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ILA Wage Scale Committee approves new USMX-ILA Master Contract agreement

Dana Guthrie - February 18, 2025

HOLLYWOOD, Fla. — The full International Longshoremen’s Association Wage Scale Committee today gave unanimous approval to the new USMX-ILA Master Contract. The approval is paving the way for the ratification vote by ILA rank-and-file members that has been scheduled for February 25. “I believe our work here today moves us to the ratification vote on Tuesday, February 25, 2025, when ILA rank-and-file members will vote on what I believe is the greatest ILA contract, and the greatest contract negotiated by a labor organization,” said Harold J. Daggett, ILA president and the union’s chief negotiator. “Our collective strength helped produce the richest contact in our history.” Delegates From Across the U.S. Involved in Voting More than 200 ILA Wage Scale Committee delegates representing ILA locals from Maine to Texas were presented with details of the tentative USMX-ILA Master Contract by Harold and international executive vice president Dennis A. Daggett. The Wage Scale Committee delegates also heard from Paul DeMaria, COO and lead negotiator for United States Maritime Alliance, Ltd. (USMX). In addressing ILA Wage Scale Committee delegates, Dennis A. Daggett praised the hard work it took by many to produce the landmark agreement between USMX and the ILA and said: “Most importantly, I want to thank the ILA rank-and-file membership,” Dennis said. Terms of the Contract ILA Wage Scale Committee delegates were shown a video explaining general details of the tentative USMX-ILA Master Contract, which will be made available to all ILA locals to view prior to the February 25th ratification vote. Following the video screening, Dennis presented a detailed description of the tentative agreement that is in the form of a Memorandum of Settlement between USMX and the ILA and supplements and amends the current Master Contract. “This was the hardest and most complicated contract to bargain possibly in the history of the ILA,” Harold said after the approval of the tentative agreement. “I am proud to have previously delivered two historic contracts for (members) of the ILA, but with the changes we’ve seen across our industry we knew what this contract meant for securing our future. As we meet with the full wage scale committee, I want to make clear that this not only means more money in the pockets of our ILA members, but also a strong future for them and our entire industry.” The new agreement and all of its benefits are retroactive to October 1, 2024, and, if ratified by ILA members, will be in effect until September 30, 2030. Strength of the ILA “After the first strike in 50 years, we showed the entire world the strength of the ILA, and won a hard-fought economic agreement,” Harold said. “But even after that historic moment, I thought that it was almost certain that we would have to go out on strike again in January to get what we deserved. We’ve been able to avoid a strike for so many years because the ILA and USMX have had a strong relationship, which is the single biggest factor when it comes to reaching a deal. It isn’t good enough to just come to an agreement, we need a partner with the leadership and skills and one we trusted so that we knew we could work together and see it through.” Meeting with President Trump “It was President Donald Trump’s courageous actions in December, after meeting with Dennis Daggett and me at Mar-A-Lago, coupled with the relationship and trust we had with Paul De Maria, that made this deal possible,” Harold said. “Thank goodness USMX made Paul DeMaria the lead negotiator for management’s side when they did. Paul was uniquely qualified to move negotiations in the right direction and his appointment to this role was instrumental in avoiding a second strike. “When we were at Mar-A-Lago, it was Paul that I called and had speak directly to President Trump because I knew that he was the only person who could sit across from us at the table and get a deal done.” Tough Negotiator Harold noted that it was DeMaria’s leadership that prevented another strike. “We all knew that Paul was a tough negotiator, but he showed a lot of skill in how he worked with me, Dennis and our bargaining committee to see this through,” Harold said. “At our wage scale meetings today, I wanted to make sure that our members heard from Paul firsthand, possibly the only person who understands our industry, and knows and respects our ILA longshore workers, so that we can start to rebuild our relationship with the USMX and the shipping community. “We all have a bad taste in our mouths with how some of this played out, but we need to ratify this historic contract and then implement it. This means working with someone who will do this the right way to make sure that we don’t end up negotiating in this way again.” ILA rank-and-file members will receive details of the agreement approved by the ILA Wage Scale Committee at local meetings in the next two weeks and then participate in the ratification vote on Feb. 25. The specific details of the agreement will not be made public.

FTR Trucking Conditions Index eased slightly in December

Dana Guthrie - February 18, 2025

BLOOMINGTON, Ind. — FTR’s Trucking Conditions Index for December declined to 2.67 from November’s 3.02 reading. “Preliminary data suggests that market conditions were tough for carriers in January, but we still forecast consistently favorable market conditions for carriers to begin soon,” said Avery Vise, FTR’s vice president of trucking. Minimal Decrease While the decrease was minimal, the underlying factors changed substantially. Freight rates in December were considerably more unfavorable for carriers than they were in November, but the contributions from freight volume and capacity utilization were much improved. While FTR’s forecast for trucking conditions envisions near-term weakness due to fuel prices and freight rates, FTR expects the TCI to be consistently positive by Q2. “Freight rates have been sluggish, however, so the risk of a slower recovery than currently forecast is significant,” Vise said. “Volatility in economic data due to tariff expectations and response from businesses and consumers injects further uncertainty into the outlook. Despite these concerns, we are confident in modestly stronger conditions for trucking companies at least by the second half of the year.”

Wabash unlocks next-gen cargo security with TrailerHawk.ai acquisition

Dana Guthrie - February 18, 2025

LAFAYETTE, Ind. — Wabash is acquiring TrailerHawk.ai to strengthens Wabash’s Trailers as a Service (TaaS) offering. “By integrating TrailerHawk.ai’s technology into our TaaS program, we’re offering logistics providers a unique advantage—superior cargo security, real-time visibility and data-driven insights that help protect assets and streamline operations,” said Mike Pettit, chief growth officer at Wabash. “This acquisition underscores our commitment to delivering customer-focused solutions that address today’s most pressing logistics challenges.” Growing Revenue Streams TaaS enables logistics providers to grow revenue streams through a nationwide, flexible trailer subscription including on-demand trailer pools, national maintenance support and actionable data insights powered by the Wabash Marketplace platform. TrailerHawk.ai’s tools directly address the increasing demand for secure, transparent and efficient freight movement. With these innovations, Wabash customers gain: Advanced Cargo Security: Smart access management ensures freight integrity throughout its lifecycle. Verified Asset Chain of Custody: Actionable insights provide confidence and clarity for every shipment. Operational Flexibility: Seamless integration into TaaS helps customers adapt quickly to industry shifts and scale efficiently. Solutions for Logistics Providers As part of the acquisition, TrailerHawk.ai Founder and CEO Brett Suma will join Wabash Marketplace to lead the ongoing development and scaling of the TaaS and TrailerHawk.ai solutions tailored to logistics providers. Suma’s deep understanding of the logistics industry positions him uniquely to refine and expand Wabash’s offerings for 3PLs, carriers and shippers. “Having experienced Wabash’s TaaS platform as a customer, I’ve seen its ability to transform logistics operations,” Suma said. “I’m thrilled to join the Wabash team to continue innovating and delivering smarter, more secure solutions for the industry. By helping logistics providers streamline operations and protect assets, we’re creating solutions that deliver immediate and long-term benefits.” According to a press release, the acquisition reinforces Wabash’s commitment to merging physical and digital technologies. Also, its commitment to creating connected ecosystems that drive efficiency and reliability across the supply chain. The integration of TrailerHawk.ai accelerates Wabash’s ability to reshape how freight moves across North America. It delivers on its purpose of “Changing How the World Reaches You.” “We’re investing in the tools and technologies our customers need to succeed in any demand environment,” Pettit said. “With Brett’s leadership and the advanced capabilities of TrailerHawk.ai, we’re building smarter, more secure, and connected solutions to drive efficiency, transparency and reliability across the supply chain.”

Tenstreet acquires TextLocate

Bruce Guthrie - February 17, 2025

TULSA, Okla. — Tenstreet has made a huge addition by acquiring TextLocate, which specializes in driver communications for third-party logistic providers. “This strategic combination will seamlessly enhance driver communications with new freight visibility features coupled with automation to save time, improve transparency, and remove friction for both sides of the network,” a press release issued by Tenstreet stated. TextLocate combines chat and image capture with location, which Tenstreet says takes “driver visibility to the next level.” The key to the collaboration is TextLocate’s driver fraud deterrence and Tenstreet’s “commitment to privacy, compliance, and security, both companies’ dedication to protecting driver data and identity ensures drivers, brokers, and carriers can rest easy.” Tenstreet also promises that the partnership will bolster Tenstreet’s line of driver-centric efficiency and logistics tools by leveraging the Driver Pulse app, and joining forces with both TruckMap, Tenstreet’s trucking-specific navigation platform, and True Load Time, its detention-management service. TextLocate CEO Ryan Rogers expressed enthusiasm about the acquisition. “The inefficiencies of traditional communication methods are what drove me to create a solution that actually facilitates communication, simplifies your day, and makes it easy for drivers,” he said. “I’m beyond excited to work alongside the Tenstreet team to continue revolutionizing logistics and communications for the entire industry.” Tim Crawford, CEO of Tenstreet, shares Rogers’ passion. “With its driver-first focus, TextLocate is a natural fit for Tenstreet,” Crawford said. “The combined functionality will augment communications throughout the supply chain, improving relationships and adding new efficiencies – two things we constantly strive for in product development and in our own strategic growth.”

2024 Snapshot shows estimated cost of losing one driver reaching $12,799

Dana Guthrie - February 17, 2025

BRENTWOOD, Tenn. — Conversion Interactive Agency and People. Data. Analytics. (PDA) are releasing their 2024 Snapshot of the driver job market highlighting the issue of driver retention. “2024 presented significant challenges for driver recruitment and retention,” said Kelley Walkup, CEO of Conversion Interactive Agency. “A freight recession, reduced demand, and high inflation strained carriers, while shifting freight volumes, regulatory changes, and supply chain disruptions added further complexity.” Key Data Points The snapshot report compiles key data from the past year, delivering invaluable insights and trends to help carriers successfully recruit smarter and retain better in 2025. The driver job market became more competitive in 2024, with company driver job postings surging by 63.5% between April and December, according to a joint press release. “With drivers applying to multiple jobs at once, carriers have to move fast and be strategic,” Walkup said. “Technology that improves speed and efficiency in the hiring process are no longer optional—they’re essential to winning in 2025.” Driver Retention Driver retention remained a major challenge in 2024. The estimated cost of losing just one driver reaching $12,799. Understanding the root causes of turnover became more important than ever. “Retention is about more than just pay rates—it’s about ensuring drivers can actually earn the money they were promised,” said Scott Dismuke, vice president of operations, PDA. “When miles drop, pay drops, and that leads to frustration.” 60% of drivers who complained about compensation in 2024 cited “lack of miles” as the biggest issue. 81.9% of job-seeking drivers said they were looking for predictable pay. Uncertain freight volumes and fluctuating miles made it difficult for many drivers to feel financially secure. The uncertainty caused drivers to look elsewhere for work. 72% of drivers who had issues with operations blamed poor communication with their fleet manager. As the industry moves into 2025, driver recruitment and retention will continue to be shaped by economic pressures, regulatory changes and evolving driver expectations. With 21.5% of drivers saying they were waiting for the economy to improve before looking for a new job, fleets must prepare for potential shifts as market conditions change. Both Walkup and Dismuke emphasize that staying ahead in 2025 will require carriers to optimize their recruiting and retention strategies through technology, transparency and communication. “The data is clear,” Walkup said. “The carriers that will win in 2025 are those that prioritize new technology, communicate consistency in pay, and proactive engagement with their drivers. It’s not just about filling seats—it’s about keeping drivers happy, supported, and on the road.” Regulation Changes Regulatory shifts, including pay transparency laws in 14 states and three major cities, are changing how carriers communicate driver compensation. Keeping a close eye on evolving regulations will be critical for protecting employer brands in 2025, according to the report. To access the full report, click here.

Fleetio and FuelMaster join forces to cut fuel costs, prevent fraud

Dana Guthrie - February 17, 2025

BIRMINGHAM, Ala. — Fleetio is partnering with FuelMaster by Syntech Systems to help fleets track, manage and report on-site fuel usage. “Managing fuel at scale requires precise tracking and monitoring to prevent waste and control costs,” said David Landoch, sales director at Syntech Systems. “By integrating our data with Fleetio, we’re giving these fleets the automated tools they need to make smarter budget decisions and prepare their organizations for success.” High-Cost Resource Fuel is a critical, high-cost resource that directly impacts budgets and service reliability, specifically in industries such as government agencies, schools and large construction operations, which account for 30% of Fleetio’s global customer base. These fleets power essential infrastructure, public services and community operations, making accurate fuel management vital for maintaining uptime and controlling costs. According to a company press release, FuelMaster’s cloud-based system, FMLive, seamlessly syncs fuel transaction data from the pump directly into Fleetio, eliminating manual entry, reducing reporting errors and providing real-time insights into fuel consumption. This integration equips fleet leaders with the tools to monitor usage, prevent fuel loss and make informed decisions that optimize budgets while keeping essential services running efficiently. Why On-Site Fueling Matters On-site fueling offers greater control over fuel costs and usage, especially for fleets with high fuel consumption. By negotiating bulk purchase discounts and maintaining a consistent baseline price, fleets can prevent losses due to price fluctuations and shortages. Automated Data Entry Manual data entry can lead to errors, gaps in budgeting and forecasting and increased vulnerability to fuel fraud, according to the release. Automated data entry and reporting help fleets gain accurate fuel consumption and spend status, reducing the risk of fraudulent activity. “Fleetio’s integration with FuelMaster eliminates the need for manual fuel tracking and reporting tasks by automatically syncing fuel transaction data – including cost, volume, fueling station and odometer reading – directly from FMLive to Fleetio,” the release said. Additional benefits include: Detailed Reporting: Access transaction information for each asset and fueling location for faster reporting of site, tank and cost trends. Fuel Fraud Detection: Identify potential fuel theft with tank capacity alerts in Fleetio, paired with driver and pump access controls in FMLive. Cost Analysis: View fuel costs alongside maintenance data in Fleetio to see impact on total operating cost – including fuel expenses, repair costs, vehicle depreciation and operational inefficiencies – to support budgetary planning. Simplified Forecasting: Procurement teams can more accurately forecast fuel needs with vendors for monthly or quarterly purchasing. “Fuel accounts for 50% of a fleet’s operating budget, and accurate, automated data is essential to effective cost management,” said Wes Wamer, integrations product manager at Fleetio. “Integrating FuelMaster’s capabilities into Fleetio provides a seamless way to monitor fuel consumption and overall operational data. This access in one centralized location optimizes fuel consumption, reduces waste and increases vehicle uptime.”

Motive appoints Adam Block as chief revenue officer

Dana Guthrie - February 17, 2025

SAN FRANCISCO, Calif. — Motive is appointing Adam Block as chief revenue officer (CRO). “I am honored to step into the CRO position because of the important role Motive plays for its customers,” said Motive Chief Revenue Officer Adam Block. “It is rare to have the opportunity to lead a team that is selling a product with such an inspiring mission and customer value proposition. Motive is making roads safer for drivers and communities, and at the same time, making physical economy organizations more productive and more profitable.” Spurring Company Growth With over two decades of experience leading high-performing SaaS sales teams, Block has been instrumental in scaling Motive’s sales organization since joining two years ago as vice president of Enterprise, according to a company press release. Under Block’s leadership, the enterprise team delivered a banner fiscal year 2024, adding major customers across industries, including FedEx Freight, KONE, Davey Tree, Mavis Tires & Brakes, Peak Utilities, CoolSys, and Inframark. As CRO, Block will oversee global revenue and go-to-market functions, including sales, business development, strategy, operations, sales engineering, and partnerships. Record Fiscal Year Record revenue growth and enterprise momentum under Block’s leadership helped Motive close a record fiscal year in 2024. Motive increased the number of both $1 million ARR customers and $100K ARR customers by approximately 50% year-over-year, and achieved positive cash flow in Q4. He spearheaded successful new market expansions across Mexico, Canada, and the public sector, which further propelled growth. “Motive’s AI is transforming how our customers manage their physical operations,” said Shoaib Makani, co-founder and CEO. “Adam has played a pivotal role in shaping Motive’s enterprise sales team growth and development, driving revenue, and guiding the company’s go-to-market efforts. His proven ability to scale teams and deliver results will be critical as we meet growing global demand for our AI-powered solutions.” Since joining two years ago, Block has helped nearly triple the size of Motive’s enterprise business, build and scale the company’s enterprise sales team, and increased Motive’s market contact by over 500%. Block previously served as vice president at Medallia during the company’s successful initial public offering and subsequent $6.4B acquisition. Before Medallia, he served in sales leadership roles at Tenmast software (now MRI software) and Zeta Marketing, an internet marketing startup.

Dan Miranda named engine shop foreman at Advantage Truck Group

Dana Guthrie - February 16, 2025

SHREWSBURY, Mass. — Advantage Truck Group is promoting Dan Miranda to engine shop foreman for its Shrewsbury, Mass. location. “Dan has been a key member of our technician team,” said Christopher Pentedemos, senior vice president of network operations. “Now as foreman, his strong customer-focus and leadership skills combined with his technical expertise will continue to differentiate our engine shop for customers across the region. New Role “The engine shop is where I’ve always wanted to be,” Miranda said. “The expectations are high for everything we do, and the aftermath for our customers is they can expect to get their truck back working perfectly.” Miranda is assuming overall responsibility for engine shop operations and providing support to its team of diesel technicians. “As engine shop foreman, Miranda is dedicated to maintaining quality control for every truck,” ATG said in a press release. “From the minute it’s pulled into the engine shop and assessed correctly to determining warranties and making repairs, he ensures his team of technicians has the support, resources and tools they need.” Dedicated to His Craft Miranda joined ATG as a warehouse associate 12 years ago. “Although I went to school for electrical, my passion has always been working with a wrench and fixing things, especially engines,” Miranda said. “I shared with ATG that becoming a professional technician was my goal and I was committed to learning and doing what it took to make that happen.” Miranda progressed from working in the warehouse to the alignment shop, where he did brakes, drivetrain and electrical work. He took a road-side service position where earned his commercial driver’s license and vehicle inspector’s license while simultaneously taking training and certification classes at ATG where he earned all of the M2, Western Star and Freightliner Professional-level certifications. “I’m grateful for the opportunities I’ve had at ATG,” Miranda said. “The people here are like family to me, and I’ve learned so much from the veteran technicians who helped get me to where I am today.”

Banyan and Overhaul join forces to improve logistics security

Dana Guthrie - February 15, 2025

CLEVELAND, Ohio — Banyan Technology is announcing its integrated partnership with Overhaul. “Overhaul’s decision to partner with us is a testament to the strength of Banyan’s LIVE Connect platform and our shared vision for transforming freight management,” said Brian Smith, CEO, Banyan Technology. “By combining our advanced transportation management software and data connectivity capabilities with Overhaul’s state-of-the-art risk management tools, we’re delivering a single solution to help clients optimize their operations and safeguard their shipments.” This partnership follows Banyan’s other recent partnerships to advance technology in the logistics industry. LIVE Connect Software “The integration of Banyan’s LIVE Connect software with Overhaul’s risk management capabilities brings unparalleled benefits to LIVE Connect users,” Banyan said in a press release. “By extending their capabilities into real-time freight management with the Banyan integration, Overhaul provides the necessary bridge to enhance the overall user experience. This enhancement to end-to-end shipment transparency, real-time alerts for proactive risk mitigation and advanced theft prevention tools within a single platform means swifter risk response and more robust operational control for Shippers and 3PLs.” Manifest 2025 The collaboration will debut at Manifest 2025. Banyan and Overhaul will co-host an exclusive event to showcase the partnership. The partnership empowers shippers and 3PLs with unparalleled visibility, risk management and operational control. Banyan said that Manifest 2025 is the perfect stage to unveil the partnership. Smith noted that Banyan is excited to demonstrate how the combined technologies will set a new benchmark for excellence in freight management. “This partnership supports our goal of enhancing safety, visibility, security, and resilience in the logistics industry by scaling the impact through operational TMS systems,” said Marc Schrader, senior director of partnerships, Overhaul. “Banyan’s commitment to innovation, combined with their proven track record and robust platform, made them the natural choice for our first TMS integration leveraging our new logistics APIs. Together, we are delivering solutions that redefine what’s possible in the freight and logistics space.”

68% of commercial drivers report stress negatively impacts driving

Dana Guthrie - February 14, 2025

ATLANTA, Ga. — A new study released by Geotab Inc. is demonstrating a need for increased support for commercial drivers to address rising concerns about their wellbeing and road safety. “Our research shows a direct, and critical link between driver wellbeing and the overall performance of the transportation industry,” said Vik Sridhar, product leader. “The future of the transportation industry depends on a thriving workforce. Prioritizing driver support is a strategic necessity for carriers to attract, and retain drivers, leading to better business outcomes and safer roads.” Driver Shortages As challenges around driver shortages continue, the study emphasizes that investing in comprehensive driver support systems is essential to improving job satisfaction, reducing turnover and ensuring safer roads. High turnover rates create costs for recruiting and training new drivers, with carriers experiencing lower productivity and generally higher crash rates, according to a 2024 study from the National Academies of Sciences, Engineering and Medicine. Replacing a single driver can cost somewhere in the region of $10,000 to $20,000, while the cost of trucking has reached an all-time high of $2.27 per mile. Complex Challenges The Geotab study reveals the complex challenges commercial drivers face, many of which contribute to job dissatisfaction. A significant number of drivers report regularly exceeding the speed limit to meet job demands. 60% say that congestion makes their work more challenging. 76% of drivers observe others using mobile phones, highlighting other risky road behaviors. These findings point to a clear need for ongoing training focused on safe driving practices to address both driver wellbeing and road safety. These results underscore the importance of addressing structural challenges like an aging workforce, barriers to entry for new drivers, and lifestyle demands that don’t align with trucking. Poor driving results in thousands of fatalities annually. According to the Federal Motor Carrier Safety Administration (FMCSA) the average cost of a large truck crash involving a fatality is $3.6 million per crash. “It’s clear that proactive support for drivers can reduce accident risks, and improve overall performance,” Geotab said. “Geotab’s research demonstrates the importance of investing in driver support programs, promoting stress management techniques, and fostering a culture of safety within the transportation industry. By taking these steps, companies can not only improve road safety but also gain a competitive advantage in attracting and retaining drivers.” Full research findings are available in the Geotab e-book, “The Ripple Effects of Driver Stress on Road Safety and the Bottom Line.”

BeyondTrucks’ latest smart scheduling features takes center stage

Dana Guthrie - February 14, 2025

SAN FRANSISCO, Calif. — BeyondTrucks is announcing a new embedded smart scheduling features that will empower dispatchers with intelligent tools that bring more efficiency and allow them more time to make complex decisions. “One critical area of trucking operations where traditional TMS platforms have underperformed is scheduling,” said Hans Galland, CEO. “Our virtual scheduling boards have always matched a load planner’s and dispatcher’s natural workflow. Today we’re taking this evolution a step further with three brand new features. With these developments we’re using smart data and AI to create highly intuitive tools that take efficient utilization of drivers and equipment to the next level.” New features of the BeyondTrucks TMS for load planners and dispatchers include: Predictive ETA Learning from every mile driven, this feature considers factors like traffic patterns, road speed and dwell times to generate accurate delivery estimates and automatically alert dispatchers when delays threaten delivery windows. Powered by GPS data for tracking live driver locations, the BeyondTrucks TMS now provides a real-time Estimated Time of Arrival (ETA) for loads that enhances dispatch efficiency and customer communication. Smart Duration Display Using historical data and real-time conditions, the BeyondTrucks TMS now shows precise load durations for custom-defined lanes or based on a fleet’s settings. Bringing a higher level of intelligence, Load Duration Display for Dispatching drives load planning and coordination efficiency that leads to better asset utilization and improved driver satisfaction with more realistic schedules. Dynamic Rate Management By tracking billable time from first arrival to final departure and allowing fleets to specify exactly when rates apply during a load’s journey, the BeyondTrucks TMS ensures more precise rate calculations and improves billing accuracy. With the new Rate Item Enhancement: Time Reference Configuration feature, fleets can now eliminate revenue leakage and provide transparency that builds customer trust. While traditional TMS solutions digitize basic operations, they fall short in scheduling capabilities, one of the main and most essential aspects of fleet operations. For that reason, many fleet dispatch and load planning operations still use white boards or the calendar function of their email tool. At the same time, dispatchers are continually juggling phone calls and load planners are struggling to optimize routes. “This inefficient and unproductive reality inspired us to transform the fleet scheduling function in our TMS,” Galland said, “These new features are more than just software updates. They’re intelligent tools that empower dispatchers and load planners with efficient and time saving ways to make smarter and more complex decisions for their day-to-day operations. With these capabilities we’re turning fleet management into a science while keeping the human element that makes great dispatchers invaluable.”

Casey’s partners with RoadFlex to deliver fuel savings

Dana Guthrie - February 14, 2025

NEW YORK, N.Y. — Casey’s General Stores is partnering with RoadFlex to bring fuel savings for fleets nationwide. “Fleet operators face constant pressure to control expenses, and fuel is often their largest line item. Partnering with Casey’s allows us to deliver immediate value to the fleets we serve”, said Greg Soh, president, RoadFlex. The program will be available to RoadFlex cardholders at over 2800 Casey’s locations. Significant Savings With fuel expenses accounting for a significant portion of fleet operating costs, every cent matters. The savings are automatic and straightforward for RoadFlex card users—no activation or redemption is required. The discount is applied instantly at the pump and reflected in customers’ transaction reports. This makes it easier for fleet managers to track and manage fuel expenses. As fuel prices continue to fluctuate, Casey’s has expanded its fleet discount programs to offer more savings opportunities for professional drivers and fleet managers. “We are excited to participate the RoadFlex program and offer fuel discounts to their cardholders when they fill up at Casey’s,” said Tony Spuzello, director of commercial fuel at Casey’s. For fleet operators, RoadFlex’s fuel card and fuel risk management platform is more than just a way to save at the pump, according to the release. With no hidden fees, real-time reporting, and streamlined expense management tools, RoadFlex helps businesses monitor and optimize fuel spending effortlessly.

Cass Freight Index tumbles again: What’s behind the decline?

Dana Guthrie - February 14, 2025

The shipments component of the Cass Freight Index continued to tumble in January, down 5.3% m/m. According to a media release, about half of the decline was normal seasonality. More bad weather than normal and unusual weather in the Southeast also contributed. On a y/y basis, shipments declined 8.2% in January. Seasonally adjusted, the index fell 2.7% m/m, extending a 3.1% decline in December. It is the lowest level since July 2020. Private fleet capacity additions continue to pull freight from the for-hire market. LTL consolidation is also putting pressure on this index. The normal seasonal pattern would have the index down about 10% y/y in February, but it should be smaller if milder weather continues. Some national fleets that experienced similar declines, like XPO, attributed about 3pps to weather. After rising 13% in 2021 and 0.6% in 2022, the index declined 5.5% in 2023 and 4.1% in 2024. The index is trending toward another decline in 2025. Cass Freight Index – Expenditures The expenditures component of the Cass Freight Index, which measures the total amount spent on freight, fell 4.8% m/m in January. The y/y decline widened to 4.2% from 3.4% in December. “The decline in spending was again from shipments, which fell 5.3% m/m,” the release said. “Comparing the changes in shipments and overall spending, we infer rates rose 0.5% m/m in January in the fourth straight price increase.” In SA terms, the index fell 2.6% m/m, with shipments down 2.7% and rates up less than a tenth of a percent. This index includes changes in fuel, modal mix, intramodal mix and accessorial charges, so it is a bit more volatile than the cleaner Cass Truckload Linehaul Index, according to the release. The expenditures component of the Cass Freight Index, after a record 38% surge in 2021 and another 23% increase in 2022, fell 19% in 2023 and 11% in 2024. Inferred Freight Rates The rates embedded in the two components of the Cass Freight Index rose 0.5% m/m in January, following a 5.1% increase in December, and representing the fifth straight increase. In SA terms, inferred rates were unchanged m/m. On a y/y basis, Cass Inferred Freight Rates™ accelerated to a 4.3% y/y increase in January, after turning positive for the first time in two years in December. After a 7% decline in 2024, freight rates are starting 2025 on track for low- to mid-single-digit increases in 2025. Based on the normal seasonal pattern, this index may accelerate further in February and is headed for a modest increase in 2025. Truckload Linehaul Index The Cass Truckload Linehaul Index rose 0.6% m/m in January, the fifth straight small increase from a cycle low in August. The y/y change inflected to a 0.8% increase in January from a 0.4% decline in December. “There you have it, folks, another important positive freight cycle inflection,” the release saia. “For those looking for something similar to the past two cycles, expect a long wait, but this cycle is moving in a positive direction.” This index fell 10% in 2023, and another 3% in 2024. Where it will go in 2025 is a big question, but it is off to a positive start. Freight Expectations “While feeling like a bit of a broken record, we still think private fleet capacity additions are likely the main reason for-hire freight volumes continue to decline,” the release said. “As cost economics reassert their influence, the long-term trend toward outsourcing will eventually return, but the extended 2023 and 2024 downcycle was characterized by an extraordinary post-pandemic insourcing. This is now slowing, which suggests improving for-hire demand trends, but 2025 and 2026 capacity decisions will be characterized by looming industry regulations.” In recent Q4 results, the large truckload fleets reported capacity reductions of about 5% y/y, with little sequential change. New Class 8 tractor sales tell us that overall, capacity is still being added. News like the recent divestiture of Walmart’s Canada fleet to a for-hire provider suggest the insourcing trend may be running its course, but much will depend on the changing regulatory environment. “Perhaps the most important takeaway this month is that while volumes remain soft, capacity has adjusted enough to result in modestly higher rates,” the release said. “In addition to tariffs, this could be a key theme of 2025.”

CVSA is an important ‘member’ of a trucking company’s safety team

Cliff Abbott - February 13, 2025

This year, the Commercial Vehicle Safety Alliance (CVSA) will once again be working to make the roads safer for everyone this year. However, because the CVSA members that drivers come in contact with are usually law-enforcement officers, many drivers have misconceptions about the organization, its purpose and its membership. The CVSA website describes the alliance this way: “a nonprofit organization comprised of local, state, provincial, territorial and federal commercial motor vehicle safety officials and industry representatives.” Those “industry representatives” include carriers, manufacturers, educators, suppliers, vendors, schools, insurers, trucking associations and more. More than inspections Although vehicle inspections are only part of what CVSA does, they are involved from beginning to end. Long before an inspector crawls under a truck, the CVSA has defined what should be inspected, how the inspection is done and what criteria are used to determine if a defect exists. That’s why an inspector on the plains of Saskatchewan performs the same inspection as the one at the scale house in Grovetown, Georgia, Ellsworth, Maine or even on the side of the road in Samalayuca, Chihuahua Provence, Mexico. Local and regional laws may specify additional items to be checked, but the CVSA checklist ensures that specified items are checked in the same way. The CVSA conducts workshops and conferences throughout the year that bring together experts from across transportation to review inspection lists and procedures, modifying current processes and creating new ones when the need arises. Training is provided for technicians and inspectors, and an annual North American Inspectors Championship pits the best against their peers. CVSA also develops standards and conducts training for Hazardous Materials hauling, storing and tracking crash investigation information, and development of instructors in the process. The CVSA events that most drivers are interested in, however, are those that focus on truck and driver inspections that are likely to result in being selected for inspection. Many drivers dread events like International Roadcheck, an annual 72-hour inspection blitz across North America in which thousands of vehicles are inspected. During the 2024 event, nearly 49,000 inspections were conducted in which 23% of vehicles and 4.8% of drivers were placed Out of Service (OOS). The odds of being delayed for an inspection or placed OOS for a failure are enough to cause many drivers to simply shut down during that week. Some schedule vacations or time off, while some simply park their trucks until the event is over. So many trucks are removed from the road that freight spot rates are impacted, rising in response to the increased competition for trucks to move shipments. But removing unsafe vehicles and drivers isn’t the only benefit provided by the Roadcheck event. In preparation for being inspected, carriers and drivers pay closer attention to the condition of their vehicles. More annual and pre-trip inspections are performed and repairs made prior to the CVSA event. Everyone becomes more aware of truck safety and the need to be diligent about keeping equipment in top condition. The publicity helps educate the general public about trucking and efforts to make the industry safer. What is in store for 2025 The 2025 International Roadcheck is scheduled for May 13-15. For each year’s event, focus areas are specified, but they have not yet been released for this year’s event. Another annual CVSA event, Operation Airbrake is scheduled for August 24-30, 2025. Additionally, an unannounced, one-day initiative will be conducted on an unspecified date. This event focuses on an area of truck inspections that is frequently cited for violations. During the 2024 event, nearly 17,000 vehicles were inspected with 12.8% of them placed OOS for brake or other violations. Operation Safe Driver is another annual CVSA initiative, one that focuses on drivers of passenger vehicles as well as trucks. The program addresses the high number of traffic crashes that are caused by driver actions, estimated to be about 94% of all crashes. Education of drivers is a primary goal of the event, which helps make drivers of smaller vehicles more aware of techniques for sharing the road with trucks. Public service announcements (PSAs) in the form of short videos are distributed to media outlets to help educate the public and other materials are given to educators of teens and new or inexperienced drivers. During the 2023 event, officers issued 2,634 citations (plus 4,592 warnings) to commercial vehicle drivers and 1,860 tickets (1,164 warnings) to passenger vehicle drivers. Results of the 2024 event have not yet been published. Drivers can help eradicate a critical issue While these CVSA events help focus attention on common inspection and traffic issues, they certainly aren’t the only contact drivers have with CVSA. Any official inspection, whether referred to as a DOT/FMCSA or other inspection, is most likely performed using the CVSA checklist, recorded on a CVSA form and submitted through a CVSA process. One CVSA campaign that drivers may not be aware of is its annual five-day Human Trafficking Awareness Initiative. The Alliance teamed up with TAT (formerly Truckers Against Trafficking) to distribute educational materials to carriers, drivers and other interested parties. The two groups worked together to produce human trafficking videos to be aired on Pluto TV, Paramount+ and other streaming services. While many drivers are aware of prostitution around truck stops and other areas where trucks gather, they may not understand that many of those who participate are coerced into the trade by traffickers. Drivers who suspect human trafficking is occurring are encouraged to call 911 for intervention by local police. The U.S. National Human Trafficking Hotline is available 24/7 at 888-373-7888 for reporting, however, another call would need to be made to alert local authorities. When it comes to inspections and dealing with law enforcement, each driver’s attitude is different. But knowing that CVSA membership lists may include your hometown police, the carrier you drive for, the people that built your truck and an organization or two that you support might help change the “us vs. them” narrative. After all, we’re all on the same team — and that’s a point worth driving home.

FMCSA grants HOS waiver for chicken haulers due to egg shortage from bird flu

Dana Guthrie - February 13, 2025

WASHINGTON — The United States Department of Transportation (USDOT) and Federal Motor Carrier Safety Administration (FMCSA) are issuing an emergency waiver due to egg shortages that have resulted due to bird flu. “This declaration is in response to the spread of highly pathogenic avian influenza (HPAI) resulting in the widespread loss of chicken flocks in affected areas impacting populations and the national food supply including the supply of eggs, and its effects on people and property, including immediate threats to human life, public safety and public welfare,” the declaration said. “This Declaration addresses the emergency conditions creating a need for immediate interstate transportation of live chickens from highly impacted areas.” States Request Emergency Declaration Between December 18, 2024 and January 2, 2025, the Governors of the States of California, Iowa, and Louisiana issued emergency declarations related to HPAI; each of these declarations resulted in up to 14 days of emergency relief. Because emergency conditions related to HPAI have not abated and have arisen in other states, FMCSA is issuing this Declaration and expanding and granting regulatory relief. The declaration provides regulatory relief for commercial motor vehicle operations providing direct assistance supporting emergency relief efforts involving transportation of live chickens from areas impacted by HPAI to unaffected areas. Direct assistance does not include routine commercial deliveries, including mixed loads with a nominal quantity of qualifying emergency relief added to obtain the benefits of this emergency declaration. Emergency Declaration Restrictions & Conditions By execution of this Declaration, motor carriers and drivers providing direct assistance to the emergency transporting live chickens from areas impacted by HPAI to unaffected areas are granted emergency relief from regulations subject to the following restrictions and conditions: Before dispatch the motor carrier must have a valid agreement from the receiving facility to accept delivery of the live chickens. A driver must not driver more than 16 hours in any 24-hour period. The driver must stop all driving at 12:00 a.m. (midnight) each day. The driver must take a minimum of a 6-hour break in a sleeper berth before resuming any driving. Drivers must use paper records of duty status (RODS) and supporting documents, maintain RODS and supporting documents for 6 months from the date the record is prepared, and make RODS and supporting documents accessible to FMCSA and law enforcement upon request. Drivers must maintain a valid commercial driver’s license and not be subject to an out-of-service order or loss of driving privileges. Motor carriers or drivers currently subject to an out-of-service order are not eligible for the relief granted by this waiver until they have met the applicable conditions for its rescission and the order has been rescinded in writing by the issuing jurisdiction. Motor carriers and drivers must comply with all applicable Federal and State requirements such as U.S. Department of Agriculture and State Departments of Agriculture requirements for transporting live chickens, and obtain any necessary authority to load, transport, and deliver the live chickens, and carrying all required documentation. Motor carriers and drivers must, before transport begins, ensure that they have any and all approvals necessary for the loading, transport, and delivery of the live chickens; Motor carriers and drivers covered by this waiver must comply with all other applicable provisions of the FMCSA and Hazardous Materials Regulations. Nothing in this waiver shall be construed as a waiver of or exemption from any applicable requirements or any portion of the FMCSRs including the controlled substance and alcohol uses and testing requirements, the commercial driver’s license requirements or the financial responsibility (insurance) requirements, Federal Hazardous Materials Safety Regulations (HMRs); vehicle size, and weight limitations, as well as route designations administered by the FHA, any requirement of the U.S. Department of Agriculture, or any other regulations for which relief is not specifically granted herein. Accident Notification. Each motor carrier must notify FMCSA within 5 business days of an accident (as defined in 49 CFR 390.5), involving any CLP holder operating under the terms of this waiver. See 49 CFR 390.15(b) (requiring maintenance of accident registry.) Notification shall be by email to [email protected]. The notification must include the following information: Date of the accident. City or town, and State in which the accident occurred, or closest to the accident scene. Driver’s name and license number. Vehicle number and State license number. Number of individuals suffering physical injury. Number of fatalities. The police-reported cause of the accident (if available at time of the report) and whether the driver was cited for violation of any traffic laws, or motor carrier safety regulation. Additional Information This Emergency Declaration provides for regulatory relief from 49 CFR § 395.3 for commercial motor vehicle operations while providing direct assistance supporting emergency relief efforts. Direct assistance terminates when a driver or commercial motor vehicle is used in interstate commerce to transport cargo or provide services that are not in support of emergency relief efforts related to the emergency as set forth in this Emergency Declaration, or when the motor carrier dispatches a driver or commercial motor vehicle to another location to begin operations in commerce. Upon termination of direct assistance to emergency relief efforts related to the emergency as set forth in this Emergency Declaration, the motor carrier and driver are subject to the requirements of 49 CFR § 395.3 while operating commercial motor vehicles, except that a driver may return empty to the motor carrier’s terminal or the driver’s normal work reporting location without complying with 49 CFR § 395.3, except as noted herein. When a driver is moving from emergency relief efforts to normal operations, a 10-hour break is required when the total time a driver is engaged in emergency relief efforts, or in a combination of emergency relief and normal operations, equals or exceeds 14 hours. Declaration Effective Immediately In accordance with 49 CFR §§ 390.23 and 390.25, this Declaration is effective immediately and shall remain in effect until the end of the emergency (as defined in 49 CFR § 390.5T) or until 11:59 P.M. (EST), March 10, whichever is earlier. FMCSA intends to continually review the status of this Declaration and the relief granted herein. As necessary, FMCSA may take action to modify this Declaration, including modification of the transportations and commodities covered by the Declaration, and extend, or terminate the Declaration if conditions warrant.

Accuride confirms reorganization plans post bankruptcy

Dana Guthrie - February 13, 2025

LIVONIA, Mich. — Accuride’s North America affiliates are reporting that the United States Bankruptcy Court for the District of Delaware confirmed the company’s Chapter 11 Plan of Reorganization. “The confirmation of our reorganization plan marks the near conclusion of our restructuring process, positioning Accuride to emerge from Chapter 11 as a stronger company, well-positioned for long-term success,” said Robin Kendrick, president, CEO. “With the support of our lenders, we are excited about our strengthened capital structure, which provides the financial foundation upon which to sustainably continue our growth and success as a North American wheel company in 2025 and beyond. We look forward to continuing to serve our team members, customers, suppliers, and all stakeholders in the bright future we have ahead.” Moving Forward Accuride expects to emerge from Chapter 11 in the coming weeks. The plan refocuses the business on the company’s core North American wheels segment. It strengthens its balance sheet via the equitization of over $400 million of funded debt and restructuring of ~$170 million of additional obligations. In conjunction with the recapitalization, Accuride will receive a significant new investment from its existing investors in the form of a $70 million asset-based lending facility and $85+ million exit facility, both of which are designed to bolster liquidity and support long-term growth. The confirmed plan was supported by a substantial majority of Accuride’s financial and operational stakeholders, including Crestview, its financial sponsor; 100% of its prepetition term loan / DIP lenders who voted on the Plan; 100% of its ABL lenders; and the unsecured creditors’ committee that includes the United Auto Workers union, Pension Benefit Guaranty Corporation, and key suppliers. Restructuring Plans For additional information about Accuride’s restructuring, including access to court filings and other documents related to the Court-supervised process, please visit cases.omniagentsolutions.com/accuride, call (866) 956-2136 (U.S. & Canada) and (747) 263-0154 (International). Kirkland & Ellis is serving as legal counsel, Perella Weinberg is serving as investment banker and Alvarez & Marsal is serving as restructuring advisor to Accuride. The members of the ad-hoc group of lenders are represented by Weil, Gotshal & Manges LLP as legal counsel and Lazard as investment banker.

December 2024 TSI down 0.1% from November

Dana Guthrie - February 13, 2025

WASHINGTON — The Freight Transportation Services Index (TSI), which is based on the amount of freight carried by the for-hire transportation industry, fell 0.1% in December from November. According to the U.S. Department of Transportation Bureau of Transportation Statistics (BTS), the TSI dropped for the second consecutive month. From December 2023 to December 2024 the index fell 1.0%. The level of for-hire freight shipments in December measured by the Freight TSI (137.3) was 2.9% below the all-time high of 141.4 reached in August 2019 (Table 2A). BTS’ TSI records begin in 2000. Analysis The Freight TSI decreased in December due to seasonally adjusted decreases in water and trucking, while air freight, rail carload, rail intermodal and pipeline grew. The December decrease came in the context of positive results in other indicators. The Federal Reserve Board Industrial Production (IP) Index was up 0.9% in December, reflecting increases of 0.6% in manufacturing, 2.1% in utilities and 1.8% in mining. Housing starts were up 15.8% and Personal Income increased by 0.4%. The Institute for Supply Management Manufacturing (ISM) index was up 0.9 to 49.3 but still indicating a contraction. A reading above 50 indicates an expansion of U.S. manufacturing, while a reading below 50 indicates a contraction. Although the December Passenger TSI is being withheld because of the previously cited difficulty of estimating airline passenger travel, the November index is now being released. The index grew by 0.8% from October to November. Seasonally adjusted air passenger and rail passenger grew, while transit declined. The Passenger TSI has now exceeded its level in March 2020 —the first month of the pandemic— for forty-two months in a row but remains below its pre-pandemic level (February 2020) for the 57th consecutive month. Trend The December freight index decrease was the third decrease in four months leaving the index 2.1% below its level in August 2024. The index increased 3.5% since August 2021. The December Freight TSI exceeds the pandemic low in April 2020 by 10.4%; the index increased month-over-month in 32 of the 56 months since that low. Index Highs and Lows For-hire freight shipments in December 2024 (137.3) were 44.4% higher than the low in April 2009 during the recession (95.1). The December 2024 level was 2.9% below the historic peak (since 2000) reached in August 2019 (141.4). Year to Date For-hire freight shipments measured by the index were down 1.0% in December compared to the end of 2023. Long-term Trend For-hire freight shipments are up 1.0% in the five years from December 2019 and are up 11.4% in the 10 years from December 2014. Same Month of Previous Year December 2024 for-hire freight shipments were down 1.0% from December 2023. Q4 Changes The freight TSI fell 1.2% in the 1st quarter, rose 1.0% in the 2nd quarter, remained unchanged in the 3rd quarter (with the September 2024 index equaling the June 2024 index), and fell 0.9% in the 4th quarter.

BRW names Brandy Pennington as executive vice president of finance

Dana Guthrie - February 13, 2025

OXFORD, Ala. and LEXINGTON, Ky. – BRW is appointing Brandy Pennington as executive vice president of finance. “Brandy’s deep financial expertise and leadership experience make her a valuable addition to our executive team,” said Nate Haney, CEO. “Her strategic approach to financial management and dedication to team development will be instrumental as we continue to expand and strengthen our organization to meet our company and customers’ goals.” New Role With nearly two decades of financial leadership experience, Pennington brings a wealth of expertise in corporate finance. She is also an expert in accounting and strategic financial planning, according to a company press release. She will oversee the company’s financial strategy, accounting functions, internal controls and process efficiencies. Pennington is a seasoned leader known for building high-performing teams. She is committed to fostering growth and operational excellence within the finance department and across the organization. “I’m thrilled to join BRW and contribute to its continued growth success,” Pennington said. “I look forward to working with the team to strengthen financial strategies, enhance operational efficiency, and support the company’s long-term strategy for growth.” Veteran Leader Pennington began her career in public accounting with Ernst & Young, gaining a strong foundation in finance and accounting. She has held key leadership positions in public and private companies, managing financial operations for businesses ranging from $100 million to over $2 billion in annual revenue. Her extensive experience includes financial reporting, SEC compliance, internal controls, and business unit financial leadership. Prior to joining BRW, Pennington served as vice president, Corporate Controller at Tarter Gate Company, where she led corporate accounting initiatives. She also held leadership roles at Unity Aluminum, Ramaco Resources, Valvoline, and RAAM Global Energy, where she played a pivotal role in enhancing financial operations and driving process improvements. A Certified Public Accountant Pennington earned her Bachelor of Business Administration in Accounting from Morehead State University. She is actively involved in the community having served on the board of Girls on the Run of the Bluegrass. Pennington is also volunteer leader with the Junior League of Lexington. She has also dedicated time to coaching youth sports and leading Girl Scout troops.

DAT: Uncertainty looms despite a steady January for truckload freight

Dana Guthrie - February 13, 2025

BEAVERTON, Ore. — Spot truckload freight volumes increased in January as shippers replenished inventories after the holidays, pulled forward imports ahead of potential tariffs, and sought more flexible, short-term capacity on the spot market to cope with disruptive winter weather, according to DAT Freight & Analytics, which operates the DAT One freight marketplace and DAT iQ data analytics service. DAT Truckload Volume Index A measure of van, refrigerated (“reefer”), and flatbed loads moved in a month, the DAT Truckload Volume Index (TVI) increased for all three equipment types: Van TVI: 277, up 6% Reefer TVI: 237, up 7% Flatbed TVI: 256, up 8% The TVI was higher for all three equipment types year over year. The van TVI was up 8%, the reefer TVI jumped 13%, and the flatbed TVI increased 6%. The van TVI was year-over-year positive for the tenth consecutive month. Spot Rates See Modest Rise “January was a month of mixed indicators, with shippers rebalancing inventories as they typically do while responding to the uncertainty of tariffs, higher fuel costs, and unusually bad weather,” said Ken Adamo, DAT chief of analytics. National average spot rates rose but did not keep pace with demand. January’s average van rate increased 4 cents to $2.16 a mile, the reefer rate increased 8 cents to $2.55, and the flatbed rate gained 5 cents to $2.44. Spot rates were also buoyed by carriers negotiating to recover higher fuel costs compared to December. Linehaul rates, which subtract an amount equal to an average fuel surcharge, increased modestly. The van linehaul rate averaged $1.76 a mile, up 2 cents month over month. The reefer rate was $2.12, 6 cents higher, and the flatbed rate was $1.96, a 2-cent increase. On-highway diesel fuel averaged $3.63 a gallon in January, a 14-cent increase from December.

US inflation got worse with rising prices on groceries and gasoline

The Associated Press - February 13, 2025

WASHINGTON (AP) — U.S. inflation accelerated last month as the cost of groceries, gasoline and rents rose, a disappointment for families and businesses struggling with higher costs and likely underscoring the Federal Reserve’s resolve to delay further interest rate cuts. The consumer price index increased 3% in January from a year ago, Wednesday’s report from the Labor Department showed, up from 2.9% the previous month. It has increased from a 3 1/2 year low of 2.4% in September. The new data shows that inflation has remained stubbornly above the Fed’s 2% target for roughly the past six months after it fell steadily for about a year and a half. Elevated prices turned into a major political hurdle for former President Joe Biden. President Donald Trump pledged to reduce prices on “Day 1″ if elected, though most economists worry that his many proposed tariffs could at least temporarily increase costs. The unexpected boost in inflation could dampen some of the business enthusiasm that arose after Trump’s election on promises to reduce regulation and cut taxes. The Dow fell 400 points in mid-day trading Wednesday. Bond yields rose, a sign traders expect inflation and interest rates to remain high. “We’re really not making progress on inflation right now,” Sarah House, senior economist at Wells Fargo. “This just extends the Fed’s hold.” Inflation often jumps in January as many companies raise their prices at the beginning of the year, though the government’s seasonal adjustment process is supposed to filter out those effects. Yet House said inflation’s stubbornness wasn’t just a one-month blip. Consumers — particularly wealthier ones — are still spending at a robust pace, giving many companies less reason to hold down prices. And much of the decline in inflation in 2023 and early last year stemmed from supply-chain improvements, but that trend has mostly played out. Excluding the volatile food and energy categories, core consumer prices rose 3.3% in January compared with a year ago, up from 3.2% in December. Economists closely watch core prices because they can provide a better read of inflation’s future path. Inflation also worsened on a monthly basis, with prices jumping 0.5% in January from December, the largest increase since August 2023. Core prices climbed 0.4% last month, the most since March 2024. Grocery prices climbed 0.5% just in January, pushed higher by a 15.2% surge in egg prices, the biggest monthly increase since June of 2015. Egg prices have soared 53% compared with a year ago. An avian flu epidemic has forced egg producers to cull from their flocks about 40 million birds in December and January. Stores have imposed limits on egg purchases and restaurants have placed surcharges on egg dishes. The cost of car insurance continues to rise, and picked up 2% just from December to January. Hotel prices rose 1.4% last month, while the cost of a gallon of gas moved up 1.8%. Trump’s tariffs are making life more complicated for Phil Hannon, vice president of operations at Abt, a consumer electronics store in Glenview, Illinois. Roughly 60% of Abt’s sales are appliances, big and small. The rest are in consumer electronics like TVs and computers, and furniture. Hannon expects to raise prices between 3% and 15% as soon as March to offset the impact of tariffs, including the steel and aluminum duties. He’s received notices from vendors over the past two weeks warning about eventual price increases, though they’re not specific. To get ahead of the cost increases, Hannon has been locking in orders from suppliers for up to 90 days. Hannon said that many customers are already asking about price increases and when the tariffs are coming. He started seeing a noticeable pickup of customers ordering products like washing machines this month to get ahead of the tariffs. Separately, Fed Chair Jerome Powell said Wednesday in testimony before the House Financial Services Committee that the Fed “has made great progress” on inflation “but we’re not quite there yet.” “Today’s inflation print … says the same thing,” he added. As a result, the Fed wants to keep rates “restrictive for now,” he said. At its current level, the Fed’s key rate is restricting borrowing and spending by consumers and businesses, Powell has said. With inflation down significantly from its 9.1% peak in June 2022, the Fed cut its rate to about 4.3% in its final three meetings last year. It raised its benchmark rate in 2022 and 2023 to a two-decade high of 5.3% to combat inflation. The Fed’s rate typically influences other borrowing costs for everything from mortgages to credit cards. Early Wednesday, Trump said on social media that interest rates should be lowered, “something which would go hand in hand with upcoming Tariffs!!!” Yet the tick up in consumer prices makes it less likely the Fed will cut rates anytime soon. One sign of concern for economists is that goods prices, excluding food and energy, rose 0.3% in January from the previous month. Prices for cars, furniture, and appliances had been flat or falling after supply-chain kinks stemming from the pandemic were resolved. Yet now those prices have ticked up even before tariffs have been launched. Trump has imposed 25% tariffs on steel and aluminum, which could push the cost of cars, appliances, and industrial machinery higher. He also said earlier this week he would impose “reciprocal tariffs” on countries that have high duties on U.S. goods. “There’s just a stew of uncertainty that if it lasts and lingers over the next couple months, you could see business confidence come down,” Anthony Saglimbene, chief market strategist at Ameriprise, said. That could reduce hiring and investment, he said. On Tuesday, Powell acknowledged that higher tariffs could lift inflation and limit the central bank’s ability to cut rates, calling it “a possible outcome.” But he emphasized that it would depend on how many imports are hit with tariffs and for how long. “In some cases it doesn’t reach the consumer much, and in some cases it does,” Powell said. “And it really does depend on facts that we we haven’t seen yet.” AP Retail Writer Anne D’Innocenzio contributed to this report from New York.