LTL

An increase in the amount of freight transloaded at the U.S. border means Mexican trucking company Fletes México is using more of its own equipment to haul shipments to a U.S. crossdock facility. The trend has been noted by U.S. logistics operators, who claim it can help reduce a capacity imbalance at the U.S.-Mexican border.

The Cass Freight Index, both for U.S. freight shipments and payments, dropped a step in October, as shippers worked through piles of inventory.

For-hire trucking companies slow hiring as payrolls hit seven-year highs, wait for signs freight demand will strengthen.

Manitoulin Transport, one of Canada's largest less-than-truckload operators, opened a new terminal in Winnipeg, part of an ongoing expansion in Western Canada for the Ontario-based company.

Old Dominion Freight Line is rebuilding its drayage model around company drivers to better align container hauling with its less-than-truckload business and avoid court battles over worker classification. The less-than-truckload carrier is also focusing more on East Coast ports.

The fourth-largest U.S. less-than-truckload carrier could double its market share in coming years, as sustained profitability supports ongoing expansion, CEO David Congdon tells JOC.com.

Class 8 tractor orders in the U.S. rose 30 percent from September last month, but were 45 percent lower year-over-year, a sign truckers are still digesting a big increase in truck counts and trying to rebalance capacity.

ArcBest struggled with the same forces besetting its trucking competitors in the third quarter: lower fuel surcharges, falling shipment volumes and lower industrial output. Its non-asset subsidiaries thrived, however, and ABF Freight still raised prices.

YRC Worldwide drove further into the black in the third quarter, raising net profit at its national and regional less-than-truckload carriers.

'Softening' freight demand affects all carriers, slowing growth at Old Dominion Freight Line and pushing down revenue and profit at Saia. Carriers are adapting to the slower paced economy.

Shippers are likely to rely more on smaller shipments and fast-cycle replenishment to reduce overstocked inventories, and that's an opportunity for less-than-truckload operators, YRC Freight says.

For-hire truck tonnage picked up in September, after declining in August, although high inventories and the driver shortage worry American Trucking Associations economist Bob Costello.

Shipper fears of a "capacity crunch" have faded under a mountain of inventory, relaxed driver rules and lower overall demand for much of 2015. But today's "capacity calm" may not last long.

After two months of decline, the Cass Freight Index turned upward in September, with both shipment volumes and shipper spending on transportation rising toward a muted peak.

Acquiring TCG expands SMC3's less-than-truckload software portfolio from pricing to profitability management and expands the group's reach into the truckload market.

After underestimating e-commerce delivery requirements during the 2013 holiday season, and over-committing assets during the 2014 holiday season, UPS believes it will get it right this year, said Noel Massie, president of the Southern California district at the largest U.S. transport operator.

An alliance with Mallory Alexander International Logistics will drive Old Dominion Freight Line deeper into shipper's global supply chains.

Under XPO, Con-way Freight will offer economy as well as priority service, and XPO will pursue opportunities to leverage trucking networks on both sides of the Atlantic, Jacobs told the JOC Inland Distribution Conference.

Roadrunner Transportation Systems is expanding in Canada after having recently made a number of moves to increase its service in Mexico.

Con-way Freight today said it will raise non-contract tariff rates 4.9 percent this month, following rate hikes announced by FedEx Freight in the U.S. and DHL Freight in Europe.

Lower fuel prices and lower fuel surcharges are slowing the increase of freight shipping costs on both sides of the U.S. border or even reducing them, despite higher contract trucking rates.

The acquisition of regional package carrier Eastern Connections expands Dicom's footprint in the Northeast and complements the Montreal-based company's efforts to build a multimodal North American transportation network.

XPO's experience with Norbert Dentressangle, a major logistics company and truck operator in Europe, informed its decision to buy Con-way and operate a "blended capacity mix" of owned, contracted and independent trucks and carriers, Chairman and CEO Bradley S. Jacobs said.

U.S. freight volumes dropped in August, falling 4.6 percent year-over-year, while shipper spend on transportation slipped 8 percent, the latest Cass Freight Index shows.

XPO Logistics doesn’t take little steps. The $3 billion acquisition of Con-way, the second largest less-than-truckload operator as well as a major U.S. non-asset logistics player and truckload hauler, is not only transformational for XPO, but possibly for the LTL industry as a whole.

XPO Logistics plans to buy $5.8 billion Con-way, the parent of LTL giant Con-way Freight, Menlo Logistics and Con-way Truckload.

Less-than-truckload shipments rose between 11 and 13 percent at Old Dominion Freight Line, which gained market share as it continued long-term expansion. Lower fuel surcharges diluted yield, however.

Truckers buying diesel fuel in the U.S. must think they've entered a timewarp, with the average U.S. diesel price tumbling by $1.30 per gallon over the past year to $2.51 per gallon, a price not seen since 2009. Oil markets proved volatile this week, but experts say oversupply is likely to keep a cap on crude and fuel prices for some time to come.

Mixed economic messages and political uncertainty put shippers and truckers on a bumpy road in the second half of 2015, speakers said during a JOC webinar. Although truck capacity is "relatively abundant" and fuel is cheap, truck rates are still rising, and shippers are eyeing new safety rules that could tighten truck capacity. It all depends on the economy.

A new 110-door terminal in Grand Rapids, Michigan is one step in a plan to speed freight flow system-wide at YRC Worldwide subsidiary Holland. The regional carrier is also developing new cross-dock technology to better blend digital data and physical freight.

The number of trucks crossing the U.S. border is on the rise, as Laredo, Texas, set a new record for truck crossings in the second quarter. Slower economic growth in the U.S., however, masks some of the gains.

R+L Carriers is expanding its time critical expedited services throughout Canada through its partner, New Brunswick-based Day & Ross Freight.

Con-way Freight workers in Portland, Oregon voted not to join the International Brotherhood of Teamsters last week, marking the seventh outright defeat for the union in its attempt to organize workers at the second-largest stand-alone U.S. less-than-truckload carrier.

Averitt Express joined the ranks of trucking companies boosting pay and benefits to secure more truck drivers. Despite slower economic growth than a year ago, driver demand remains a key factor in truck pricing.

U.S. truck tonnage increased at its strongest rate year-over-year since January, rising 3.7 percent in July and 2.8 percent from June. High inventories levels could set limits on future tonnage growth, unless those inventories are drawn down this fall.

The 28 percent drop in retail diesel fuel prices in the second quarter cut shipper transportation expenses and boosted trucking profits, with the publicly owned motor carriers tracked by JOC.com increasing their combined operating profit by 13 percent. Higher sustainable profits in turn fuel the expansion of capacity needed by shippers.

The surge in freight traffic that began in April dissipated in July, as shipments dropped 1.6 percent from June, the latest Cass Freight Index shows. That's a normal seasonal trend, Cass said, pointing out that volumes are still higher than in 2013 and the early economic recovery.

ArcBest rode a company-wide wave of freight demand in the second quarter, with less-than-truckload carrier ABF Freight System and asset-light subsidiaries increasing revenue and profit. The asset-light businesses, however, grew faster than the asset-based LTL division.

The recovery at YRC Worldwide is gaining traction, as the company's regional and national subsidiaries reported stronger profits based on better pricing and freight mix. The company appears poised to emerge from eight years of annual losses, but executives warn its journey isn't over yet.

Old Dominion Freight Line barely downshifted as the economy slowed in early 2015, increasing revenue, profit, shipments and tonnage year-over-year in the last quarter.