01 Oct From The Summit – Week of 10/1/18
Summit Expedited’s newsletter featuring current market trends and other exciting news at Summit.
Current Market Trends
Overall, capacity has remained stable throughout the country. However, we did observed a small decline in spot pricing for dry vans, reefers, and flatbeds. This could be a byproduct of the drop in demand for inbound and outbound freight to areas that are still in recovery mode after Hurricane Florence. While demand has slowed as the east coast is getting back on its feet, the west coast is demand ramping up. We have seen a noticeable shortage in available trucks within southern California which has been causing rates to spike over the past week.
Volvo Bringing Electric Trucks to North America
Volvo has announced that by 2020, they will have an all-electric truck available for purchase throughout North America. The U.S. model will be very similar to their European truck, the FE Electric. This vehicle is designed for short distances, with a maximum range of 125 miles per charge. While this will not suit all trucking companies, it will be a new alternative for local fleets.
Los Angeles Port Strike
Drayage drivers that are apart of Teamsters Local 848 are planning to strike today. The protest is meant to bring awareness to the classification of drayage drivers as independent contracts instead of being employees for the trucking companies. With their current classification, drivers are missing out on benefits such as health insurance, in addition to many others.
This will be the 16th strike organized by the Teamsters Union, which will focus on XPO Logistics and NFI Industries. Although a couple hundred drivers are expected to go on strike until Wednesday this week, port officials are not anticipating any major interruptions.