Welcome to the WHAT THE TRUCK?!? bulletin. In this issue, port congestion sends truckers west, highway heroes, Project44 makes its biggest purchase to date and more.
Fiddy tree minus one – After a run up from late June, the national average rate of dry vans per mile including fuel (that’s a mouthful) made its way into the fall. Two weeks ago, we hit a high of $ 3.60 per mile before wiping out all those sultry summer gains last week. Now, with Ida and Labor Day behind us, we’ve hit a balmy $ 3.49 this week just as the foliage is starting to change.
Outlook – Don’t expect to find deals on key routes in this high season. While the market generally lulls around this time before resuming its peak season shape, it is not a typical year. Andrew Cox of FreightWaves writes: “A record number of container ships awaiting mooring in the ports of Los Angeles and Long Beach will strain surface transportation networks in the coming months as shippers move. freight to strategic locations ahead of schedule. to be the strongest holiday season in recent years.
Los Angeles 53ers – Fifty-three foot trailers, that is to say. San Francisco may have the 49ers, but the real gold rush occurs 400 miles south in the ports of Los Angeles and Long Beach, where a record number of more than 70 container ships are adrift. or at anchor. The Dude posted the above graph on LinkedIn and said, “September has already been an exodus to the West Coast. Do you see the “orange” line? It is the capacity in the Southeast which is drying up due to the volumes of the Port of LA, LB. Zach Strickland of FreightWaves reports, “The spot rate for loads moving from LA to Dallas has increased by more than $ 2 per mile since May 2020, while the rates for loads moving from Dallas to LA have not. increased only about 40 cents per mile. ” With that in mind, many drivers are heading to the land of the sun to get this bag.
Speaking of capacity – A massive backlog in LA / LB ports means that every ship anchored or adrift takes much longer to return to Asia for its next cargo round. In addition, this means that all of these containers (around 600,000 and over) are also running out of capacity. However, as CEO of Flexport Ryan petersen tweeted, carriers are also canceling crossings to the west to prevent their ships from sitting still. While this may help the ports here in the short term, it is simply a matter of returning the backlog of cargo to the original docks and warehouses.
“Terminal operators say they can’t do anything because the warehouses don’t work 24 hours a day. And the warehouses say they can’t work 24 hours because the truckers won’t. But if everyone keeps saying they can’t do anything unless the others are doing things, then nothing is done. – Peter Friedmann, Executive Director of the Agriculture Transportation Coalition
Store 24 – There may be a small silver lining in the cargo storm as LA / LB ports begin testing extended night and weekend hours. Will this help? The Port of Los Angeles said only 70% of gate appointments were met and their goal is to improve those numbers. The challenge will clearly be to convey this message on how carriers can better use these appointments as well as their ability to adapt to the increase in hours. But, of course, these are just the ports. We are a hurricane, a hack, a positive Covid case and / or a ship stuck in a canal far from further disruption.
Say thanks to a trucker
Let’s do it all year round – National Trucker Appreciation Week may be in the rearview mirror, but it’s not a good reason to stop appreciating our heroes on the road. Today my wife was driving on I-75 in Chattanooga before she trapped debris under her car. Fortunately, a truck driver was on the scene and gladly helped her. Dear driver, if you are reading this please contact me. I have something for you.
Best Driver Appreciation Week – On Monday on WTT, Grace Sharkey of FreightWaves joined us in breaking down the best and worst promotions of Driver Appreciation Week. We were big fans of CH Robinson’s partnership with St. Christopher’s, which donated thousands of dollars to the charity. Convoy created a card game honoring his “Carry stars, “and Transfix pimped one lucky trucker cabin.
project44 takes over Convey
Another big buy – Earlier this year, when project44 achieved unicorn status and acquired ship visibility company Ocean Insights and supply chain planning software company ClearMetal, founder and CEO Jett McCandless hinted that ‘they weren’t done. According to McCandless, “This is our biggest acquisition to date and our biggest announcement of 2021.” Grace Sharkey of FreightWaves reports: “With Convey’s capabilities and network under its wing, project44 is now connected to more than 880 global shippers and logistics providers and a network of 113,000 carriers with 2.6 million assets, creating a data pool of over 9 billion – mile expedition events. The deal for Convey is valued at $ 255 million. Not a bad outing.
Not the GOAT
I just ate them – An anomalous scene unfolded in Normal, Ill., As a herd of goats and sheep “walked up and down the freeway, medians and ditches” according to CI Proud. The shocked herd of children, billys, lambs and capricorns spilled onto Interstate 55 last Sunday. Fortunately, the driver and his herd are unharmed. The Normal Fire Department thanked a number of local farms for helping with animal control.
One for fuel buyers
Event alert – Fuel, the hero and villain of the supply chain and logistics industry, is in the spotlight on Wednesday at the Fuel Buyers Summit starting at 9 a.m. EDT.
A range of featured speakers from various industry backgrounds will discuss the latest trends, forecasts and technology updates impacting the market. Topics include:
- Fuel Prices in the United States: Chaos or Calm?
- Global Price Volatility – An Expert’s Analysis
- LCFS – Unravel the Mystery
- Remote monitoring of tanks and streamlining of processes
- Technology that can help buy fuel smarter
- Fuel price coverage and why it’s not as complicated as you think
- Rising investment in renewable diesel
- Seven rules for buying fuel smarter and cheaper
Sign up for free now!
Friday LIVE at noon ET
More inspiration – NASA returns on the show to talk about Orion’s launch abort system deploying in the event of anomalies – escape the logistics! According to NASA, “The Orion spacecraft is designed to take humans further than they have ever done before. Orion will serve as an exploration vehicle that will transport the crew into space, provide emergency stop capability, support the crew during space travel, and ensure a safe reentry from speeds of return to deep space.
Additionally, Bob Bortner, Mid-Atlantic Territory Manager at IMI, and Amanda Schuier, Senior Vice President at Quality Transport Co.
Watch new live shows at noon ET on Mondays, Wednesdays and Fridays on FreightWavesTV, FreightWaves LinkedIn and Facebook, or on request by searching for WHAT THE TRUCK?!? on your favorite podcast player.
Now on demand
Loaded like a freight train
Bloodlines: The Family Affair
serial – The best way to understand the KCS-CN-CP love triangle is to think of it in terms of Dylan-Brenda-Kelly on 90210. Looked.
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