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<div class="phx-topic abstract-wrapper">Shippabo’s founder Nina Luu says shippers struggling to find drayage trucks should start their search at sea, with better visibility into inbound containers. That means using technology to better connect importers, ocean carriers, freight forwarders, customs brokers, and trucking operators in flexible networks.</div>

Shippabo’s founder Nina Luu says shippers struggling to find drayage trucks should start their search at sea, with better visibility into inbound containers. That means using technology to better connect importers, ocean carriers, freight forwarders, customs brokers, and trucking operators in flexible networks.

<div><div><img></div>Shippabo’s founder Nina Luu says shippers struggling to find drayage trucks should start their search at sea, with better visibility into inbound containers. That means using technology to better connect importers, ocean carriers, freight forwarders, customs brokers and trucking operators in flexible networks. (Above: A crane positions a container on a truck.) Photo credit: Shutterstock.com.The search for truck capacity should start not on the highway but at sea, says Nina Luu, a former shipper turned digital entrepreneur. US importers or beneficial cargo owners struggling to find trucks to move goods inland from seaports need to begin the search for landside...

Shippabo’s founder Nina Luu says shippers struggling to find drayage trucks should start their search at sea, with better visibility into inbound containers. That means using technology to better connect importers, ocean carriers, freight forwarders, customs brokers and trucking operators in flexible networks. (Above: A crane positions a container on a truck.) Photo credit: Shutterstock.com. The search for truck capacity should start not on the highway but at sea, says Nina Luu, a former shipper turned digital entrepreneur. US importers or beneficial cargo owners struggling to find trucks to move goods inland from seaports need to begin the search for landside capacity well before container ships arrive at ports and boxes hit the docks, she said. Truck capacity is tight everywhere in 2018, but especially at seaports. The amount of trucks available to dray containers and haul freight inland is being squeezed by a shortage of drivers and the impact of the US electronic logging device mandate on one hand, and the “bunching” of containers at marine terminals as larger and larger container ships call at US ports. Owner-operator drivers are becoming more careful in choosing the motor carriers they will drive for. Fred Johring, president of Golden State Express, told JOC.com that when he recruits new drivers, they ask two questions: 'How much do you pay?' and 'Will you keep me busy?' (Meaning providing the drivers with harbor work that will guarantee them multiple trips each day. Drivers generally are paid on a per-trip basis). That’s pushing shippers to search for new sources of capacity and solutions to the trucking problem, including, in some cases, dedicated drayage , which requires a long-term commitment from the importer but also locks in guaranteed truck capacity. Luu thinks shippers need to look further up the supply chain, however, if they want to untangle landside supply issues. Shippabo: planning for truck capacity on the ocean “Trucking is a huge problem,” said Luu, a former apparel importer in Los Angeles who co-founded digital shipping platform Shippabo to solve problems she encountered moving freight off ships, through US Customs, and onto trucks bound for customers. “Planning for truck capacity has to start on the ocean,” she said, with better visibility into inbound freight. As a small shipper, she found that visibility hard to come by. Most of the existing systems designed to give shippers a clearer view of inbound freight were created for larger businesses than her company, she said. In 2015, she launched Shippabo as a cloud-based alternative, connecting the maritime and landside transportation from ocean line to drayage carrier. “As an importer, everyone talks about the manual processes” in logistics “and how many inefficiencies there are,” she said. “That’s true, but what really mattered at the end of the day was understanding where the product was, and getting insight into how I could optimize to deliver better service and scale and compete in e-commerce. That led me to look for solutions.” Coming from the shipping world itself makes Luu and Shippabo somewhat unique in shipping and the transportation technology market, which is rife with startups with strong technological backgrounds but less real-world transportation know-how. A venture capital stampede toward transportation has helped many of those start-up companies grow extremely quickly. Shippabo has raised $1.8 million in two rounds of funding, a drop in the bucket compared with the funding received by some big digital startups, but enough to launch her plan to integrate shipping processes. “We provide interfaces for people to really interact,” she said. “You can think of our system as a collaboration tool as aside from a shipping system.” Collaboration implies connections, and in a year of tight truck and intermodal capacity, connections matter. “Lots of companies keep their data in silos,” Luu said. “The freight forwarder has some data, the customs broker has some data, but nothing is tied together to give the importer meaningful information. A ton of time is spent on auditing, and it becomes reactive.” Many of Luu and Shippabo’s clients don’t have direct connections to the drayage companies needed to move freight off the docks to points inland, whether nearby for deconsolidation or for door deliveries. That’s where Shippabo’s connections to ocean shipping lines, information on inbound cargo at sea, and shipping line door contracts and rates come into play, Luu said. Company netted lower prices for many shippers Those shippers, especially smaller companies, also don’t have access to “ door contracts ” that include door rates covering the cost of the ocean voyage and the dray to the customer’s warehouse. The drayage portion of the move is usually subsidized by the shipping line. Importers without “door” coverage are seeing drayage rates leap by double digits this year. Shippabo, however, does have access to those door rates, and has been able to get reduced pricing for many shippers using its service. “We’ve been able to help many clients get into direct carrier contracts and negotiate lower prices, and at least lock in drayage rates for the year,” Luu said. “I think by next year things will normalize, but this year is going to be tricky.” Transportation cost savings can be in the 10 to 20 percent range, Luu said. “Our best case saved almost half a million dollars” on drayage, she said. But savings also come through gains in efficiency. “We help them upload and manage their ocean carrier or forwarder contracts. They can book directly on our system and receive confirmation notices [from the shipping line].” That’s only one step, and a short-term one, in finding a solution to the trucking problem. A longer-term strategy would be to integrate the flow of information among supply chain partners, from the importer and shipping line or forwarder to customs authorities and trucking operators. That way drayage companies would know what boxes to expect at marine terminals. That saves the carrier planning time, which in turn frees up capacity . “We have seen a lot of companies use our system to manage deliveries,” Luu said. “Every business has a finite amount of containers that come in every week. They can allocate [shipments to truckers] by arrival notice. Warehouses use us to pre-plan space, so they’re not paying a ton of storage time.” Saving time is crucial when finding capacity is a scramble. A clearer view of incoming goods and their estimated time of arrival in a container yard can turn TEU into virtual trucks at sea. Contact William B. Cassidy at bill.cassidy@ihsmarkit.com and follow him on Twitter: @willbcassidy.

Tracking incoming TEU called key to finding portside US trucks

<div class="phx-topic abstract-wrapper">The revised forecast, which covers the carrier’s financial year to March 31, 2025, is 13% higher than the $2.7 billion estimate it gave on July 31.</div>

The revised forecast, which covers the carrier’s financial year to March 31, 2025, is 13% higher than the $2.7 billion estimate it gave on July 31.

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<div class="phx-topic">Ocean Network Express (ONE) has upgraded its full-year profit forecast to $3.1 billion, the carrier said Thursday, after its first-half result was buoyed by higher freight rates and cargo volumes due to the early peak season. The upgraded forecast, which covers ONE’s financial year to March 31, 2025, is 13% higher than the $2.7 billion estimate it gave on July 31. Still, the carrier said forecasting its full-year result remains challenging. “The state of affairs after the New Year (next January) is particularly difficult to foresee at the moment,” ONE said in a results presentation. It pointed out that while cargo volumes in the coming months are uncertain, “a significant number of new container vessels will be delivered in the second half of fiscal 2024.” British shipbroking house Clarksons has said container ships totaling 705,000 TEUs in capacity still have to be delivered this year, equivalent to 2.3% of the current global fleet, while more than 1.9 million TEUs is slated for delivery next year. ONE said its own orderbook, comprised of owned and long-term chartered vessels, stood at 52 ships at the end of September, while it’s on-the-water fleet consisted of 244 ships totaling just over 1.9 million TEUs. Indicating a weaker second half of its fiscal year, ONE forecasted a $317 million net profit for the Oct. 1 to March 31 period, down from July’s forecast of $500 million. <h3>Strong fiscal second quarter </h3>Singapore-headquartered ONE said its interim net profit from April 1 to Sept. 30 climbed to $2.8 billion, up from $700 million in the same period of 2023, and included net profit of $2 billion in its fiscal second quarter alone. Fiscal first-half revenues climbed 38% to $10.1 billion, up from $7.3 billion. Highlighting its strong second quarter, ONE said its cargo movements from Asia to North America in July and August increased 18% year on year, with a 6.4% increase in Asia to Europe volumes in July. Demonstrating higher rates, ONE data showed its freight rate index averaged 195 on Asia-North America eastbound trades in the second quarter, while the Asia-Europe westbound index averaged 293. That compared with index levels of 109 on eastbound North America trades and 116 on westbound European services in the fiscal second quarter last year. “Robust domestic consumption continued in the United States, and strong cargo movement continued due to customers advancing shipments in anticipation of supply chain disruptions,” the carrier said. Contact Keith Wallis at keithwallis@hotmail.com. </div>

Ocean Network Express (ONE) has upgraded its full-year profit forecast to $3.1 billion, the carrier said Thursday, after its first-half result was buoyed by higher freight rates and cargo volumes due to the early peak season. The upgraded forecast, which covers ONE’s financial year to March 31, 2025, is 13% higher than the $2.7 billion estimate it gave on July 31. Still, the carrier said forecasting its full-year result remains challenging. “The state of affairs after the New Year (next January) is particularly difficult to foresee at the moment,” ONE said in a results presentation. It pointed out that while cargo volumes in the coming months are uncertain, “a significant number of new container vessels will be delivered in the second half of fiscal 2024.” British shipbroking house Clarksons has said container ships totaling 705,000 TEUs in capacity still have to be delivered this year, equivalent to 2.3% of the current global fleet, while more than 1.9 million TEUs is slated for delivery next year. ONE said its own orderbook, comprised of owned and long-term chartered vessels, stood at 52 ships at the end of September, while it’s on-the-water fleet consisted of 244 ships totaling just over 1.9 million TEUs. Indicating a weaker second half of its fiscal year, ONE forecasted a $317 million net profit for the Oct. 1 to March 31 period, down from July’s forecast of $500 million. Strong fiscal second quarter Singapore-headquartered ONE said its interim net profit from April 1 to Sept. 30 climbed to $2.8 billion, up from $700 million in the same period of 2023, and included net profit of $2 billion in its fiscal second quarter alone. Fiscal first-half revenues climbed 38% to $10.1 billion, up from $7.3 billion. Highlighting its strong second quarter, ONE said its cargo movements from Asia to North America in July and August increased 18% year on year, with a 6.4% increase in Asia to Europe volumes in July. Demonstrating higher rates, ONE data showed its freight rate index averaged 195 on Asia-North America eastbound trades in the second quarter, while the Asia-Europe westbound index averaged 293. That compared with index levels of 109 on eastbound North America trades and 116 on westbound European services in the fiscal second quarter last year. “Robust domestic consumption continued in the United States, and strong cargo movement continued due to customers advancing shipments in anticipation of supply chain disruptions,” the carrier said. Contact Keith Wallis at keithwallis@hotmail.com.

ONE upgrades full-year profit forecast to $3 billion after strong early peak season

<div class="phx-topic abstract-wrapper">Fewer port calls in the Gemini network will allow the carrier to move greater volumes with the same number of ships, Vincent Clerc said while reporting a highly profitable third quarter.</div>

Fewer port calls in the Gemini network will allow the carrier to move greater volumes with the same number of ships, Vincent Clerc said while reporting a highly profitable third quarter.

<div class="phx-topic">Maersk’s existing fleet capacity of nearly 4.3 million TEUs will be enough to handle demand growth for two to three years as the Gemini network enables faster turnaround times and greater volumes transported on the same number of vessels, CEO Vincent Clerc said Thursday. The carrier’s order book is approximately 8% of Maersk’s in-service fleet, not counting a recent order for 800,000 TEUs in dual-fuel ship capacity due for delivery from 2026 to 2030. Most of the incoming capacity will replace older tonnage heading for the scrapyard. “The simple fact of moving to this modular network will mean that with the same size of fleet we will be able to keep up with market growth for two to three years,” Clerc told investors during an earnings call as Maersk reported its third-quarter financial results. “...Our primary focus right now is to be able to transport more volume on the same number of ships.” Despite a relatively flat 0.3% year-over-year increase in third-quarter volume to 3.1 million FEUs, Maersk’s average rate level of $3,236 per FEU was up 54% year over year and 29% higher than the second quarter. The impact on Maersk’s earnings was substantial, driving up the carrier’s third-quarter revenue by 30% year over year to $15.8 billion and increasing its earnings before interest, taxes, depreciation and amortization (EBITDA) by 155% to $4.8 billion. Earnings before interest and taxes (EBIT) rose 515% to $3.3 billion, while Maersk’s third-quarter net profit of $3.1 billion was almost five times higher than the same quarter last year. “We saw the full impact of the elevated rates that we saw in the second quarter materialize in the third quarter,” Clerc said. “...This delay resulted in the third quarter being [our] strongest quarter of 2024.” “This benefit of higher freight rates, combined with continued strong volumes, has delivered substantially higher profit,” he added, noting that rates peaked in July and have now stabilized amid the solid demand expected in the fourth quarter. That visibility into fourth-quarter demand — Maersk expects container market volume growth of 6% year over year — saw the carrier earlier this month <a href="https://www.joc.com/article/maersk-hikes-full-year-profit-forecast-amid-expected-strong-q3-financials-5771869">raise the upper end of its full-year operating profit forecast</a> by $500 million to $11.5 billion. <h3>Logistics still falling short of expectations </h3>Market attention has been focused on Maersk’s Logistics and Services segment at the center of its integrator strategy that has performed below expectations in the last few years. Although there were signs of improvement in the third quarter, Clerc remained dissatisfied with the performance. “I’m pleased with the sequential improvement, but I am not satisfied with the absolute level,” he said. “In contract logistics, warehousing and distribution — what we call ‘Fulfilled by Maersk’ — we’re still not at a margin that is satisfactory, and that’s the main area that we must continue to work on.” Revenue of $3.9 billion in the Logistics and Services segment was up 11% year over year and 7.2% higher than in the second quarter. EBITDA rose 27% year over year and 25% from the second quarter, to $431 million. EBIT of $200 million was up 47% year over year and 59% from the second quarter, although the EBIT margin of 5.1% remains short of Maersk’s 6% target. The higher profitability was attributed to stronger performance in lead and contract logistics and high air freight rates, as well as operational efficiency gains across all products. ”The transport and lead logistics parts are delivering something close to best-in-class, but on our warehousing and distribution we still have work to do to get us above that 6% margin and keep us there,” Clerc said. ”I expect continued sequential improvement ... we’re not going to reach 6% in Q4 but somewhere between 5.1% and 6% is where we need to be in Q4 barring any surprises,” he added. Maersk CFO Patrick Jany said the logistics segment performance was moving in the right direction. “Fundamentally, we are improving the cost position and the resilience of the business and will continue to build on this momentum towards our EBIT margin target of above 6%,” he told analysts. Maersk’s APM Terminals segment also reported a solid third quarter with revenue rising 18% year over year to $1.18 billion. EBITDA of $424 million was up 20%, while EBIT rose 25% to $338 million. Much of the increase in earnings was derived from North America and India where tariff increases and higher storage revenue were reported. Looking ahead to next year, Clerc described the Red Sea situation as being “entrenched” and did not expect any return to Suez Canal transits until “well into 2025.” This reality is influencing the February launch of the Gemini Cooperation alliance, with Maersk and Hapag-Lloyd only recently <a href="https://www.joc.com/article/maersk-rules-out-suez-canal-routings-for-gemini-launch-5746470">discarding Suez routings from the network</a>. Contact Greg Knowler at <a href="mailto:greg.knowler@spglobal.com">greg.knowler@spglobal.com</a>. </div>

Maersk’s existing fleet capacity of nearly 4.3 million TEUs will be enough to handle demand growth for two to three years as the Gemini network enables faster turnaround times and greater volumes transported on the same number of vessels, CEO Vincent Clerc said Thursday. The carrier’s order book is approximately 8% of Maersk’s in-service fleet, not counting a recent order for 800,000 TEUs in dual-fuel ship capacity due for delivery from 2026 to 2030. Most of the incoming capacity will replace older tonnage heading for the scrapyard. “The simple fact of moving to this modular network will mean that with the same size of fleet we will be able to keep up with market growth for two to three years,” Clerc told investors during an earnings call as Maersk reported its third-quarter financial results. “...Our primary focus right now is to be able to transport more volume on the same number of ships.” Despite a relatively flat 0.3% year-over-year increase in third-quarter volume to 3.1 million FEUs, Maersk’s average rate level of $3,236 per FEU was up 54% year over year and 29% higher than the second quarter. The impact on Maersk’s earnings was substantial, driving up the carrier’s third-quarter revenue by 30% year over year to $15.8 billion and increasing its earnings before interest, taxes, depreciation and amortization (EBITDA) by 155% to $4.8 billion. Earnings before interest and taxes (EBIT) rose 515% to $3.3 billion, while Maersk’s third-quarter net profit of $3.1 billion was almost five times higher than the same quarter last year. “We saw the full impact of the elevated rates that we saw in the second quarter materialize in the third quarter,” Clerc said. “...This delay resulted in the third quarter being [our] strongest quarter of 2024.” “This benefit of higher freight rates, combined with continued strong volumes, has delivered substantially higher profit,” he added, noting that rates peaked in July and have now stabilized amid the solid demand expected in the fourth quarter. That visibility into fourth-quarter demand — Maersk expects container market volume growth of 6% year over year — saw the carrier earlier this month raise the upper end of its full-year operating profit forecast by $500 million to $11.5 billion. Logistics still falling short of expectations Market attention has been focused on Maersk’s Logistics and Services segment at the center of its integrator strategy that has performed below expectations in the last few years. Although there were signs of improvement in the third quarter, Clerc remained dissatisfied with the performance. “I’m pleased with the sequential improvement, but I am not satisfied with the absolute level,” he said. “In contract logistics, warehousing and distribution — what we call ‘Fulfilled by Maersk’ — we’re still not at a margin that is satisfactory, and that’s the main area that we must continue to work on.” Revenue of $3.9 billion in the Logistics and Services segment was up 11% year over year and 7.2% higher than in the second quarter. EBITDA rose 27% year over year and 25% from the second quarter, to $431 million. EBIT of $200 million was up 47% year over year and 59% from the second quarter, although the EBIT margin of 5.1% remains short of Maersk’s 6% target. The higher profitability was attributed to stronger performance in lead and contract logistics and high air freight rates, as well as operational efficiency gains across all products. ”The transport and lead logistics parts are delivering something close to best-in-class, but on our warehousing and distribution we still have work to do to get us above that 6% margin and keep us there,” Clerc said. ”I expect continued sequential improvement ... we’re not going to reach 6% in Q4 but somewhere between 5.1% and 6% is where we need to be in Q4 barring any surprises,” he added. Maersk CFO Patrick Jany said the logistics segment performance was moving in the right direction. “Fundamentally, we are improving the cost position and the resilience of the business and will continue to build on this momentum towards our EBIT margin target of above 6%,” he told analysts. Maersk’s APM Terminals segment also reported a solid third quarter with revenue rising 18% year over year to $1.18 billion. EBITDA of $424 million was up 20%, while EBIT rose 25% to $338 million. Much of the increase in earnings was derived from North America and India where tariff increases and higher storage revenue were reported. Looking ahead to next year, Clerc described the Red Sea situation as being “entrenched” and did not expect any return to Suez Canal transits until “well into 2025.” This reality is influencing the February launch of the Gemini Cooperation alliance, with Maersk and Hapag-Lloyd only recently discarding Suez routings from the network . Contact Greg Knowler at greg.knowler@spglobal.com .

Maersk’s existing fleet size sufficient to handle short-term demand growth: CEO

<div class="phx-topic abstract-wrapper">There is no way to predict when carriers will return to the shorter route between Asia and Europe, and cargo owners want to factor that uncertainty into their long-term rate agreements for 2025.</div>

There is no way to predict when carriers will return to the shorter route between Asia and Europe, and cargo owners want to factor that uncertainty into their long-term rate agreements for 2025.

<div class="phx-topic">The Red Sea will be top of the talking points list for Asia-Europe shippers as they prepare to enter 2025 contract talks with ocean carriers anxious to avoid a repeat of the chronic space constraints and soaring rates experienced through this year’s peak season. While the diversions around the Cape of Good Hope are now firmly established within container shipping supply chains, a hoped-for return to Red Sea/Suez Canal transits at some point next year is likely to cause rates to fall fast as vessel capacity outstrips demand. Asia-Europe shippers are factoring this eventuality into their 2025 contracts, Antonios Rigalos, managing partner at beneficial cargo owner (BCO) network CrossStaff, told the Journal of Commerce this week. “It can be assumed that the situation in the Red Sea will not be solved soon, and it is anticipated carriers will avoid Suez Canal transits for at least the next six months, or even longer next year,” Rigalos said. “This is an unknown for the industry, and the uncertainty we faced this year continues and will be carried over also to 2025,” he added. CrossStaff negotiates contracts with carriers on behalf of its network of BCOs. Rigalos said members want stability in their supply chains through 2025 that they could plan around. “We will apply the same logic as we did at the end of last year in our current agreements that have flexible terms,” he said. “In that way we will be prepared in case the Red Sea reopens and rates fall, while at the same time making sure our terms and conditions are good enough to secure the required space and equipment.” Many European importers begin their annual contract talks with carriers in the fourth quarter of each year, with the fixed-rate deals typically running from January through December. <h3>Avoiding ‘all-baked-in’ rates </h3>Peter Sand, chief analyst at rate benchmarking platform Xeneta, said the Red Sea would be the center of attention for shippers wanting to avoid an all-baked-in rate next year that would need to be renegotiated time and again should rates fall as carriers make a partial or complete return to the shorter route via the Suez Canal. “Every shipper now looking to negotiate long-term rates for 2025 will seek to separate the effect of Red Sea transits resuming from the base rate because that way it will be easier for them to get rid of any surcharges that have been related to the Red Sea,” Sand told the Journal of Commerce. When the Red Sea will be safe for commercial shipping remains anyone’s guess, but Parash Jain, global head of transport and logistics research at HSBC, said the bank’s base case had Red Sea disruptions unwinding in the second half of next year, leading to shipping capacity being released back into the market. Attacks on commercial shipping by Houthi militants operating from southern Yemen have essentially made the Red Sea and Gulf of Aden a no-go zone for vessels since late last year. “Effective capacity growth should exceed 10% in 2025 compared to nominal fleet growth of about 7.6%, while we expect demand growth to moderate to 2.7%,” Jain said in a market update this week. HSBC has forecast that should there be a return to the Red Sea, excess capacity in the market will see the Shanghai Container Freight Index (SCFI) decline 40% year over year in 2025 and fall a further 33% in 2026, although cost inflation will keep rates higher than pre-pandemic levels. <h3>Sharp increase in spot market </h3>As shippers prepare to sit down with carriers and negotiate their long-term rates, they will have noticed a sharp increase in average spot prices on the Asia to North Europe and Mediterranean trade lanes. The rates are rising ahead of carriers rolling out freight-all-kinds (FAK) increases on Nov. 1 that may stick as the market heads for a “mini peak season” ahead of an early Lunar New Year holiday in late January. North Asia to North Europe rates reached $4,100 per FEU this week, up 21% from last week and 230% higher than the same week last year, according to Platts, a sister company of the Journal of Commerce within S&amp;P Global. Asia-Mediterranean average rates this week were also at $4,100/FEU, up 15% over last week and 166% year over year. With longer voyages extending transit times for European goods imported from Asia combining with a Lunar New Year almost two weeks earlier than last year, the recent rally in rates may continue through the fourth quarter. Blank sailings are another factor influencing rate levels as carriers pull capacity management levers to keep prices elevated. <div class="wrapper-narrow"><dynamic-object type="jocchartid" resource-id="874fb71b-dde8-4286-b65b-1bef7790a9f3"></dynamic-object></div>Data from visibility provider eeSea shows carriers are so far expected to blank 118,545 TEUs in November on Asia-Europe, representing 10% of available capacity on the trade. That’s about the same as October but a significant jump from 4.5% blanked in September. Total Asia-North Europe capacity — comprising both available and blanked capacity — is expected to be 1.21 million TEUs in November compared with just over 1 million TEUs during the same month last year, according to eeSea. “Some carriers have announced blanked sailings in November as demand lags, but the usual Lunar New Year volume and rate rebound may start earlier than usual as the holiday begins in late January instead of early February this year,” Judah Levine, head of research at Freightos, noted in a market update this week, adding that shippers may start increasing orders early to accommodate longer sailing times. Contact Greg Knowler at <a href="mailto:greg.knowler@spglobal.com">greg.knowler@spglobal.com</a>. </div>

The Red Sea will be top of the talking points list for Asia-Europe shippers as they prepare to enter 2025 contract talks with ocean carriers anxious to avoid a repeat of the chronic space constraints and soaring rates experienced through this year’s peak season. While the diversions around the Cape of Good Hope are now firmly established within container shipping supply chains, a hoped-for return to Red Sea/Suez Canal transits at some point next year is likely to cause rates to fall fast as vessel capacity outstrips demand. Asia-Europe shippers are factoring this eventuality into their 2025 contracts, Antonios Rigalos, managing partner at beneficial cargo owner (BCO) network CrossStaff, told the Journal of Commerce this week. “It can be assumed that the situation in the Red Sea will not be solved soon, and it is anticipated carriers will avoid Suez Canal transits for at least the next six months, or even longer next year,” Rigalos said. “This is an unknown for the industry, and the uncertainty we faced this year continues and will be carried over also to 2025,” he added. CrossStaff negotiates contracts with carriers on behalf of its network of BCOs. Rigalos said members want stability in their supply chains through 2025 that they could plan around. “We will apply the same logic as we did at the end of last year in our current agreements that have flexible terms,” he said. “In that way we will be prepared in case the Red Sea reopens and rates fall, while at the same time making sure our terms and conditions are good enough to secure the required space and equipment.” Many European importers begin their annual contract talks with carriers in the fourth quarter of each year, with the fixed-rate deals typically running from January through December. Avoiding ‘all-baked-in’ rates Peter Sand, chief analyst at rate benchmarking platform Xeneta, said the Red Sea would be the center of attention for shippers wanting to avoid an all-baked-in rate next year that would need to be renegotiated time and again should rates fall as carriers make a partial or complete return to the shorter route via the Suez Canal. “Every shipper now looking to negotiate long-term rates for 2025 will seek to separate the effect of Red Sea transits resuming from the base rate because that way it will be easier for them to get rid of any surcharges that have been related to the Red Sea,” Sand told the Journal of Commerce. When the Red Sea will be safe for commercial shipping remains anyone’s guess, but Parash Jain, global head of transport and logistics research at HSBC, said the bank’s base case had Red Sea disruptions unwinding in the second half of next year, leading to shipping capacity being released back into the market. Attacks on commercial shipping by Houthi militants operating from southern Yemen have essentially made the Red Sea and Gulf of Aden a no-go zone for vessels since late last year. “Effective capacity growth should exceed 10% in 2025 compared to nominal fleet growth of about 7.6%, while we expect demand growth to moderate to 2.7%,” Jain said in a market update this week. HSBC has forecast that should there be a return to the Red Sea, excess capacity in the market will see the Shanghai Container Freight Index (SCFI) decline 40% year over year in 2025 and fall a further 33% in 2026, although cost inflation will keep rates higher than pre-pandemic levels. Sharp increase in spot market As shippers prepare to sit down with carriers and negotiate their long-term rates, they will have noticed a sharp increase in average spot prices on the Asia to North Europe and Mediterranean trade lanes. The rates are rising ahead of carriers rolling out freight-all-kinds (FAK) increases on Nov. 1 that may stick as the market heads for a “mini peak season” ahead of an early Lunar New Year holiday in late January. North Asia to North Europe rates reached $4,100 per FEU this week, up 21% from last week and 230% higher than the same week last year, according to Platts, a sister company of the Journal of Commerce within S&P Global. Asia-Mediterranean average rates this week were also at $4,100/FEU, up 15% over last week and 166% year over year. With longer voyages extending transit times for European goods imported from Asia combining with a Lunar New Year almost two weeks earlier than last year, the recent rally in rates may continue through the fourth quarter. Blank sailings are another factor influencing rate levels as carriers pull capacity management levers to keep prices elevated. Data from visibility provider eeSea shows carriers are so far expected to blank 118,545 TEUs in November on Asia-Europe, representing 10% of available capacity on the trade. That’s about the same as October but a significant jump from 4.5% blanked in September. Total Asia-North Europe capacity — comprising both available and blanked capacity — is expected to be 1.21 million TEUs in November compared with just over 1 million TEUs during the same month last year, according to eeSea. “Some carriers have announced blanked sailings in November as demand lags, but the usual Lunar New Year volume and rate rebound may start earlier than usual as the holiday begins in late January instead of early February this year,” Judah Levine, head of research at Freightos, noted in a market update this week, adding that shippers may start increasing orders early to accommodate longer sailing times. Contact Greg Knowler at greg.knowler@spglobal.com .

Asia-Europe shippers sail into contract talks with Red Sea top of agenda

<div class="phx-topic abstract-wrapper">Less-than-truckload volumes may be down as much as 15% from 2021, but carriers are pushing for rate hikes in single-digit percentages as they plan expansion. </div>

Less-than-truckload volumes may be down as much as 15% from 2021, but carriers are pushing for rate hikes in single-digit percentages as they plan expansion.

<div class="phx-topic">US freight demand may be soft, but less-than-truckload (LTL) carriers are defying a two-year freight slump and increasing contractual pricing heading into 2025. Several large publicly-owned LTL providers have reported third-quarter contract renewal rates rising by anywhere from low single-digit to high single-digit percentages. That’s surprising in a market where LTL shipments overall are down and excess capacity at large carriers is heading toward 30%. LTL carriers also continue to invest in terminals, opening facilities bought from Yellow <a href="https://www.joc.com/article/yellow-puts-remaining-112-ltl-terminals-on-the-block-5737425">as they plan for long-term expansion</a>. <div class="wrapper-narrow"><dynamic-object type="jocchartid" resource-id="458dda45-1e1c-4de2-9960-9b02e4cb2804"></dynamic-object></div>LTL’s pricing surge still stems from the July 2023 collapse of Yellow, at the time the third-largest US LTL provider, which cut into overall capacity in the sector. LTL carriers also have kept pricing discipline, eschewing discounts. Those carriers that have tried lower pricing face tough margin pressure from rising operating costs. An LTL shipper that did not want to be identified said carriers are still very selective when it comes to the freight they haul, despite overall soft demand. LTL providers are more strictly monitoring shipment dimensions and refusing lower margin freight, the source said. <h3>Single-digit rate hikes </h3>Long-haul LTL carriers Saia and XPO both reported contract rates rising in the high single-digit range year over year in the third quarter, with Saia fixing its average gain at 7.9%. That’s also the amount of the 2025 general rate increase Saia announced this week. Old Dominion Freight Line (ODFL), the second-largest US LTL provider, said it expects LTL yield excluding surcharges, a measure that often substitutes for rates, to rise by approximately 4% in the fourth quarter.Excluding fuel, ODFL’s yield, or revenue per hundredweight, rose 4.6% in the third quarter from a year ago. “We expect to continue to get increases,” CFO Adam Satterfield told Wall Street analysts last week. Overall, LTL tonnage is down about 15% from a peak in the second quarter of 2021, according to ODFL. However, the US LTL producer price index (PPI), a measure of all-inclusive LTL selling prices, is up 6.6% from its latest trough in April 2023 and 5.2% from Yellow’s collapse. The ongoing LTL pricing gains also suggest that US shippers are concerned about securing adequate capacity ahead of stronger freight demand. “When freight starts coming back, we’ll have the cycle for all cycles in LTL in terms of volume and yield and not having enough capacity,” XPO CEO Mario Harik told the Journal of Commerce Wednesday. <h3>Waiting for a new tide </h3>ODFL, XPO and Saia expect a gradual increase in LTL freight demand as lower interest rates generate more freight across manufacturing and retail sectors. “The tide is finally coming back in,” Satterfield told Wall Street analysts. He referred to LTL freight that had shifted to the truckload market in the past two years, where rates are considerably lower. After Yellow collapsed, “I think people were just trying to find a home for freight,” Satterfield said. ”So now we’re seeing an influx of business coming back, and once we renormalize, we’d expect that we’ll be able to pick up quite a bit of freight,” he said. ODFL’s daily shipment count dropped 3.4% year over year in the third quarter to 47,967 shipments a day on average, the company said. For the first nine months of 2024, the average daily shipment count was flat year over year at 47,781 shipments. Average daily volume at XPO fell 3.2% in the quarter to 51,921 shipments, while the volume count rose 1.9% year over year in the past nine months, to 52,281 shipments. Saia increased its daily volume by 8.5% from the year-ago quarter to 37,200 shipments. The carrier raised its revenue 8.6% to $841 million, a new third-quarter record for the company. Saia, now the seventh-largest LTL carrier ranked by revenue, has grown at a rapid rate over the past year, picking up business from Yellow and purchasing 28 terminals from the bankrupt company. Its volume growth began to slow after the anniversary of Yellow’s exit, but growth continues. Shipments per day at Saia are up about 4% in October to date after rising 8.6% year over year in September, Saia CFO Matthew Batteh said during an earnings call last week. ”Freight moves around a little bit when you take the rate increase at times,” Batteh said. “With the macro backdrop where it is, there are customers that may go find other options. And we’re willing to let that walk. We’re not going to go chase that.” Contact William B. Cassidy at <a href="mailto:bill.cassidy@spglobal.com">bill.cassidy@spglobal.com</a>.</div>

US freight demand may be soft, but less-than-truckload (LTL) carriers are defying a two-year freight slump and increasing contractual pricing heading into 2025. Several large publicly-owned LTL providers have reported third-quarter contract renewal rates rising by anywhere from low single-digit to high single-digit percentages. That’s surprising in a market where LTL shipments overall are down and excess capacity at large carriers is heading toward 30%. LTL carriers also continue to invest in terminals, opening facilities bought from Yellow as they plan for long-term expansion . LTL’s pricing surge still stems from the July 2023 collapse of Yellow, at the time the third-largest US LTL provider, which cut into overall capacity in the sector. LTL carriers also have kept pricing discipline, eschewing discounts. Those carriers that have tried lower pricing face tough margin pressure from rising operating costs. An LTL shipper that did not want to be identified said carriers are still very selective when it comes to the freight they haul, despite overall soft demand. LTL providers are more strictly monitoring shipment dimensions and refusing lower margin freight, the source said. Single-digit rate hikes Long-haul LTL carriers Saia and XPO both reported contract rates rising in the high single-digit range year over year in the third quarter, with Saia fixing its average gain at 7.9%. That’s also the amount of the 2025 general rate increase Saia announced this week. Old Dominion Freight Line (ODFL), the second-largest US LTL provider, said it expects LTL yield excluding surcharges, a measure that often substitutes for rates, to rise by approximately 4% in the fourth quarter. Excluding fuel, ODFL’s yield, or revenue per hundredweight, rose 4.6% in the third quarter from a year ago. “We expect to continue to get increases,” CFO Adam Satterfield told Wall Street analysts last week. Overall, LTL tonnage is down about 15% from a peak in the second quarter of 2021, according to ODFL. However, the US LTL producer price index (PPI), a measure of all-inclusive LTL selling prices, is up 6.6% from its latest trough in April 2023 and 5.2% from Yellow’s collapse. The ongoing LTL pricing gains also suggest that US shippers are concerned about securing adequate capacity ahead of stronger freight demand. “When freight starts coming back, we’ll have the cycle for all cycles in LTL in terms of volume and yield and not having enough capacity,” XPO CEO Mario Harik told the Journal of Commerce Wednesday. Waiting for a new tide ODFL, XPO and Saia expect a gradual increase in LTL freight demand as lower interest rates generate more freight across manufacturing and retail sectors. “The tide is finally coming back in,” Satterfield told Wall Street analysts. He referred to LTL freight that had shifted to the truckload market in the past two years, where rates are considerably lower. After Yellow collapsed, “I think people were just trying to find a home for freight,” Satterfield said. ”So now we’re seeing an influx of business coming back, and once we renormalize, we’d expect that we’ll be able to pick up quite a bit of freight,” he said. ODFL’s daily shipment count dropped 3.4% year over year in the third quarter to 47,967 shipments a day on average, the company said. For the first nine months of 2024, the average daily shipment count was flat year over year at 47,781 shipments. Average daily volume at XPO fell 3.2% in the quarter to 51,921 shipments, while the volume count rose 1.9% year over year in the past nine months, to 52,281 shipments. Saia increased its daily volume by 8.5% from the year-ago quarter to 37,200 shipments. The carrier raised its revenue 8.6% to $841 million, a new third-quarter record for the company. Saia, now the seventh-largest LTL carrier ranked by revenue, has grown at a rapid rate over the past year, picking up business from Yellow and purchasing 28 terminals from the bankrupt company. Its volume growth began to slow after the anniversary of Yellow’s exit, but growth continues. Shipments per day at Saia are up about 4% in October to date after rising 8.6% year over year in September, Saia CFO Matthew Batteh said during an earnings call last week. ”Freight moves around a little bit when you take the rate increase at times,” Batteh said. “With the macro backdrop where it is, there are customers that may go find other options. And we’re willing to let that walk. We’re not going to go chase that.” Contact William B. Cassidy at bill.cassidy@spglobal.com .

US LTL carriers raising rates as shippers keep wary eye on 2025

<div class="phx-topic abstract-wrapper">The Environmental Protection Agency will disburse nearly $3 billion in federal funds meant to offset the costs of upgrading thousands of pieces of yard equipment from diesel to electric power.</div>

The Environmental Protection Agency will disburse nearly $3 billion in federal funds meant to offset the costs of upgrading thousands of pieces of yard equipment from diesel to electric power.

<div class="phx-topic">US ports are poised for one of the largest ever upgrade cycles for container handling equipment after the federal government announced $2.8 billion in grants to replace diesel-powered yard equipment with electric equipment. With the grants, ports that abut residential areas can keep growing cargo volumes while diminishing the adverse effects of pollution and carbon emissions. The Environmental Protection Agency (EPA) said Tuesday its Clean Ports Program will fund 21 projects across US ports for replacing diesel-powered cargo handling equipment with electric equipment, making it the largest port segment for replacement grants after other areas including vessel shore power, solar installations and trucks and rail. The funds are available under the Biden administration’s Inflation Reduction Act. The Port of New York and New Jersey received $344 million, the third-largest grant behind the ports of Los Angeles and Virginia. Beth Rooney, port director for the Port Authority of New York and New Jersey, told the Journal of Commerce Wednesday that a large grant was needed to tackle a port-wide equipment upgrade. Rooney said there are some 2,700 pieces of equipment at local marine terminals that could be replaced under the program. Replacing that equipment will be the equivalent of removing 14,000 gasoline-powered cars from the road annually, she added, and remove a source of 67,000 tons of carbon dioxide emissions. New York-New Jersey also received another $3 million toward air monitoring and community engagement efforts. Since implementing a clean air action program in 2009, Rooney said the port pollution has decreased by half or more depending on the specific pollutant. Marine terminal operators in New Jersey have undertaken their own initiatives to reduce diesel pollution over the years. Port Newark Container Terminal deployed propane-powered yard tractors through a private grant, and Maher Terminals used a state program funded through the Volkswagen diesel mitigation trust to deploy hybrid and electric straddle carriers. However, the smaller, one-off grants will pale in their impact compared with the Clean Ports funding, Rooney said. “There’s been small grants over the years that have allowed us to do things like the truck replacement program and pilot programs associated with testing emissions reduction technology,” she said. “With $344 million, we’ll be able to really move the needle in terms of implementing stuff.” Other ports, too, will undertake system-wide equipment upgrades. The Port of Los Angeles will earmark part of its $411 million grant for replacing 425 pieces of diesel equipment. The Port of Virginia, which received $380 million, will do the same for some 150 pieces of equipment. <h3>Working with marine terminals </h3>Rooney said her agency is now working with marine terminals to identify specific equipment for upgrades. The grant funding will also be used toward building the necessary charging infrastructure and reinforcing the port’s local grid. As for the biggest source of port pollution and carbon emissions — drayage trucks — the grant will also be used to fund incentives for motor carriers to replace diesel trucks and study optimal sites for locating electric vehicle chargers. The Clean Ports grants are particularly welcomed by communities near US Northeast ports, which are typically surrounded by some of the highest population densities in the country. New Jersey’s Hudson County, home of CMA CGM’s Port Liberty Bayonne terminal and across Newark Bay from other major marine terminals, has the sixth-highest US population density, according to the US Census Bureau, after New York and San Francisco counties. Contact Michael Angell at <a href="mailto:michael.angell@spglobal.com">michael.angell@spglobal.com</a>.</div>

US ports are poised for one of the largest ever upgrade cycles for container handling equipment after the federal government announced $2.8 billion in grants to replace diesel-powered yard equipment with electric equipment. With the grants, ports that abut residential areas can keep growing cargo volumes while diminishing the adverse effects of pollution and carbon emissions. The Environmental Protection Agency (EPA) said Tuesday its Clean Ports Program will fund 21 projects across US ports for replacing diesel-powered cargo handling equipment with electric equipment, making it the largest port segment for replacement grants after other areas including vessel shore power, solar installations and trucks and rail. The funds are available under the Biden administration’s Inflation Reduction Act. The Port of New York and New Jersey received $344 million, the third-largest grant behind the ports of Los Angeles and Virginia. Beth Rooney, port director for the Port Authority of New York and New Jersey, told the Journal of Commerce Wednesday that a large grant was needed to tackle a port-wide equipment upgrade. Rooney said there are some 2,700 pieces of equipment at local marine terminals that could be replaced under the program. Replacing that equipment will be the equivalent of removing 14,000 gasoline-powered cars from the road annually, she added, and remove a source of 67,000 tons of carbon dioxide emissions. New York-New Jersey also received another $3 million toward air monitoring and community engagement efforts. Since implementing a clean air action program in 2009, Rooney said the port pollution has decreased by half or more depending on the specific pollutant. Marine terminal operators in New Jersey have undertaken their own initiatives to reduce diesel pollution over the years. Port Newark Container Terminal deployed propane-powered yard tractors through a private grant, and Maher Terminals used a state program funded through the Volkswagen diesel mitigation trust to deploy hybrid and electric straddle carriers. However, the smaller, one-off grants will pale in their impact compared with the Clean Ports funding, Rooney said. “There’s been small grants over the years that have allowed us to do things like the truck replacement program and pilot programs associated with testing emissions reduction technology,” she said. “With $344 million, we’ll be able to really move the needle in terms of implementing stuff.” Other ports, too, will undertake system-wide equipment upgrades. The Port of Los Angeles will earmark part of its $411 million grant for replacing 425 pieces of diesel equipment. The Port of Virginia, which received $380 million, will do the same for some 150 pieces of equipment. Working with marine terminals Rooney said her agency is now working with marine terminals to identify specific equipment for upgrades. The grant funding will also be used toward building the necessary charging infrastructure and reinforcing the port’s local grid. As for the biggest source of port pollution and carbon emissions — drayage trucks — the grant will also be used to fund incentives for motor carriers to replace diesel trucks and study optimal sites for locating electric vehicle chargers. The Clean Ports grants are particularly welcomed by communities near US Northeast ports, which are typically surrounded by some of the highest population densities in the country. New Jersey’s Hudson County, home of CMA CGM’s Port Liberty Bayonne terminal and across Newark Bay from other major marine terminals, has the sixth-highest US population density, according to the US Census Bureau, after New York and San Francisco counties. Contact Michael Angell at michael.angell@spglobal.com .

US ports plan upgrades to electric yard equipment after securing EPA grants

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The world of LTL is slow to embrace change. Business anachronisms permeate current supply chain processes. These vestiges of the way things used to work define the LTL freight transportation procurement process of many modern shippers.David Knuth, logistics specialist at IEWC, a global supplier of cable and wire based in Wisconsin, is happy to have modernized the RFP process, automating the entire LTL bidding procedure with Bid$ense, SMC³’s automated truckload and LTL freight transportation sourcing solution. But when prompted, he can still recall what once was.In his previous job, a large part of his duties were consumed by creating an intermodal bid package for carriers. In a spreadsheet, Knuth detailed the company’s volumes lane by lane, taking care to delete any errant keystrokes or misleading data. He would then email out the information to each carrier, taking time to respond to detailed technical questions about the spreadsheet data. Finally, he had to compile all the results, create an algorithm that would compare the carriers on each lane, and award the business.“It was a huge undertaking. It took about four months to do,” Knuth said of the old process. “It was almost a full-time job for that part of the year, every year.”In his new job at IEWC, he sat down with Bid$ense on day one and was amazed at the capabilities. Knuth had never before used a bid tool. SMC³’s latest versions of Bid$ense automate the process even further, taking truckload and LTL RFPs entirely online. The tool draws on RFP best-practices protocols to streamline the bidding communication process, enabling bidding carriers to respond accurately and promptly to shipper requests. The solution also does all the distribution work automatically, electronically submitting shipper bid data to carriers based on their actual service capabilities and performance records. Carriers are alerted with timely prompts for RFP deliverables, so shippers aren’t waiting by the phone for responses.Another benefit of automating the process is the data-cleansing assistance. When Knuth sent spreadsheets to carriers, data errors might cloud the bidding process; he might have to resend data or simply accept a price that did not truly reflect the costs of doing business. Data cleansing is incredibly beneficial, he said.The spreadsheet technique also made bidding analysis an onerous task. Since Bid$ense automates and streamlines the entire RFP process, intensive examination is now simple. SMC³ knows that each bid has more than one best outcome. With uniform responses from each carrier, shippers can quickly rank results and create an unlimited quantity of what-if scenarios to make the optimal procurement decision.Jesse Burnett of Central Garden &amp; Pet experiences many of the same benefits. Founded in 1980, Central Garden &amp; Pet has spent the last three decades growing from a small garden supply company to a provider of a range of products from dog chews and bird seed to soil supplements and natural insecticides. For much of its life, the company shipped these disparate goods via LTL and truckload carriers to retailers throughout the country, relying on each business unit to negotiate directly with their freight transportation providers. This arrangement worked fairly well for a small company, but as Central Garden &amp; Pet expanded, leadership decided to consolidate decision making.Burnett helped centralize the transportation decision making in 2015 with SMC³’s Bid$ense. Before Bid$ense, every business unit operated independently as far as negotiating with carriers.“There were a lot of different things just floating around,” he said. “We didn’t have master agreements in place; no national pricing at all. The pricing from carriers was just all over the place, depending on where you were.”The transformations he saw with Bid$ense were immediate. Burnett has been using the tool about every other year since its implementation at the company. Central Garden and Pet’s $19.6 million 2019 LTL bid saved the company just more than 9 percent when compared to its historical average. For Burnett, though, bid automation extends far beyond savings.“We knew that we weren’t getting the best pricing offer from our carriers just because nothing was centralized,” he continued. “We knew that if we combined everything from all these business units and paired it with one corporate offering, then it would drive some cost benefit with it.”When the company initially decided to centralize bid procurement, executives researched a number of different methodologies and technologies. In the end, though, Burnett found that Bid$ense was both widespread and well known, and that his carrier partners already knew how to use the application. Burnett also highlighted the data-cleansing process as a major benefit, saying the rigorous process ensures that carriers always return the best price.“It definitely has helped drive savings,” he said. “Any time you go out there and you drive that competitiveness with the carriers and they know they’re in a bid environment, it seems to sharpen their pencils.”Transportation procurement is an integral part of the modern supply chain. With Bid$ense, shippers can develop a strategic implementation plan that saves them time and money, but also helps them create strong relationships with their carrier partners. These carriers appreciate the solution’s data-cleansing process; when carriers receive a complete shipment history and future volume forecast, they don’t have to guess on pricing. Carriers that receive more data from shippers get a complete picture of that shipper’s freight, allowing them to accurately plan instead of simply preparing for the worst-case scenario. Clean data presented through an automated system can lead to both bigger shipment savings and a lasting partnership between carrier and customer.Whether customers are looking to streamline over-the-road transportation bidding by automating the RFP process or create an entirely new, centralized sourcing process, Bid$ense has the analytical horsepower to get the job done.SMC³ 2020 Customer Case Study

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Shippers save money, time with automated transportation bidding tools

If there’s one immutable truth in the world of logistics, it’s this: LTL is an inherently complex form of transportation. Tariffs, rates, DIM weights, transit times — it’s enough to confuse even seasoned logistics professionals. The solution to this knowledge gap has historically been on-the-job training or university supply chain education, but for a variety of reasons there is now a pressing need for third-party, remote LTL training that prepares logistics workers for transportation success. Global Scope Can Overlook Local Intricacies In the past, professionals looking to move into a supply chain career learned about the basics of supply chain from universities. However, many of these college supply chain programs are now global in scope, focusing on worldwide supply chain management instead of the intricacies of specialized domestic transportation. And even these programs, which used to be widespread, are becoming less common. LTL is not an industry of broad-brush strokes; supply chain professionals really need a pointillistic understanding of the logistics of LTL in order to excel in the industry. Accelerating Need for Dedicated LTL Education This lack of specified training put the onus on employers to prepare new hires with the LTL knowledge needed to do their jobs. Dedicated LTL study is a necessity, not a luxury. At the same time, changes in LTL and the broader supply chain world are accelerating. The reliance on e-commerce has ballooned since the start of the pandemic, and last-mile LTL shipments and related e-commerce strains on the supply chain won’t diminish once social distancing abates. That genie isn’t going back into the bottle. So supply chain employers need logistics workers that are fully versed in all aspects of the industry, ready to solve unique shipping and delivery problems based on their extensive supply chain knowledge But why care about LTL? It’s been reported that some shippers in today’s world are no longer concerned with what mode is used to ship their goods. A Multimodal Approach Ensures On-Time Delivery This mode agnosticism means supply chain stakeholders have to be well versed in all modes of transportation. As unforeseen weather events and other disruptions, such as protests, become more common, savvy logistics employees will need to be armed with familiarity of all modes, not just the most popular, to ensure that freight is delivered on time, without damage, and in the most financially expedient way possible. Offerings like SMC³’s LTL online education courses cover a wide range of topics from LTL basics and operations to more advanced concepts like pricing analytics and transportation law. The company also has plans to continually refresh content, adding new expert presenters and taking the feedback of students to make the courses even better as time goes on. Learn more about&nbsp;<a href="https://logisticstrainingcenter.com/smc3-courses/" rel="noreferrer" class="joc_admin__link">SMC³’s LTL Online Education program</a>&nbsp;and view the 2021 hybrid schedule, featuring live industry experts,&nbsp;<a href="https://www.smc3.com/onlinelearning2021/" rel="noreferrer" class="joc_admin__link">here.</a>

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Filling the Supply Chain Education Gap with LTL Education Courses

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