According to new statistics, spot market prices look as though they have begun to coincide with Class 8 truck orders. The correlation is more than coincidental - they actually seem to be working almost in tandem with each other.
The month of August will bring a huge change to Compliance, Safety and Accountability program scores as assessed by the Federal Motor Carrier Safety Administration (FMCSA). Drivers will now have the benefit of a new "not preventable" classification for eight different types of crashes. The change was made based on "positive feedback from industry stakeholders," said Transportation Secretary Elaine Chao at the 2019 Mid America Trucking Show on March 29 of this year.
The Arlington, Virginia-based American Transportation Research Institute (ATRI) determined four major issues affecting the trucking industry in 2019. These concerns include 1. vehicle parking, 2. the safety of young truck drivers, 3. truck safety tech ROI and 4. the impact of litigation that is successful against trucking companies.
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.
If you're wondering what's up with this digitization thing, you're not alone. The transformation is impacting virtually every industry, including shipping. We're seeing changes that will not only impact our current situation, but long into the future. One change that is here to stay is the trend towards ship-to-home options. Here's a quick look at how this trend is helping drive LTL growth in the market.
If you noticed that there seems to be a few more bare shelves or delays in stocking items at your local stores this spring, you're not alone. The increasing growth and recovery in the economy has led to two specific issues that are impacting supply chain and cost: increased consumer demand and fewer truck drivers to haul the loads being shipped. It's expected that the industry will be short 63,000 drivers this year. But how do you handle truck driver shortages to keep your supply chain moving? Here's a quick look at some options to consider.
The trucking industry is now preparing for Phase 3 of the Electronic Logging Device legislation that began the implementation process on February 16, 2015. The legislation to better control hours-of-service reporting was set to phase in after the final ELD rules were published in December of 2015 with a compliance date of December 2017.
Rhode Island Tolls
Three years ago, a proposal was brought forth that would install toll fees on trucks traveling within Rhode Island as part of a $5-billion RhodeWorks Infrastructure Plan. The tolls kicked off this week, charging truckers $3.25 and $3.50 near exits 2 and 5 on I-95. While only charging truckers “once per day in each direction,” opponents are rallying against the tolls arguing that truckers should not have to endure the entire burden when they make up only 2% of the traffic on that strip of the interstate (1, 2). Additionally, congestion will get even worse as trucks try to avoid toll roads. According to The Providence Journal, the Rhode Island Trucking Association President Chris Maxwell stated that truckers were “more than likely” to take court action against the tolls. (3)
Internet of Things, 3D printing, sensors, self-driving vehicles, electric logs: if there's one thing that stays the same in shipping and logistics, it's that everything changes. One big change in logistics that will reshape how we do business is the impact digitization will have on our industry. But even though it's a huge buzzword right now, many people in logistics don't know what digitization will mean to our industry. Here's a brief overview to help get you started.
The American Trucking Association (ATA) recently released its projections for the industry, stating it to be strong for at least the next 18 months. The chief economist at the ATA, Bob Costello, noted that three major factors have come together to provide a solid future for the freight industry: strong online sales growth, low unemployment and booming housing starts. In fact, Costello told a group of investors via a conference call that not since 2010, when the country was recovering from the recession, have these factors come together to provide a concrete environment.
Freight rates continue their climb north in a year that has already shown a 28% increase in trucking spot quotes from Jan. 1st through March 23rd, according to a Bloomberg report. But the higher prices in freight transportation (and ultimately consumer goods) should not be unexpected. The northeast, for example, was embraced with three Nor’easters within the first two weeks of March, with seven of those states getting hammered with over 20 inches of snow, shutting down roads and hampering businesses.