While TransCore's Truckload Rate Index shows national van line haul rates holding at $1.27 per mile on the spot market, an analysis of several of the top markets shows rates beginning to weaken. Spot market rates are the rates that freight brokers and third-party logistics companies pay to the carrier.
Rates declined in Dallas and Chicago, while the Columbus-to-Philadelphia lane showed the largest decline, compared to the previous week:
• Dallas rates declined by 3.1 percent, as measured in seven key lanes
• Chicago outbound rates declined in four of six key lanes
• Columbus to Philadelphia showed the biggest decline, with a $0.35 dip compared to last week. Spot market rates for this lane now average $1.99 per mile for line haul (the base rate, not including surcharges and additional fees.)
• Los Angeles rates are beginning to decline, as well. This may indicate the end of the peak movement from that market. Rates from L.A. were strong for longer than expected this year, signaling a healthy retail season now in progress.
At the same time, van rates from Philadelphia increased. Rates in the City of Brotherly love have been volatile in recent weeks for all equipment types:
• Philadelphia is showing an average increase of 10 percent in the top five outbound lanes, especially short haul lanes to Richmond and Boston, compared to the previous week.
• Backhaul lanes from Philly to Atlanta, Columbus and Chicago were also up by $0.06 to $0.08 per mile.
This rate trend report is based on changes in freight movement and rates on the spot market in 48 top lanes across the U.S. These routes serve major markets, including Atlanta, Chicago, Dallas, Los Angeles and Philadelphia, as well as secondary markets such as Columbus, Denver and Memphis.
Read Full Article
Enjoy curated articles directly to your inbox.