s Dedicated business and refrigerated freight solutions, visit: https://schneider.com/freight-shipping-solutions/dedicated.

The national average of diesel price increased 4 cents to $3.584 per gallon, according to U.S. Energy Information Administration data released on Monday. Prices were up for the third week in a row after 10 weeks of dropping prices. The East Coast, New England, Lower Atlantic and Central Atlantic areas saw prices dip. The Midwest saw the biggest rise with prices climbing 6.7 cents to $3.587 per gallon. Prices were also up in the Gulf Coast region with a reported 5.4 cent rise in diesel prices, bringing the cost per gallon to $3.266. Prices in the Rocky Mountain region were up to $3.620 a gallon. West Coast prices were up by 3.5 cents bringing the price per gallon to $4.261. West Coast less California prices also increased by 4.4 cents to $3.841 per gallon while California saw a rise of 2.3 cents at $4.742 per gallon.      

MIDDLETOWN, NJ – It was announced via media release on Monday that the Containerization & Intermodal Institute (CII) that Allen Clifford, Executive Vice President, MSC Mediterranean Shipping Company (USA), will be honored with the 2024 Connie Award. In addition, Cliff Pyron, Advisor, Georgia Ports Authority (GPA), will receive CII’s Lifetime Achievement Award. The prestigious awards will be presented at an industry-wide luncheon to be held on December 9th at the Marriott Newark Liberty Airport Hotel. “Throughout his remarkable career spanning more than four decades with the world’s largest shipping line, Allen has been a pivotal force in advancing containerization and shaping global trade. Tenacious, entrepreneurial and results oriented, Allen perfectly embodies what the Connie Award is all about,” said CII President, Chris Brooks. “Fortunately, CII had Allen and his passion for growth and advancement on our board for nearly 40 years. He played a critical role in transforming and evolving our organization into what it is today.” Additionally, CII will recognize Cliff Pyron with the Lifetime Achievement Award for his invaluable contributions to commercial and trade development at GPA. His outstanding accomplishments have established a standard of excellence, reinforcing Georgia’s ports as essential gateways for the global movement of raw materials and finished products. For more than 50 years, CII has been honoring industry leaders with the prestigious Connie Award to industry professionals who have made major contributions to the advancement of containerization and intermodalism via the spirit of innovation, entrepreneurship, and influential leadership. The Lifetime Achievement Award is given to organizations or individuals who have played a long-standing, substantial, and supportive role in the industry and/or CII. Connie Award Honoree — Allen Clifford The 2024 Connie Award recipient, Allen Clifford, is recognized as a visionary leader whose contributions to the industry have shaped its landscape over his distinguished career. Mr. Clifford began his journey in 1981 after graduating from the University at Buffalo. He started in freight forwarding and the emerging NVOCC sector with Deugo GmbH. He later transitioned to Containership Agency, where he represented a diverse portfolio of ocean carriers, including Italian Lines, Neptune Orient Lines, and Bottachi Lines of Argentina. Mediterranean Shipping Company​ was a part of ​C​ontainership, and Allen began managing it within the trade group. As MSC expanded, it evolved into its own agency, American Container Agency, which later rebranded to MSC Mediterranean Shipping Company (USA) and established its current U.S. headquarters in New York City. Mr. Clifford has steadily advanced from Assistant Vice President of Sales to his current position as Executive Vice President. In 2014, he was appointed USA Ambassador for the MSC Foundation and became a member of the MSC Board of Directors, further solidifying his influence in the industry. Lifetime Achievement Award Honoree – Cliff Pyron CII’s Lifetime Achievement Award recipient, Cliff Pyron, has a 40-plus-year career in liner container shipping, global supply chain logistics, trucking, and the port sector, as well as economic and industrial development. Widely recognized for his entrepreneurial vision, Mr. Pyron recently shifted to the role of Advisor to the GPA after serving as the Chief Commercial Officer for 16 years. In his role as CCO, he provided strategic leadership in commercial business, trade development, and economic initiatives. His efforts were instrumental in driving long-term profitable growth and increasing market share through sales, marketing, customer service, and international partnerships, significantly boosting global trade and commerce across Georgia and the Southeast. Before joining GPA in 2008, Pyron was Vice President of North America Sales for NYK Line and Vice President of Sales for the Southern Region at Maersk-Sealand. During the 1999 acquisition of Sea-Land by Maersk, he was General Manager of Southeast Sales and also led Buyers Consolidators in Charlotte. Earlier, he worked in Hong Kong as General Manager of Sales and Marketing for Sea-Land, overseeing operations in Hong Kong, Macau, and South China. “Cliff has been instrumental in GPA’s impressive growth, positioning it as a key player in international trade and investment. His leadership helped lay the groundwork for GPA to serve as a dynamic engine of economic development, benefiting our entire industry,” stated Mr. Brooks. CII, founded in 1960, has been presenting the Connie Award since 1972  honoring those connected to the field of containerization and its ancillary industries. Among some 70 people and organizations have been honored to date, among the recipients are Gene Seroka, Malcom McLean, James McKenna, Robert McEllrath, Ed DeNike, John Wolfe, Bruce Fenimore, Helen Delich Bentley, Captain S.Y. Kuo, Matthew Cox, Bill Shea, Mike Wilson, Marino. Robert Sappio, Ken Kellaway and Vincent J. Marino. According to its release, at the event, CII will carry out its industry education mission by presenting scholarships to students studying logistics as well as the institutions that are educating our future leaders. Under its auspices, CII has awarded more than $1 million toward scholarships.

LOS ANGELES, Calif. – The U.S. Department of Labor has obtained a permanent injunction and court order forbidding a California transportation company from retaliating against drivers and illegally shifting liability for labor law violations onto workers who exercised their federally protected rights. According to the DOL, a Sept. 25 consent judgment and order in the U.S. District Court for the Central District of California requires Cargomatic Inc., a Long Beach transportation and logistics company, to cease its repeated intimidation and threats directed toward drivers who deliver freight for Ceva Freight LLC, a subsidiary of Ceva Logistics in Torrance. “Employers should know better than to attempt to enforce indemnity clauses that purport to shift liability for wage and other labor law violations onto workers,” said Marc Pilotin, regional solicitor in San Fransisco. “Such provisions are coercive, retaliatory, illegal, and unenforceable. The U.S. Department of Labor will not tolerate retaliation against workers in any form, including when it involves—as here—employers invoking invalid terms buried in a contract’s fine print.” According to the DOL, the department’s Office of the Solicitor learned that, after a group of drivers filed suit against Ceva for alleged labor violations, Cargomatic threatened to countersue the drivers for more than $150,000 in attorney’s fees. Drivers alleged the company intimidated drivers and threatened to terminate those who persisted in seeking unpaid wages and other remedies for the alleged violation of their rights under the Fair Labor Standards Act  and the California Labor Code. The company sent drivers involved in the Ceva lawsuit letters claiming they materially breached the terms of service agreements that Cargomatic required them to sign. The agreements included indemnity clauses that Cargomatic threatened to enforce against these workers to deter them from exercising their rights. To further deter workers from pursuing their rights, the agreements had an arbitration provision that arguably barred the workers from seeking collective relief against the company regarding the unlawful indemnity clauses. The department’s legal action is part of larger efforts to combat employers’ attempts to enforce coercive provisions in contracts that seek to dissuade or punish workers from attempting to enforce their legal employment rights, according to the DOL. The effort has included similar actions against Advanced Care Staffing in New York and Bimbo Bakeries in Vermont. Cargomatic is a transportation logistics company that provides drivers who transport freight for shipping companies and has a mobile application for use by drivers. Since at least 2019, Cargomatic has contracted drivers to deliver cargo for Ceva Freight. The FLSA requires that most employees in the U.S. be paid at least the federal minimum wage for all hours worked and overtime pay at not less than time and one-half the regular rate of pay for all hours worked over 40 in a workweek. The law also guarantees employees the right to raise wage and hour concerns, participate in U.S. Department of Labor wage investigations and file private wage actions without retaliation from their employers. For more information about the FLSA and other laws enforced by the Wage and Hour Division, contact the agency’s toll-free helpline at 866-4US-WAGE (487-9243). Learn more about the division, including a search tool to use if an employee thinks they may be owed back wages collected by the division. The department protects workers regardless of immigration status and can communicate with workers in more than 200 languages.