road scholar transport

Trucking Updates: The Latest Happenings in the Industry and What You Need to Know

Trucking Updates:  The Latest Happenings in the Industry and What You Need to Know

Hours-of-Service Reform:

Last week, the Federal Motor Carrier Safety Administration (FMCSA) announced that the agency was in the process of creating a notice of proposed rulemaking (NPRM) which would bring about major changes to Hours-of-Service regulations for truck drivers.  While exact changes that the agency is looking to reform have not yet been made available, greater flexibility for on and off-duty time was one of the initiatives FMCSA Administrator Ray Martinez hinted at during a speech he made at the Omnitracs User Conference in Dallas. (1)  A NPRM was expected to publish this month but the partial government shutdown may cause a delay.

Storage Trailer Trend Continues to Climb as Warehouse Availability Drops

The utilization of empty trailers for storage purposes became an increasing trend in 2018, when warehouse vacancy hit a nationwide record low of 4.3%, according to CBRE.  In fact, during 3Q 2018, empty warehouse availability dropped by 7.1%, with the problem worsening during the holiday season when retailers look to stock up on product prior to a surge in purchasing activity.

E-commerce, no doubt, plays a large part in this.  In fact, according to the U.S. Census Bureau, domestic e-commerce sales reached $130.9 billion in 3Q 2018, a 14.5% increase from 3Q 2017, and making up approximately 10% of the total US retail revenue.

Another factor relates to building limitations for those facilities built prior to the mid-2000s, most of which have “limitations that preclude their use for e-commerce distribution, such as low ceilings, small footprints, uneven floors, and inadequate docking.” (1)

It comes as no surprise that the decline in warehouse availability is leading to higher rental rates for industrial space, with asking prices increasing 1.7% in 3Q 2018, another record high according to CBRE. 

But there is another option and the trend is catching on quickly…storage trailers.

Shippers have found that utilizing a truck’s empty 53’ trailer provided a mobile, cheaper, and reusable solution to the growing problem.  As an article in the Wall Street Journal notes, “one national retailer has used as many as 1,000 of their trailers to store returned goods,” freeing up space on their dock and saving the company from finding and renting warehouse space. (2)

Here’s how we can help:

Road Scholar Transport is renting and leasing storage trailers in the following areas surrounding our terminals:

-Dunmore, PA

-Leominster, MA

-Jersey City, NJ

-Philadelphia, PA

-Denver, PA

-Mechanicsburg, PA

Our trailers provide a short-term solution to overage, saving you money and space!

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Road Scholar’s storage trailers are:

-Available for long-term and short-term lease/rental

-Available in 48’ and 53’ sizes

-Roadworthy… newer and older trailers are available

-Weather-tight…preventing damage to your freight

-Equipped with GPS tracking

-Available in swing or roll-up doors

-Available in dry van or reefer

-Secured with Navalock

-Available in wood or aluminum flooring

-Provides a mobile warehousing solution

For questions, rates, and availability, please contact Bob Norton at Bob.norton@roadscholar.com or 1-877-288-8336.

 

(1)https://talkinglogistics.com/2019/01/09/excess-inventory-trailers-yard/

(2)https://www.wsj.com/articles/swamped-with-inventory-u-s-companies-turn-to-mobile-storage-11546020910?mod=e2li